Full Text of HB3539 100th General Assembly
HB3539eng 100TH GENERAL ASSEMBLY |
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| 1 | | AN ACT concerning finance.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 1. Short title. This Act may be cited as the Equal | 5 | | Pay Certificate Act. | 6 | | Section 5. Scope of Act. | 7 | | (a) After June 1, 2018, no contract to which this Act | 8 | | applies shall be executed with a bidder, offeror, contractor, | 9 | | vendor, or potential contractor, as defined in the Illinois | 10 | | Procurement Code, unless it has an equal pay certificate or it | 11 | | has an equal pay certificate or it has certified in writing | 12 | | that it is exempt. | 13 | | (b) A certificate is valid for 4 years. | 14 | | Section 10. Application for equal pay certificate. | 15 | | (a) A bidder shall apply for equal pay certificate by | 16 | | paying a $150 filing fee and submitting an equal pay compliance | 17 | | statement to the Department of Employment Security. The | 18 | | proceeds from the fees collected under this Act shall be | 19 | | deposited in to the Equal Pay Certificate Fund, a special fund | 20 | | created in the State Treasury. Money in the Fund shall be | 21 | | appropriated to the Department of Employment Security for the | 22 | | purposes of this Act. The Department of Employment Security |
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| 1 | | shall issue an equal pay certificate of compliance to a | 2 | | business that submits to the Department of Employment Security | 3 | | a statement signed by the chairperson of the board of chief | 4 | | executive officer of that business: | 5 | | (1) that the business is in compliance with Title VII | 6 | | of the Civil Rights Act of 1964, the Equal Pay Act of 2003, | 7 | | the Equal Wage Act, and the Illinois Human Rights Act; | 8 | | (2) that the average compensation for its female | 9 | | employees is not consistently below the average | 10 | | compensation for its male employees within each of the | 11 | | major job categories in the Employer Information Report | 12 | | EEO-1 for which an employee is expected to perform work | 13 | | under the contract, taking into account factors such as | 14 | | length of service, requirements of specific jobs, | 15 | | experience, skill, effort, responsibility, working | 16 | | conditions of the job, or other mitigating factors; | 17 | | (3) that the business does not restrict employees of | 18 | | one sex to certain job classifications and makes retention | 19 | | and promotion decisions without regard to sex; | 20 | | (4) that wage and benefit disparities are corrected | 21 | | when identified to ensure compliance with the laws cited in | 22 | | item (1) and with item (2); and | 23 | | (5) how often wages and benefits are evaluated to | 24 | | ensure compliance with the laws cited in item (1) and with | 25 | | item (2). | 26 | | (b) The equal pay compliance statement shall also indicate |
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| 1 | | whether the business, in setting compensation and benefits | 2 | | utilizes: | 3 | | (1) a market pricing approach; | 4 | | (2) state prevailing wage or union contract | 5 | | requirements; | 6 | | (3) a performance pay system; | 7 | | (4) an internal analysis; or | 8 | | (5) an alternative approach to determine what level of | 9 | | wages and benefits to pay its employees. | 10 | | If the business uses an alternative approach, the business | 11 | | must provide a description of its approach. | 12 | | (c) Receipt of the equal pay compliance statement by the | 13 | | Department of Employment Security does not establish | 14 | | compliance with the laws identified in item (1) of subsection | 15 | | (a). | 16 | | Section 15. Issuance or rejection of certificate. The | 17 | | Department of Employment Security must issue an equal pay | 18 | | certificate, or a statement of why the application was | 19 | | rejected, within 15 days after receipt of the application. An | 20 | | application may be rejected only if it does not comply with the | 21 | | requirements of Section 10. | 22 | | Section 20. Revocation of certificate. An equal pay | 23 | | certificate for a business may be suspended or revoked by the | 24 | | Department of Employment Security when the business fails to |
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| 1 | | make a good-faith effort to comply with the laws identified in | 2 | | item (1) of subsection (a) of Section 10, fails to make a | 3 | | good-faith effort to comply with this Act, or has multiple | 4 | | violations of this Article or the laws identified in item (1) | 5 | | of subsection (a) of Section 10. Prior to suspending or | 6 | | revoking a certificate, the Department of Employment Security | 7 | | must first have sought to conciliate with the business | 8 | | regarding wages and benefits due to employees. | 9 | | Section 25. Administrative review. | 10 | | (a) A business may obtain an administrative hearing before | 11 | | the suspension or revocation of its certificate is effective | 12 | | pursuant to the Illinois Administrative Procedure Acts. | 13 | | (b) The Department of Employment Security shall adopt rules | 14 | | for the fair administration of suspending or revoking equal pay | 15 | | certificates by March 1, 2018. | 16 | | Section 30. Revocation of contract. | 17 | | (a) If a contract is awarded to a business that does have | 18 | | an equal pay certificate as required under Section 10, or a | 19 | | business that is not in compliance with subsection (a) of | 20 | | Section 10, the Department of Employment Security may recommend | 21 | | that the contract be voided by the applicable Chief Procurement | 22 | | Officer as provided by Section 50-60 of the Illinois | 23 | | Procurement Code. The purchasing agency that is a party to the | 24 | | agreement must be notified by the Department of Employment |
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| 1 | | Security prior to the Department of Employment Security making | 2 | | a recommendation to the applicable Chief Procurement Officer. | 3 | | (b) A contract subject to this Act may be amended or | 4 | | terminated upon notice that the Department of Employment | 5 | | Security has suspended or revoked the certificate of the | 6 | | business. | 7 | | Section 35. Technical Assistance. The Department of | 8 | | Employment Security must provide technical assistance to any | 9 | | business that requests assistance regarding this Act. | 10 | | Section 40. Audit. The Department of Employment Security | 11 | | may audit the business' compliance with this Act. As part of an | 12 | | audit, upon request, a business must provide the Department of | 13 | | Employment Security the following information with respect to | 14 | | employees expected to perform work under the contract in each | 15 | | of the major job categories in the Employer Information Report | 16 | | EEO-1: | 17 | | (1) number of male employees; | 18 | | (2) number of female employees; | 19 | | (3) average annualized salaries paid to male employees | 20 | | and to female employees, in the manner most consistent with | 21 | | the employer's compensation system, within each major job | 22 | | category; | 23 | | (4) information on performance payments, benefits, or | 24 | | other elements of compensation, in the manner most |
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| 1 | | consistent with the employer's compensation system, if | 2 | | requested by the Department of Employment Security as part | 3 | | of a determination as to whether these elements of | 4 | | compensation are different for male and female employees; | 5 | | (5) average length of service for male and female | 6 | | employees in each major job category; and | 7 | | (6) other information identified by the business or by | 8 | | the Department of Employment Security, as needed, to | 9 | | determine compliance with items specified in subsection | 10 | | (a) of Section 10. | 11 | | Section 45. Access to data. Data submitted to the | 12 | | Department of Employment Security related to equal pay | 13 | | certificates are private data on individuals or nonpublic data | 14 | | with respect to persons other than Department employees. The | 15 | | Department's decision to issue, not issue, revoke, or suspend | 16 | | an equal pay certificate is public data. The Department shall | 17 | | publish a list of all businesses in compliance with this Act | 18 | | with current and valid equal pay certificates on its website. | 19 | | Section 50. Report. The Department of Employment Security | 20 | | shall report to the Governor and the General Assembly by | 21 | | January 31 of every odd-numbered year, beginning January 31, | 22 | | 2019. The report shall indicate the number of equal pay | 23 | | certificates issued, the number of audits conducted, the | 24 | | processes used by contractors to ensure compliance with |
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| 1 | | subsection (a) of Section 10, and a summary of its auditing | 2 | | efforts. | 3 | | Section 55. The State Finance Act is amended by adding | 4 | | Section 5.878 as follows: | 5 | | (30 ILCS 105/5.878 new) | 6 | | Sec. 5.878. The Equal Pay Certificate Fund.
| 7 | | Section 99. Effective date. This Act takes effect upon | 8 | | becoming law.
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