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Chicago Paid Leave and Paid Sick Leave Ordinance Goes into Effect

21 Nov

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Update Applicable to:

All employers and multi-state businesses that have at least 1 worker performing a minimum of 2 hours of work in Chicago, Illinois.

What happened?

On November 9, 2023, the Chicago City Council passed a brand new “Chicago Paid Leave and Paid Sick and Safe Leave Ordinance.”. The Ordinance will replace the current Chicago Paid Sick Leave Ordinance (PSLO) and is effective December 31, 2023.

What are the details?

The Ordinance will require employers with eligible employees working in Chicago to provide employees with up to (I) 40 hours of Paid Leave for any purpose and (II) 40 hours of Paid Sick Leave per year (for a total of 80 hours).

The changes also come as Illinois employers (outside Chicago) have been preparing for the State’s new Paid Leave for All Workers Act (“PLAWA”) going into effect on January 1, 2024, which exempted Chicago and parts of Cook County.

Topics employers should keep an eye out are:

  1. Employer Coverage
  2. Covered Employees
  3. Accrual and Frontloading
  4. Carryover
  5. Use of Paid Leave and Paid Sick Leave
  6. Employer notice requirements

Best practices

  • Create, review, incorporate and update any necessary policies, practices, notices, and procedures that meet the requirements of the law regarding paid leave and paid sick leave.
  • Review, revise and prepare your payroll system to identify employee paid off balances.
  • Consider a communication plan and training for your managers, leaders, and employees.
  • Consult with a labor attorney for further guidance if needed.

Employers should review additional resources here:

Law Firm Article: Article 1, Article 2

Chicago Paid Leave and Paid Sick and Safe Leave Ordinance

City of Chicago Press Release

City of Chicago Notices

Need help understanding how changes to employment laws will affect your business?

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This communication is intended solely for the purpose of conveying information. The present post might incorporate hyperlinks directing readers to websites managed by third-party entities. The inclusion of any links within this communication is meant to serve as points of reference and could encompass opinion articles from various law firms, articles from HR associations, official websites, news releases, and documents of government agencies, and other relevant third-party sources. Vensure has no authority over these external websites and bears no responsibility for their content. Furthermore, Vensure does not endorse the materials present on these websites. The contents of this communication should not be interpreted as legal advice or as a legal standpoint concerning specific facts or scenarios. Nor should it be deemed an exhaustive compilation of facts potentially pertinent to federal, state, or local laws. It is strongly advised that employers solicit legal guidance from an employment attorney when undertaking actions in response to any legal updates provided. This is due to the possibility of future alterations occurring in federal, state, and local laws, regulations, as well as the directives and guidelines issued by governing agencies. These changes may transpire at any given time, potentially rendering certain portions of the content within this update void or inaccurate.

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