Exodus of businesses from Ill.

tod evans

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Illinois enacts mandatory paid leave ‘for any reason’

https://apnews.com/article/mandatory-paid-leave-work-illinois-law-435fabf7f5ce88d9ca9f1df692dadc2d

Illinois will become one of three states to require employers to offer paid time off for any reason after Gov. J.B. Pritzker signed a law on Monday that will take effect next year.

Starting Jan. 1, Illinois employers must offer workers paid time off based on hours worked, with no need to explain the reason for their absence as long as they provide notice in accordance with reasonable employer standards.

Just Maine and Nevada mandate earned paid time time off and allot employees the freedom to decide how to use it, but Illinois’ law is further reaching, unencumbered by limits based on business size. Similarly structured regulations that require employers to offer paid sick leave exist in 14 states and Washington, D.C., but workers can only use that for health-related reasons.

Illinois employees will accrue one hour of paid leave for every 40 hours worked up to 40 hours total, although the employer may offer more. Employees can start using the time once they have worked for 90 days. Seasonal workers will be exempt, as will federal employees or college students who work non-full-time, temporary jobs for their university.

Pritzker signed the bill Monday in downtown Chicago, saying: “Too many people can’t afford to miss even a day’s pay ... together we continue to build a state that truly serves as a beacon for families, and businesses, and good paying jobs.”

Proponents say paid leave is key to making sure workers, especially low-income workers who are more vulnerable, are able to take time off when needed without fear of reprisal from an employer.

But critics say the law will overburden small businesses already struggling to survive the post-pandemic era amid the high inflation that has gripped the nation for nearly two years.

National Federation of Independent Business Illinois state director Chris Davis said that business owners are best positioned to work with their employees one-on-one to meet their needs.

The new law is “a one-size-fits-all solution to a more intricate problem,” he said.

Bill sponsor Rep. Jehan Gordon-Booth, a Peoria Democrat, said the bill is the product of years of negotiations with businesses and labor groups.

“Everyone deserves the ability to take time off,” she said in a statement. “Whether it’s to deal with the illness of a family member, or take a step back for your mental health, enshrining paid leave rights is a step forward for our state.”

“This is about bringing dignity to all workers,” she said at the signing.

Ordinances in Cook County and Chicago that already require employers to offer paid sick leave have been in place since July 2017, and workers in those locations will continue to be covered by existing laws rather than the new state law.

Any new local laws enacted after the state law takes effect must provide benefits that are greater or equal to the state law.

Molly Weston Williamson, paid leave expert at the Center for American Progress, said the law “creates a strong foundation for employers to build from while generating a healthier, more productive workforce.”

But Williamson added that while Illinois’ law is a step in the right direction, U.S. paid leave laws remain “wildly out of line with all of our economic peers internationally.”

“In the United States, federal law does not guarantee anyone the right to even a single paid day off work. Not when you’re sick, not when you have a baby, not when your mom has a stroke. Not a single paid day,” she said.

Joan Van, a server at an international hotel chain and single mother of three, currently has no paid time off.

But the Belleville parent leader with Community Organizing and Family Issues said that knowing that she will have five days next year brings a smile to her face.

“It’s going to help out a lot of people, a lot of mothers, a lot of single mothers at that,” she said.
 
Many jobs have paid sick leave and vacation. If an employee wants those benefits, they should move to an employer that provides them.

But no, central planning and control is the way to go! (For socialists, communists, assorted totalitarians and ignorant morons).
 
Wait a minute.

This bill won't affect employers already offering vacation time, and personal time at the minimum.

What is the minimum? 1 hour per 40. Let's do the math. Most workers at 40 hours already receive time off.
Because there are so many workers intentionally kept at 35 hours to forestall paying benefits, let's use 35 hours, 50 weeks.

That's 1,750 hours per year. 1/40 is .025%. If a wage-earner works 35 hours uninterrupted for 50 weeks, he gets 43.75 hours off.
Yet, it says "up to 40 hours total", so that's only 40 hours off per year.

Basically, all this does is mandate 1 week of combined vacation/personal time per year.
 
Yeah. So, you're against any mandates? How about environmental laws or child labour laws?

all bad?

Keeping food healthy and edible, not poisonous... bad ?

Government afar=bad

Local = somewhat better.

This is Illinois so really none of my business other than to point out where they're trying to encroach now.

Pretty sure this latest directive from on high emanated from Chicago, I'd be interested in Peoria's take.

Either way my gut says businesses will be leaving just like they do with every new directive that encroaches on how they choose to do business.

[edit]

Everything government gets involved in it fucks up.
 
Yeah. So, you're against any mandates? How about environmental laws or child labour laws?

all bad?

Keeping food healthy and edible, not poisonous... bad ?

zsC7Y3c.jpg
 
Pretty sure this latest directive from on high emanated from Chicago, I'd be interested in Peoria's take.

Either way my gut says businesses will be leaving just like they do with every new directive that encroaches on how they choose to do business.

I'm down state, across the stream from St. Louis and right next door to Belleville (where the woman mentioned in the article lives). Big businesses are the only businesses that could reasonably be expected to leave the state since medium and small businesses tend to be tied to the local economy. And most big businesses already offer vacation and/or sick leave - so they'll just replace that with PTO, just like the medium and small businesses that offer vacation and/or sick leave. Who this will hurt is the medium and small businesses that don't already offer vacation/sick leave. Those won't have the option of leaving the state, so will have to either pass the costs along to their customers or else go out of business. So, I don't see this particular measure causing business to leave the state.

However, Illinois is and has been very unfriendly to business over recent decades; and it's taking a toll. Six big companies moved their corporate headquarters out of the state in 2022 (Tyson Foods, Citadel, Boeing, Caterpillar, FTX and Highland Ventures). Caterpillar hasn't moved any blue-collar jobs as yet, but they're not expanding in the state (choosing other states instead).

Chicago was the location for most corporate HQs, but it was difficult to recruit executives to live in Chicago, due primarily to crime.

As per AARP, Illinois income tax is a flat 4.5% (which is higher that neighboring Indiana's 3.15%, but lower than Missouri's graduated tax which tops out at 4.95% and hits most workers). Average sales tax rate is 8.82%. The property tax is outrageous at about 2.08% of assessed value - only New Jersey and parts of Connecticut are higher. The median-priced home will have you paying about $5K a year in property taxes.

Illinois may have the nation's worst public pension problem:
At 39% funded, according to the nonpartisan Pew Charitable Trusts, Illinois has the worst pension funding ratio of any state. By contrast, neighboring Wisconsin’s pension system is 103% funded. In fiscal year 2022, Illinois’ total general funds pension costs, including pension bond debt service, will consume $10.5 billion. That’s more than 25% of the state’s general revenues, and is just a fraction of the nearly $130 billion in total unfunded liabilities the state pension systems hold.

Attempts to keep up with this unsustainable debt burden without reform have already pulled money away from higher education, public safety, public health programs, and vital services for the poor and vulnerable. Since fiscal year 2000, a 584% increase in inflation-adjusted pension spending was accompanied by a 20% cut in spending on a range of core services.

Bottom line: Mandated PTO is the least of Illinois's problems.
 
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