SimplyHR | Employment & Labor Blog 

The Illinois Department of Labor (IDOL) recently adopted new regulations governing several provisions under the Illinois Wage Payment and Collection Act (IWPCA). Among them, the IDOL adopted new regulations that:

1. create a five-factor test for determining when work-related expenses incurred by an employee primarily benefits the employer, such that the employer is required to reimburse the employee for those specific expenditures;
2. clarify when employers may be liable for payment of employee expenses that exceed amounts set forth in the employer’s written expense reimbursement policy;
3. create new recordkeeping requirements relating to employee-incurred expenses;
4. clarify when an employee may file a claim with the IDOL seeking reimbursement of expenses;
5. clarify what constitutes an enforceable wage deduction agreement for deductions occurring over a defined period; and
6. create enhanced penalties for violations of the IWPCA.