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Legislation Giving Unemployment Benefits to Illinois Striking Workers Halted

Legislation Giving Unemployment Benefits to Illinois Striking Workers Halted

June 8, 2026

NFIB testified against the proposal in the Illinois House Labor & Commerce Committee

Legislation that would have permitted striking workers to collect unemployment benefits was halted during the spring legislative session.

The bill, HB 2565 (Vella), would have given unemployment payments to striking workers after two weeks on strike.

NFIB testified against the bill in the Illinois House Labor & Commerce Committee, noting that it would raise costs for small businesses by increasing their tax assessments to fund the unemployment program.

The unemployment trust fund is entirely funded through assessments upon employers, meaning additional outflows would fall on Illinois businesses.

Small businesses oppose utilizing designated unemployment funds to subsidize striking workers. During a recent ballot of NFIB members in Illinois, 9 out of 10 voted to oppose providing unemployment benefits to striking workers.

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