Overview
Illinois passed two changes in pay and wage transparency that employers should prepare to support in 2025. Amendments were made to the Illinois Equal Pay Act and the Wage Payment and Collection Act.
Both sets of requirement changes took effect on January 1, 2025.
Illinois Equal Pay Act Changed
The Illinois Equal Pay Act changes will require specific information to be present in all job postings in Illinois. The requirements include jobs physically performed in Illinois and out-of-state work with a supervisor or office in Illinois.
Job postings must include:
- Wage or salary range
- General description of benefits (other compensation, bonuses, stock options, etc.)
Another element is employers must make current employees aware of all promotional opportunities within 14 calendar days of making any external job posting for the same position.
The amendment also includes a penalty structure, which adds fees for first, second, and third or subsequent offenses, ranging from $500.00 to $10,000.00.
Wage Payment and Collection Act Changes
The amendments to Wage Payment and Collection impact employer recordkeeping obligations. Employers must retain pay stubs for a minimum of three years after the date of payment.
The amendment also clarifies the definition of a pay stub is: An itemized statement or statements reflecting an employee’s hours worked, rate of pay, overtime pay, and overtime hours worked, gross wages earned, deductions made from the employee’s wages, and the total of wages and deductions year to date.
Upon request, employers must provide copies of pay stubs to current or former employees within 21 days of the request. If an employer uses electronic pay stubs and a terminated employee will not retain access to the electronic system, the employer must offer to provide a record of all pay stubs for the past year upon the employee's separation from employment.
The amendment also includes a penalty of up to $500.00 per violation.
Recruiting Helps You Comply
Paycor Recruiting enables employers to include pay ranges in job postings, helping them comply with pay transparency laws.
For more information, see How to Add Pay Ranges to Your Job Postings in Recruiting.
Agency Resources
Updated: July 3rd, 2025 1013 views 1 likes