| |||||||
| |||||||
1 | AN ACT concerning employment.
| ||||||
2 | Be it enacted by the People of the State of Illinois, | ||||||
3 | represented in the General Assembly:
| ||||||
4 | Section 5. The Illinois Freedom to Work Act is amended by | ||||||
5 | changing Section 10 as follows:
| ||||||
6 | (820 ILCS 90/10) | ||||||
7 | Sec. 10. Prohibiting covenants not to compete and | ||||||
8 | covenants not to solicit. | ||||||
9 | (a) No employer shall enter into a covenant not to compete | ||||||
10 | with any employee unless the employee's actual or expected | ||||||
11 | annualized rate of earnings exceeds $75,000 per year. This | ||||||
12 | amount shall increase to $80,000 per year beginning on January | ||||||
13 | 1, 2027, $85,000 per year beginning on January 1, 2032, and | ||||||
14 | $90,000 per year beginning on January 1, 2037. A covenant not | ||||||
15 | to compete entered into in violation of this subsection is | ||||||
16 | void and unenforceable. | ||||||
17 | (b) No employer shall enter into a covenant not to solicit | ||||||
18 | with any employee unless the employee's actual or expected | ||||||
19 | annualized rate of earnings exceeds $45,000 per year. This | ||||||
20 | amount shall increase to $47,500 per year beginning on January | ||||||
21 | 1, 2027, $50,000 per year beginning on January 1, 2032, and | ||||||
22 | $52,500 per year beginning on January 1, 2037. A covenant not | ||||||
23 | to solicit entered into in violation of this subsection is |
| |||||||
| |||||||
1 | void and unenforceable. | ||||||
2 | (c) No employer shall enter into a covenant not to compete | ||||||
3 | or a covenant not to solicit with any employee who an employer | ||||||
4 | terminates or furloughs or lays off as the result of business | ||||||
5 | circumstances or governmental orders related to the COVID-19 | ||||||
6 | pandemic or under circumstances that are similar to the | ||||||
7 | COVID-19 pandemic, unless enforcement of the covenant not to | ||||||
8 | compete includes compensation equivalent to the employee's | ||||||
9 | base salary at the time of termination for the period of | ||||||
10 | enforcement minus compensation earned through subsequent | ||||||
11 | employment during the period of enforcement. A covenant not to | ||||||
12 | compete or a covenant not to solicit entered into in violation | ||||||
13 | of this subsection is void and unenforceable. | ||||||
14 | (d) A covenant not to compete is void and illegal with | ||||||
15 | respect to individuals covered by a collective bargaining | ||||||
16 | agreement under the Illinois Public Labor Relations Act or the | ||||||
17 | Illinois Educational Labor Relations Act and individuals | ||||||
18 | employed in construction. This subsection (d) does not apply | ||||||
19 | to construction employees who primarily perform management, | ||||||
20 | engineering or architectural, design, or sales functions for | ||||||
21 | the employer or who are shareholders, partners, or owners in | ||||||
22 | any capacity of the employer. | ||||||
23 | (e) Any covenant not to compete or covenant not to solicit | ||||||
24 | entered into after the effective date of this amendatory Act | ||||||
25 | of the 103rd General Assembly shall not be enforceable with | ||||||
26 | respect to the provision of mental health services to veterans |
| |||||||
| |||||||
1 | and first responders by any licensed mental health | ||||||
2 | professional in this State if the enforcement of the covenant | ||||||
3 | not to compete or covenant not to solicit is likely to result | ||||||
4 | in an increase in cost or difficulty for any veteran or first | ||||||
5 | responder seeking mental health services. | ||||||
6 | For the purpose of this subsection: | ||||||
7 | "First responders" means emergency medical services | ||||||
8 | personnel, as defined in the Emergency Medical Services (EMS) | ||||||
9 | Systems Act, firefighters, and law enforcement officers. | ||||||
10 | "Licensed mental health professional" means a person | ||||||
11 | licensed under the Clinical Psychologist Licensing Act, the | ||||||
12 | Clinical Social Work and Social Work Practice Act, the | ||||||
13 | Marriage and Family Therapy Licensing Act, the Nurse Practice | ||||||
14 | Act, or the Professional Counselor and Clinical Professional | ||||||
15 | Counselor Licensing and Practice Act. | ||||||
16 | (Source: P.A. 102-358, eff. 1-1-22 .)
|