New year, new laws affecting businesses in 2025

Nearly 300 new Illinois laws are going into effect in 2025.

Listed below are some that may have a significant impact on you or your business.

Illinois Human Rights Act (SB 3310/PA 103-0973): Extends the deadline for employees to file discrimination charges from 300 days to 2 years but does not affect claims under the federal Equal Employment Opportunity Commission.

Illinois Human Rights Act (HB 4867/PA 103-0785): Amended to include the prohibition of discrimination on the basis of “reproductive health decisions.”

Illinois Human Rights Act (HB 2161/PA 103-0797): Amended to include the prohibition of discrimination on the basis of “family responsibilities.”

Equal Pay Act (HB 3129/PA 103-0539): Requires employers with 15+ employees to include pay scale and benefits in job postings for Illinois-based or reporting positions, notify current employees of promotion opportunities within 14 days of external postings, and imposes escalating penalties for noncompliance, from $500 to $10,000.

Personnel Record Review Act (HB 3763/PA 103-0845): Expands the documents employers must provide to employees upon request to include benefits-related records, employment contracts, handbooks, and policies affecting employment qualifications. It clarifies that requests for personnel records must be made in writing, with a seven-day response deadline from receipt, and outlines specific requirements for the employee’s request. It also allows employees to file suit in state court if an Illinois Department of Labor (IDOL) complaint is not resolved within 180 days, with the possibility of seeking attorney fees.

Illinois Wage Payment and Collection Act (SB 3208/PA 103-0953): Requires employers to provide employees with copies of pay stubs within 21 days of request, up to twice in any 12-month period, including the 12 months following employment separation. Employers must retain pay stubs for three years and may require requests to be made in writing to the individual responsible for maintaining the records.

Illinois Freedom to Work Act (SB 2737/PA 103-0915): Limits the enforceability of noncompete and non-solicit agreements in the mental health industry for providers serving veterans and first responders, making such covenants unenforceable if their enforcement likely would increase the cost or difficulty for veterans or first responders seeking mental health services.

Landlord Retaliation Act (HB 4768/PA 103-0831): Prohibits landlords from retaliating against tenants for taking certain protected actions unless the landlord can prove a legitimate, non-retaliatory reason or that the action began before the tenant’s protected activity.

Landlord Tenant Act (HB 4926/PA 103-0840): Bans landlords from charging application screening fees if a prospective tenant provides a reusable screening report prepared within the last 30 days, meeting specific state and federal requirements, including income verification and criteria consistent with the landlord’s screening process.

Illinois Insurance Code (HB 3639/PA 103-0454): Amended to limit medically necessary epinephrine injectors for children and teens to $60 for a twin-pack.

Illinois Insurance Code (HB 2443/PA 103-0530): Amended to require insurance companies to provide medically necessary hearing instruments for all individuals rather than just those under 18 years old.

Illinois Insurance Code (SB 2195/PA 103-0512): Permits an enrollee at any age coverage of a prosthetic or custom orthotic device for the most appropriate model medically necessary.

Illinois Insurance Code (HB 5357/PA 103-0858): Amended to require insurance companies to respond to all applications for homeowners insurance by providing availability of coverage for loss caused by a sewer backup or overflow from a sump pump.

Worker Freedom of Speech Act (SB 3649/PA 103-0722): Bans mandatory employee attendance at captive-audience meetings, for example, meetings providing information to employees on why they should not unionize.

Right to Privacy in the Workplace Act (SB 0508/PA 103-0879): Prohibits employers from voluntarily enrolling in an E-Verify program or similar electronic employment verification system. Prohibits employers from imposing work E-Verify programs or similar electronic employment verification systems.

Whistle Blower Act (HB 5561/PA 103-0867): Expands protections by replacing “retaliate” with “retaliatory action,” broadening the scope to include not only adverse employment actions that would discourage an employee from reporting information (including about immigration status) but also threats of such actions.

Illinois Secure Choice Savings Program Act (HB 4719/PA 103-0681): Altered so employers can designate open enrollment periods for the program, allowing employees who previously opted out to enroll later. Now allows employers to establish a qualified retirement plan at any time.

Large Event Facilities Act (SB 2876/PA 103-0927): Requires event facilities with capacities of 3,500+ to provide labeled recycling and organic waste disposal, sets penalties for noncompliance, and authorizes prosecution by state or municipal attorneys.

State Employees Group Insurance Act of 1971 (SB 0446/PA 103-0818): Amended to require state, county, and municipality employee-group-insurance-programs provide coverage for mental health therapy services for police officers and firefighters and their spouses or partners.

State Employees Group Insurance Act of 1971 (HB 5643/PA 103-0870): Amended to include coverage for at-home urinary pregnancy tests in group or individual policies for accident and health insurance or managed care plans.

Condominium Property Act (SB 2740/PA 103-0916): Requires the board of managers of a condominium to adopt policies to reasonably accommodate unit owners with a disability, including accessible parking.

Illinois Municipal Code (SB 3538/PA 103-1011): Orders municipalities or counties that are self-insured for health insurance to include coverage for mental health counseling for first responders.

Illinois Municipal Code (SB 2751/PA 103-0621): Prohibits charging building permit fees to veterans with disabilities or their caregivers for home improvements necessary to accommodate the veteran’s disability.

Illinois Municipal Code (SB 2918/PA 103-0929): Bars using any physical or mental disability, in whole or in part, that is the basis for an application of benefits under the Illinois Pension Code as grounds for discharging a police officer.

Illinois Municipal Code (HB 2154/PA 103-0796): Forbids counties, townships, or municipalities from requiring permits or other approvals for the installation, maintenance, placement, replacement, or servicing of a battery-charged fence in certain instances.

Illinois Public Labor Relations Act (HB 5324/PA 103-0856): Specifies that the annual reporting requirements for the Illinois Labor Relations Board and the Illinois Educational and Labor Relations Board will be based on a timeliness goal outlined in the Act rather than a specific schedule.

Illinois Vehicle Code (SB 3775/PA 103-1047): Requires the driver of a vehicle involved in certain types of crashes, where no police officer is present, to notify the specified law enforcement agency by the fastest available means.

Illinois Vehicle Code (HB 5325/PA 103-0706): Updates vehicle registration sticker placement requirements, revises definitions and rules related to motor vehicles and bicycles and modifies provisions on towing, traffic signals, crash reporting, vehicle lighting, street racing, and other operational regulations.

Illinois Vehicle Code (HB 4589/PA 103-0677): Requires transactions involving a catalytic converter to include the identification number of the vehicle from which it was removed and the party number or other identifying number.

State Revenue Sharing Act and Public Funds Investment Act (SB 0536/PA 103-0880): Permits public agencies to invest funds in non-specified instruments, provided the investments comply with applicable laws and the agency’s adopted investment policy.

Retailers Occupation Tax Act (SB 3362/PA 103-0983): Clarifies that retailers making out-of-state sales of tangible personal property to Illinois customers are subject to the Retailers’ Occupation Tax if certain conditions are met, treating the business as operating at the Illinois location where the property is delivered, or possession is taken.

Automatic Contract Renewal Act (SB 2764/PA 103-0919): Mandates that businesses offering free trials longer than 15 days must email consumers at least three days before the cancellation deadline.

Consumer Fraud and Deceptive Business Practices Act (SB 3479/PA 103-0783): Requires businesses offering veteran or military benefit services for a fee to disclose all terms up front.

Child Labor Law of 2024 (SB 3646/PA 103-0721): Demands employers obtain certificates authorizing minor employment, maintains detailed personnel records, restricts minors’ working hours, prohibits them from certain hazardous industries, allows exceptions for specific roles like performing arts, and imposes penalties up to $60,000 for severe violations.

Abandoned Newborn Infant Protection Act (SB 3232/PA 103-0958): Amended to require hospitals to provide the name and contact information of the child welfare agency holding custody of a newborn infant to any person who gave up the infant if the person seeks to reclaim the child within 30 days, similar to the policies followed by police and fire departments.

For a comprehensive list of new laws, visit https://www.ilga.gov/reports/Preview/Lawsfor2025.

• Contact us to set up a free consultation. Lavelle Law, Ltd., 1933 N. Meacham Road, Suite 600, Schaumburg, IL 60173, (847) 705-7555, www.lavellelaw.com.