Labor & Employment

Amends the Public Employee Disability Act. Provides that, whenever an eligible employee suffers any injury or illness in the line of duty (rather than suffers any injury in the line of duty) which causes that employee to be unable to perform the employee's duties, the employee shall continue to be paid by the employing public entity on the same gross pay basis, inclusive of all pensionable salary, as the employee was paid before the injury (rather than paid by the employing public entity on the same basis as he was paid before the injury), with no deduction from and with continued accrual of any sick leave credits (rather than with no deduction from his sick leave credits) and specified other compensation, with other requirements. Makes technical changes.

Amends the Employment of Teachers Article of the School Code. In a provision requiring a school board, before setting a hearing on charges stemming from causes that are considered remediable, to give a teacher reasonable warning, in writing, stating specifically the causes that, if not removed, may result in charges, allows a teacher to grieve the issuance of such warning pursuant to the applicable collective bargaining agreement to determine whether the board had just cause in issuing the warning. Requires the written warning to narrowly specify the nature of the alleged misconduct that needs to be remedied. Provides that under no circumstances may the written warning remain effective for longer than 4 years from the date of the issuance of the written warning. Requires the school district to use reasonable efforts to remove the written warning from the teacher's personnel file after the 4 years have elapsed or sooner if agreed to through the exclusive bargaining representative, with an exception. Effective immediately.

Amends the Volunteer Emergency Worker Job Protection Act. Provides that employment protections for volunteer emergency workers apply to volunteer emergency workers participating in required training, including a prohibition on termination and penalizing (rather than only termination). Provides that the employer may not require the employee to take vacation time or other compensatory time in order to respond to an emergency or participate in training. Provides that the Act does not apply to any employer that is a municipality with a population of 15,000 or more (currently 7,500 or more). Makes conforming changes.

Amends the Chicago Police, Chicago Firefighter, and Chicago Municipal Articles of the Illinois Pension Code. Provides that a person who becomes a member on or after January 1, 2026 shall be automatically enrolled into a federal tax qualified pre-tax retirement plan that is otherwise allowed by State and federal law. Provides that a member subject to automatic enrollment shall have the option to opt out of the plan and shall be informed of that option within 30 days after being hired. Provides that if another option is not chosen by the member, the default employee contribution to the account shall be 3% of the member's salary. Provides that the plan administrator may automatically increase members contributions by no more than 1% per year, and a member may choose to opt out of the automatic increases. Amends the State Mandates Act to require implementation without reimbursement. Effective immediately.

Creates the Transparency in Downcoding Act. Provides that the Act applies to certain policies of health insurance amended, delivered, issued, or renewed on or after the effective date of the Act, except for employee or employer self-insured health benefit plans under the federal Employee Retirement Income Security Act of 1974 and health care provided pursuant to the Workers' Compensation Act or the Workers' Occupational Diseases Act. Prohibits a health insurance issuer from using an automated process, system, or tool to downcode a claim; from downcoding a claim based solely on the reported diagnosis codes; and from using downcoding practices in a targeted or discriminatory manner against physicians who routinely treat patients with complex or chronic conditions. Requires downcoding decisions to be made by a physician licensed to practice medicine in all its branches in any United States jurisdiction and of the same or similar specialty as a physician who typically manages the medical condition or disease. Sets forth provisions concerning notification requirements for downcoded claims; the appeal process for downcoded claims; enforcement by the Department of Insurance; and penalties. Provides that any pattern or practice of discriminatory downcoding identified by the Director of Insurance or another regulatory authority shall be subject to enforcement actions, including fines, restitution, or suspension of the health insurance issuer's license in this State. Effective immediately.

Amends the Evaluation of Certified Employees Article of the School Code. Prohibits an evaluator from using an artificial intelligence tool to assign a numerical score or qualitative rating for any component of a teacher's evaluation or any evaluation task that requires professional judgment. However, allows an artificial intelligence tool to be used to support the evaluator in administrative tasks.

Amends the Health Care Violence Prevention Act. Makes changes to defined terms. In provisions concerning workplace safety, provides that a health care worker may not be discouraged from contacting law enforcement or the Department of Public Health regarding workplace violence and a health care provider may not hold a policy that limits such contact. Adds additional requirements to the workplace violence prevention program, including reporting requirements and identifying the need for additional security and alarms, adequate exit routes, monitoring systems, barrier protections, lighting, entry procedures, and systems to identify and flag persons who have previously committed violent acts in the health care provider space. Sets forth provisions concerning violent incident investigations and recordkeeping and reporting requirements for health care providers regarding violent incidents. Establishes penalties for failure to comply with the Act. Amends the Freedom of Information Act. Exempts from public disclosure workplace violence records maintained by health care providers as required under a specified provision of the Health Care Violence Prevention Act.

Declares March 31, 2026 as Farmworkers Day in the State of Illinois in recognition of the essential contributions and sacrifices of farmworkers past and present. Recognizes the multiracial, intergenerational coalition of workers, including men, women, and children, whose collective action transformed labor rights in this country. Honors the courage, resilience, and contributions of farmworkers in the State of Illinois and across the United States.

Creates the Best Interest of the State Act. Provides that any collective bargaining unit, contractor, or subcontractor participating in a project labor agreement shall satisfy specified requirements to promote racial inclusion, diversity, and equity. Contains provisions concerning prequalification of collective bargaining units, contractors, and subcontractors; the determination of the demographic make-up of counties; complaints to the Commission on Equity and Inclusion; and penalties. Amends the State Finance Act to create the Local Construction Training and Development Fund. Amends the Project Labor Agreements Act and the Commission on Equity and Inclusion Act to make conforming changes. Effective immediately.

Amends the Smart Start Illinois Act. Expands eligibility under the Smart Start Child Care Workforce Compensation Program to Head Start and Early Head Start programs.