STATE:

Why NFIB

Take Action

Get Support

Stay Informed

Podcast Podcast

Careers Careers

Join Now

Home / News /

Illinois Moves Forward with Paid Leave Mandate

December 6, 2023 Last Edit: June 5, 2025

New mandate require small business owners give employess at least 40 hoursof paid leave per year.

Illinois Moves Forward with Paid Leave Mandate

The Illinois Department of Labor is moving forward with rulemaking to implement the new paid leave mandate that was passed by the legislature in January of this year as Senate Bill 208. In March, Governor Pritzker signed SB208 (now Public Act 102-1143) into law. The new mandate will require that all employers provide their employees with a minimum of 1 hour of paid leave at their regular rate of pay for every 40 hours worked, up to a minimum of 40 hours paid leave per 12-month period. A public hearing on the proposed rules was held on Wednesday, November 29, 2023. Written comments on the proposed rules may be submitted on or before December 18, 2023, at DOLPaidLeave@illinois.gov . NFIB is reviewing the proposed rules and will continue to advocate for small businesses throughout the rule-making process. In particular, we are monitoring sections in the proposed rules that:

Increase the administrative burden on small businesses by requiring them to include an “employee’s unused balance of paid leave time on each paystub or form that the employer normally furnishes to the employee to notify them of wage payments and deductions from wages”—a requirement over and above that required by the law. (See Section 200.250.)
Permit employees to roll-over up to 80 hours of unused paid leave from one year to another. (See Section 200.320.)
Include unclear language pertaining to the definition of the “regular rate of pay” that businesses must pay employees while they are on paid leave. (See Section 200-110.)

NFIB was the only statewide business association that consistently opposed this new mandate in Springfield and in the news media. NFIB was also supportive of efforts by Rep. Suzanne Ness to amend the Act to move the effective date from January 1, 2024, to July 1, 2024, to give small employers more time to prepare for the law’s requirements. Unfortunately, her bill remains in the Rules Committee of the General Assembly and will not move forward before the January effective date for the new mandate. Earlier this year, NFIB Illinois hosted a series of informational webinars as a service to its members to aid compliance with the new requirement. State Director Chris Davis led an overview of the new law, with expert input from employment attorneys Stephanie Mills-Gallan and Meg Karnig of the law firm Littler Mendelson. You can view the webinar HERE. The Illinois Department of Labor will also be hosting a series of webinars on December 7 and 21, and January 11 and 25. To register go HERE. To access the Illinois Department of Labor Frequently Asked Questions website go HERE. For a copy of the proposed rules and more information go HERE. NFIB will keep members advised on this issue as the rules process moves forward.

Topics:

Taxes

State:

Illinois

Get to know NFIB

NFIB is a member-driven organization advocating on behalf of small and independent businesses nationwide.

Learn More

A Doctor and a patient sitting down at a hospotail and looking over some medical charts at the office.

May 8, 2026

Mystery Health Insurance Tax Is Wrong For New Hampshire

Senate Bill 498 creates a new tax on health insurance coverage.

May 8, 2026

NFIB Urges Congressional Leaders to Include Small Business Priorities in Additional Reconciliation Bill

New package should further unleash small business success with targeted tax, regulatory, and healthcare reforms

May 6, 2026

Bill to Eliminate Credit Card Swipe Fees on Sales Tax Heads to Governor’s Desk

Colorado’s small business community thanks the General Assembly for advancing swipe fee reform.

May 6, 2026

NFIB Celebrates the 20% Small Business Tax Deduction Being Made Permanent, Supports Increasing it to 23%

Making the Small Business Tax Deduction permanent was a huge win for small businesses and provides tax certainty. Now, NFIB is pushing to expand the tax deduct…

Illinois Moves Forward with Paid Leave Mandate

Related Articles