Wage Lien Bill Gains Traction

Date: April 15, 2016 Last Edit: April 19, 2016

Legislation that would allow an employee who alleges “wage theft” to file a lien against the employers business and personal property is making its way through the Illinois House. 

HB 1290, sponsored by Rep. Barbara Flynn Currie (Chicago), sets up a new process for those who feel they have not been paid their fair wages by allowing them to file a lien on their employers’ property without due process.  

The employee would have to give notice in writing to the employer 5 days before they filing the lien. The lien would not attach if the employer has a surety bond to cover the cost of the claim.

Proponents claim the current system of filing a complaint with the Illinois Department of Labor is too slow and ineffective. They argue by the time the dispute is resolved, the employers who owe the back wages have dissolved their business, moved their assets or simply closed the business down making it hard pursue them.

Obviously, NFIB is opposed and very concerned about abuse of this process and the filing of liens without any proof, which could cause innocent businesses to have to hire an attorney and go to court to release the lien. 

Related Content: Small Business News | Illinois | Labor

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