Illinois Court Shuts Down State Attempt to Rewrite Definition of Who is Considered an Employer

The Illinois Wage Payment & Collection Act (Act) regulates pay, including final compensation, and is enforced by the Illinois Department of Labor, Fair Labor Standards Division (IDOL). The Act has defined an “employer” as we commonly understand it for decades. It was amended in 2011 to allow personal liability when an officer or agent of an employer knowingly permits a violation of the Act.

Recently, IDOL tried to maneuver around the well-known legal doctrine that separates a legal business entity from its individual shareholders, officers, and directors. Learn more on our Labor & Employment blog.