Bill Text: IL SB0507 | 2023-2024 | 103rd General Assembly | Engrossed

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Bill Title: Amends the Illinois Freedom to Work Act. Provides that the definition of "first responders" means any persons who are currently or formerly employed as: (i) emergency medical services personnel, (ii) firefighters, and (iii) law enforcement officers. Effective January 1, 2025.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Engrossed) 2024-11-21 - Chief House Sponsor Rep. Emanuel "Chris" Welch [SB0507 Detail]

Download: Illinois-2023-SB0507-Engrossed.html

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AN ACT concerning employment.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Illinois Freedom to Work Act is amended by
changing Section 10 as follows:
(820 ILCS 90/10)
(Text of Section before amendment by P.A. 103-915 and
103-921)
Sec. 10. Prohibiting covenants not to compete and
covenants not to solicit.
(a) No employer shall enter into a covenant not to compete
with any employee unless the employee's actual or expected
annualized rate of earnings exceeds $75,000 per year. This
amount shall increase to $80,000 per year beginning on January
1, 2027, $85,000 per year beginning on January 1, 2032, and
$90,000 per year beginning on January 1, 2037. A covenant not
to compete entered into in violation of this subsection is
void and unenforceable.
(b) No employer shall enter into a covenant not to solicit
with any employee unless the employee's actual or expected
annualized rate of earnings exceeds $45,000 per year. This
amount shall increase to $47,500 per year beginning on January
1, 2027, $50,000 per year beginning on January 1, 2032, and

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$52,500 per year beginning on January 1, 2037. A covenant not
to solicit entered into in violation of this subsection is
void and unenforceable.
(c) No employer shall enter into a covenant not to compete
or a covenant not to solicit with any employee who an employer
terminates or furloughs or lays off as the result of business
circumstances or governmental orders related to the COVID-19
pandemic or under circumstances that are similar to the
COVID-19 pandemic, unless enforcement of the covenant not to
compete includes compensation equivalent to the employee's
base salary at the time of termination for the period of
enforcement minus compensation earned through subsequent
employment during the period of enforcement. A covenant not to
compete or a covenant not to solicit entered into in violation
of this subsection is void and unenforceable.
(d) A covenant not to compete is void and illegal with
respect to individuals covered by a collective bargaining
agreement under the Illinois Public Labor Relations Act or the
Illinois Educational Labor Relations Act and individuals
employed in construction. This subsection (d) does not apply
to construction employees who primarily perform management,
engineering or architectural, design, or sales functions for
the employer or who are shareholders, partners, or owners in
any capacity of the employer.
(Source: P.A. 102-358, eff. 1-1-22.)

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(Text of Section after amendment by P.A. 103-915 and
103-921)
Sec. 10. Prohibiting covenants not to compete and
covenants not to solicit.
(a) No employer shall enter into a covenant not to compete
with any employee unless the employee's actual or expected
annualized rate of earnings exceeds $75,000 per year. This
amount shall increase to $80,000 per year beginning on January
1, 2027, $85,000 per year beginning on January 1, 2032, and
$90,000 per year beginning on January 1, 2037. A covenant not
to compete entered into in violation of this subsection is
void and unenforceable.
(b) No employer shall enter into a covenant not to solicit
with any employee unless the employee's actual or expected
annualized rate of earnings exceeds $45,000 per year. This
amount shall increase to $47,500 per year beginning on January
1, 2027, $50,000 per year beginning on January 1, 2032, and
$52,500 per year beginning on January 1, 2037. A covenant not
to solicit entered into in violation of this subsection is
void and unenforceable.
(c) No employer shall enter into a covenant not to compete
or a covenant not to solicit with any employee who an employer
terminates or furloughs or lays off as the result of business
circumstances or governmental orders related to the COVID-19
pandemic or under circumstances that are similar to the
COVID-19 pandemic, unless enforcement of the covenant not to

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compete includes compensation equivalent to the employee's
base salary at the time of termination for the period of
enforcement minus compensation earned through subsequent
employment during the period of enforcement. A covenant not to
compete or a covenant not to solicit entered into in violation
of this subsection is void and unenforceable.
(d) A covenant not to compete is void and illegal with
respect to individuals covered by a collective bargaining
agreement under the Illinois Public Labor Relations Act or the
Illinois Educational Labor Relations Act.
(e) A covenant not to compete or a covenant not to solicit
is void and illegal with respect to individuals employed in
construction, regardless of whether an individual is covered
by a collective bargaining agreement. This subsection (e) does
not apply to construction employees who primarily perform
management, engineering or architectural, design, or sales
functions for the employer or who are shareholders, partners,
or owners in any capacity of the employer.
(f) (e) Any covenant not to compete or covenant not to
solicit entered into after January 1, 2025 (the effective date
of Public Act 103-915) this amendatory Act of the 103rd
General Assembly shall not be enforceable with respect to the
provision of mental health services to veterans and first
responders by any licensed mental health professional in this
State if the enforcement of the covenant not to compete or
covenant not to solicit is likely to result in an increase in

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cost or difficulty for any veteran or first responder seeking
mental health services.
For the purpose of this subsection:
"First responders" means any persons who are currently or
formerly employed as: (i) emergency medical services
personnel, as defined in the Emergency Medical Services (EMS)
Systems Act, (ii) firefighters, and (iii) law enforcement
officers.
"Licensed mental health professional" means a person
licensed under the Clinical Psychologist Licensing Act, the
Clinical Social Work and Social Work Practice Act, the
Marriage and Family Therapy Licensing Act, the Nurse Practice
Act, or the Professional Counselor and Clinical Professional
Counselor Licensing and Practice Act.
(Source: P.A. 102-358, eff. 1-1-22; 103-915, eff. 1-1-25;
103-921, eff. 1-1-25; revised 10-10-24.)
Section 95. No acceleration or delay. Where this Act makes
changes in a statute that is represented in this Act by text
that is not yet or no longer in effect (for example, a Section
represented by multiple versions), the use of that text does
not accelerate or delay the taking effect of (i) the changes
made by this Act or (ii) provisions derived from any other
Public Act.