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Illinois Publishes New Guidance on Equal Pay Registration Certificate Requirement

2022-05-12

Provides clarification on how to count employees for the EPRC filing

The recently published new guidance from the Illinois Department of Labor (IDOL) addresses the requirement for certain Illinois employers to obtain an equal pay registration certificate (EPRC).  In determining if an organization is covered by the EPRC requirement, a business should count the total number of employees who worked in or were based out of Illinois on December 31 of the 12-month calendar year immediately prior to the year the business is required to complete the EPRC report.  These counts should include employees who are working remotely outside Illinois if the business is based in Illinois.  However, businesses based in Illinois with multiple locations should only include employees who have a base location of Illinois.

The EPRC considers compensation to include all compensation to include paid salaries, earned commissions, earned bonuses, stocks and ownership shares paid pursuant to an employment contract or agreement, as typically identified in the W-2 Box 5.  Wages does not include health insurance benefits or other fringe benefits. 

Applications must be submitted by covered businesses between March 24, 2022 and March 23, 2024.  Each business will be contacted by IDOL with their assigned application due date and will be given 120 days to complete the applications.  Businesses should confirm their contact information at IDOL’s EPRC registration page.   After the initial submissions, covered businesses will have to recertify every two years. 

Businesses failing to file an initial application or recertification or for falsifying or misrepresenting information can be fined up to $10,000. 

Employers should be prepared with the following when they are filing the EPRC application: 

  • Wage records, including a copy of their most recently filed EEO-1 report.
  • An equal pay compliance statement.
  • A $150 filing fee.
  • Other information that may be relevant to explain any pay disparities. (optional)
  • A signature from a corporate officer, legal counsel, or authorized agent of the business. 

The foregoing has been prepared for the general information of clients and friends of Workplace Dynamics LLC and is not being represented as being all-inclusive or complete. It has been abridged from legislation, administrative ruling, agency directives, and other information provided by the government. It is not meant to provide legal advice with respect to any specific matter and should not be acted upon without professional counsel.