The Illinois Wage Payment Act was recently amended, imposing more drastic remedies against employers that do not timely pay employee wages and benefits both during and after employment. Employers who withhold any compensation, vacation/comp time or other benefits from terminated employees past the next payroll date may be subject to penalties including 5% monthly interest, attorney’s fees and costs. As the Illinois Department of Employment Security may also enforce these requirements, former employees may not even have to hire an attorney.
Employers in Illinois are subject to a web of federal, state and local laws, rules, regulations and ordinances impacting employment, so good counsel is always advised. If you have any questions or if problems arise, please contact us.