December 2024

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Illinois to Require Pay Scale in Job Ads

09/07/23

Author: ADP Admin/Tuesday, September 5, 2023/Categories: Compliance Corner , State Compliance Update, Illinois

Illinois has enacted legislation (House Bill 3129), which requires employers with 15 or more employees to include in job postings the pay scale and benefits for the position. House Bill 3129 takes effect Jan. 1, 2025.

The details

The requirement for job postings only applies to positions that:

  • Will be physically performed, at least in part, in Illinois; or
  • Will be physically performed outside of Illinois, but the employee reports to a supervisor, office, or other worksite in Illinois.

The law defines “pay scale and benefits" as the wage or salary, or the wage or salary range, and a general description of the benefits and other compensation, including, but not limited to, bonuses, stock options, or other incentives the employer reasonably expects in good faith to offer for the position.

The range may be set by reference to any applicable pay scale, the previously determined range for the position, the actual range of others currently holding equivalent positions, or the budgeted amount for the position, as applicable.

Employers may satisfy the requirement by including a hyperlink to a publicly viewable webpage that includes the pay scale and benefits.

If an employer engages a third party to announce, post, publish, or otherwise make known a job posting, the employer must provide the pay scale and benefits, or a hyperlink to the pay scale and benefits, to the third party. The third party must include the pay scale and benefits, or a hyperlink to the pay scale and benefits, in the job posting.

If no job posting will be made by the employer or a third party, employers must disclose the pay scale and benefits for the position prior to any offer or discussion of compensation and at the applicant's request.

Promotional opportunities

An employer must announce, post, or otherwise make known all opportunities for promotion to all current employees no later than 14 calendar days after the employer makes an external job posting for the position.

Anti-retaliation

Employers are prohibited from taking adverse action against an applicant or an employee for exercising any rights under the law.

Recordkeeping

In addition to existing recordkeeping requirements, employers must preserve records that document the pay scale and benefits for each position for at least five years.

Next steps

Covered Illinois employers should review policies and procedures to ensure compliance with the applicable provisions of House Bill 3129.

Please contact your ADP® Service Representative if you have any questions.

 

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