Bill > HB3820

This bill amends the Illinois Worker Adjustment and Retraining Notification Act to require employers to provide severance pay to terminated employees, with the amount calculated as one week of pay for each full year of employment. If an employer provides less notification time than legally required under the existing law, they must provide an additional 4 weeks of pay to the affected employee. The severance pay rate will be based on the employee's average regular compensation rate over their preceding 3 years of employment or their final regular compensation rate, whichever is higher. The bill specifies that severance pay should be considered compensation due for back pay and losses associated with termination, and is earned in full upon the end of the employment relationship. This legislation aims to provide financial protection for workers who are unexpectedly terminated by ensuring they receive a baseline level of compensation based on their years of service and providing additional compensation if proper notice is not given.

Business and Industry

https://www.ilga.gov/legislation/BillStatus.asp?DocNum=3820&GAID=18&DocTypeID=HB&SessionID=114&GA=104