Paid Time Off Mandate Passed in Illinois

By: James Flippin · March 21, 2023 · Reading Time: 3 minutes

Workers Win

Illinois just passed a law mandating up to 40 hours per year of paid time off for all full-time employees.

Illinois was the third state in the US to do so, in what was widely seen as a win for workers. The law entitles employees to one hour of paid leave for every 40 hours worked, up to 40 hours total. Once they’ve worked for 90 days, they can use the time off for any reason.

The law is set to go into effect January 1st, 2024.

Two Sides to the Story

While this new mandate is cause for celebration by many employees, many employers have concerns.

The health and happiness of workers was thrust into the spotlight with the pandemic. Many businesses were quick to recognize the advantage and necessity of prioritizing employees. But some companies based in Illinois argue the new PTO regulation may not be the best way to ensure it.

Like consumers and workers, businesses have also faced the hurdle of rising costs, and the PTO mandate adds another expense to their budgets. This could translate to higher prices for the consumer, or decrease the money coming in, coming back to hurt employees in the long run.

Good for Workers, Bad for Business

Proponents of the new law say the mandate will foster a healthier workforce, benefiting both employees and employers. Paid leave could provide more time with family and loved ones, improve mental health, and ultimately lead to increased productivity when it’s time to get back to work.

In the end, there are pros and cons to everything. For Illinois-based workers, the new PTO law is an excuse to start thinking about what to do with some extra time on your hands. For companies, it may mean it’s time to revisit the budget and see where it can be tightened. And for everyone else, it’s a helpful reminder that win-win solutions are far less common than trade-offs.

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