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February 2012

Legislative Update

A Bit of Legislative Potpourri to Start Off the New Year.......


1.  Illinois Equal Pay, Prevailing Wage Penalties Increase
A number of changes to laws affecting Illinois employers took effect January 1. 2012, including increased penalties for non-compliance with the Prevailing Wage Act.


Senate Bill 115, signed into law as Public Act (PA) 97-512, increased penalties for employers who violate the statute that prohibits employers with four or more employees from paying unequal wages to men and women for doing the same work, or who interfere with employees' rights under the act or discriminate against employees who exercise their rights to sue under the act.


House Bill (HB) 3237 (PA 97-0571) amended the Prevailing Wage Act to increase the penalty for willfully failing to comply, from a Class B misdemeanor to a Class A misdemeanor.  The Prevailing Wage Act requires contractors and subcontractors on construction projects to pay no less than the general prevailing wage rate.  HB 3237 also gives federal, state, or local lawmakers access to certified payroll records.  In addition, HB 3237 provides that any contractor or subcontractor convicted of a violation of this Ac can be disqualified from  participating in any public work project for four years, with no right to a hearing.

 

2.  NLRB Union Poster Mandate Postponed Again!
April 30, 2012 is the new date when most private-sector employers will be required to post a notice advising employees of their rights under the National Labor Relations Act.
This is the second time the effective date of the notice's posting has been delayed.  Originally, employers were expected to comply with the requirement back in November of 2011.  But that was pushed back to January 31, 2012.

The National Labor Relations Board (NLRB) announced the latest change - to April 30, 2012- in a statement released on its website, explaining that the postponement comes at the request of the federal court in Washington, D.C.  that was hearing a legal challenge to the NLRB regulation.


The National Association of Manufacturers filed a lawsuit September 8, 2011, in the U.S. District Court in Washington, D.C. against the NLRB.  It accused the NLRB of overstepping its authority by issuing the regulation.  The Proposed "Employee Workplace Freedom Act" which would rescind the NLRB rule, was pending in Congress.


Another bill before Congress, the "Protecting Jobs From Government Interference Act" (H..R. 2587) would prohibit the NLRB from ordering any employer to relocate or transfer employment under any circumstance.


The NLRB notice would be required to be posted where other notifications and employer rules and policies are displayed.  The poster outlines illegal actions by employers and unions and lists employee rights, which include being able to:
-  Organize a union to negotiate with an employer concerning wages, hours and other terms and conditions of employment
-  Form, join or assist a union
-  Bargain, collectively through representatives of employees' choosing for a contract with an employer setting wages, benefits, hours and working conditions
-  Discuss wages and benefits and other terms and conditions of employment or union organizing with co-workers or a union
-  Take action with one or more co-workers to improve working conditions by, among other means, raising work-related complaints, direct contact with a government agency, and seeking help from a union
-  Strike and picket, depending on the purpose or means of the strike or the picketing
-  Choose not to do any of these activities, including joining or remaining a member of a union
In addition, the regulation instructs employers to publish a link to the notice on an internal or external website if other personnel policies or work rules are also posted there.

Source: 
SHRM Website:
 www.shrm.org/LegalIssues/StateandLocalResources/Pages/illinoisEqualPayPrevailingWage  
SHRM Website: 
www.shrm.org/hrdisciplines/laborrelations/articles/Pages/PosterDelayedAgain

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