If your company qualifies for the EPRC requirement, but has not yet applied for an EPRC, you should act now to meet compliance requirements.

In the summer of 2021, Illinois Governor J.B. Pritzker signed into law several amendments to Illinois statutes focused on equal pay initiatives. One of those amendments requires companies with 100 or more employees in the state, who also file an EEO-1 (Annual Employer Information Report) with the Equal Employment Opportunity Commission (“EEOC”), to obtain an Equal Pay Registration Certificate (“EPRC”) from the Illinois Department of Labor (“IDOL”) and recertify on a rolling two year basis. The first EPRC Reporting deadline was March 23, 2024. The intent is to make the EPRC data – similar to that on the EEO-1 – public within 90 days of the IDOL’s receipt of the data.

While IDOL regulations state that the agency would contact every qualifying Illinois business and provide at least 120 days’ notice of the company’s compliance date for obtaining an EPRC, it is possible – even likely – that not every qualifying business heard from the IDOL or received compliance instructions.

However, employers should note that the required application materials include a current EEO-1 report and the demographic data that report entails, and an equal pay compliance certification that the average compensation of female and minority employees (as defined in the Business Enterprise for Minorities, Women, and Persons with Disabilities Act, 30 ILCS 575) is “not consistently below” the average compensation for male and non-minority employees. The company must also certify that it is in compliance with all other equal pay and anti-discrimination laws. The IDOL has an online EPRC Portal which will walk employers through the process.

Employers determine whether they have 100 or more qualifying employees by counting the number of full and part-time employees working for the business where the business’s base of operations is within Illinois. Remote employees count towards the threshold if the location from which the job done by the employee is directed or controlled is within Illinois. Remote employees who live in Illinois even if the job is directed or controlled from outside the state also count towards the qualifying threshold.

Independent contractors do not count toward the 100 employee threshold.

The IDOL FAQ’s indicate that the agency will contact employers regarding the two year recertification requirement with at least 180 days’ notice before the recertification deadline. The statute affords employers a 30 day compliance window for inadvertent failures to comply with the EPRC application requirement. Future violations of the EPRC requirements may carry a fine of up to $10,000.

If you have questions about the Illinois Equal Pay Act or other pay equity and transparency matters, please reach out to a member of Kelley Drye’s labor and employment team.

Illinois Equal Pay Act Compliance Deadline