Illinois Pay Transparency Act Amendments: What You Need to Know for 2025

Originally passed in 2003, the Illinois Equal Pay Act (the "Act") has continued to enhance its provisions to encourage fair pay practices statewide. One of the most notable changes is the new pay transparency requirement.

The Illinois Department of Labor (IDOL) is reminding job seekers and employers that, effective January 1, 2025, all job postings made by employers with 15 or more employees will need to include pay scale and benefits information - both internal and external. (Source)

With the broader trend for states including, California, Colorado, Connecticut, New York, and Washington, having already introduced similar legislation in recent years, four other states (Massachusetts, Minnesota, New Jersey, and Vermont) and now Illinois have joined.

This amendment to the Illinois Equal Pay Act of 2003 (IL EPA) was contained in HB 3129, passed by the General Assembly, and signed into law by Governor JB Pritzker in 2023. (Source)

Key provisions to note include:

• Pay Scale and Benefits: Disclosing the wage or salary (or range) and a general description of benefits and other compensation (e.g., bonuses, stock options) in job postings. In addition, these must be reflected what the employer reasonably expects to offer, based on pay scales, budgets, or similar positions.

• Remote Roles: The requirement applies to jobs performed in Illinois, as well as remote positions where the employee reports to an Illinois-based supervisor.

• Third-Party Job Postings: Employers must provide pay and benefits information to third parties posting jobs on their behalf.

If employers do not comply with the pay transparency mandate, they could face multiple penalties if they continue to violate this law.

Read more about these changes on the Illinois Department of Labor website.

Disclaimer:

This blog is made available by Nimble Technology Partners, Inc. for informational purposes only. It is not meant to convey the agency's position on behalf of any client, nor is it intended to convey specific legal advice. Any opinions expressed in this article do not necessarily reflect the views of Nimble Technology Partners, Inc. its partners, or its clients. Accordingly, do not act upon this information without seeking counsel from a licensed attorney.