New laws aim to protect Illinois workers' pay

By WEEK Producer

New laws aim to protect Illinois workers' pay

July 23, 2013 Updated Jul 23, 2013 at 1:30 PM CDT

CHICAGO, Ill. – On Tuesday, Governor Pat Quinn signed new laws aimed at protecting the pay of Illinois workers.

The laws, House Bill 2649 and House Bill 923, deal with questionable business practices, especially in the construction industry.

“Workers shouldn’t have to worry about whether their employers are following the rules and paying everything they owe,” Governor Quinn said. “These new laws will also help the state collect the money it’s owed and help those out of work find employment.”

House Bill 2649, addresses a common construction industry practice of misclassifying workers as independent contractors in an effort to avoid paying payroll taxes, unemployment insurance, worker’s compensation premiums and overtime payments.

House Bill 923 requires that all contractors report to the Illinois Department of Labor all payments to people who are not classified as employees of the company.

The law prevents tax evasion and eases the tax liability for these types of workers.

Both laws take effect January 1.

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