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Author: ADP Admin/Monday, February 3, 2025/Categories: Compliance Corner
Illinois has enacted legislation that will phase out employers' ability to pay a subminimum wage for employees with disabilities in the state. The goal of the new law is to eliminate the use of the subminimum wage by Dec. 31, 2029.
The Details
By way of background, state law allows employers, after receiving a certificate from the state, to pay a subminimum wage to workers who have disabilities.
Under the new law, the Employment and Economic Opportunity for Persons with Disabilities Task Force, the Illinois Council on Developmental Disabilities, and an academic partner must develop a multi-year plan of recommended actions, outcomes, and benchmarks to phase out the subminimum wage in the state. The state will also offer grants to help with the transition.
Next Steps
Illinois employers should watch for developments, including the schedule that is decided upon for phasing out the subminimum wage for employees with disabilities.