Illinois’ business climate could soon get even less friendly
for business owners, if a new bill in the Illinois House of Representatives
becomes law.
House Bill 4324, introduced by state Rep. Emanuel “Chris” Welch, D-Hillside,
would allow for the possibility of a hold being placed on business owners’
property – both business and potentially personal – if an employee claims he or
she is owed wages that were not paid. The employee would make such a claim with
the Department of Labor, or DOL, against the employer, and the employer would
have little time to respond if served notice.
HB 4324 provides “that a lien exists on an employer’s property for the amount of
unpaid wages owed to an employee” if a business owner does not respond to a
notice within five calendar days. Within those five days, business owners have
two options: Ensure the “claimant is paid in full” or take “any other
appropriate actions to resolve the matter under the circumstances.” The latter
could require fighting the claim with legal action, a costly and time-consuming
prospect.
For small business owners, such as Mike Monseur of Springfield, this could be
particularly painful.
“This is why people won’t invest in this state,” said Monseur, who co-owns
several Godfather’s Pizza locations in central Illinois. “Businesses are
targets.”
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“All [employees] have to do is make a claim and
then you’re faced with attorney fees … Do you think people are going
to want to invest in Illinois?”
Business owners in Illinois are already struggling
with the some of the highest property taxes in the nation and an
outdated, uncompetitive workers’ compensation system. This proposal
would erect yet another hurdle for business owners, and would in
turn hurt job seekers as businesses cut back on investment in the
state.
Burdens from the state are on top of local taxes and regulations
businesses have to navigate, too. Of concern for Monseur and other
Springfield-area business owners is the possibility of a 2 percent
dine-in tax – a policy that has already been implemented in Decatur
and several Chicago suburbs despite disdain from restaurant owners
and customers.
Illinoisans desperately need policies that will improve the state’s
dismal jobs climate rather than scare away potential investment.
Bills like HB 4324 do the latter.
“You don’t want to attack businesses and discourage them from
investing in the community,” Monseur said. “And unfortunately our
legislators are drafting legislation that make businesses the
victim.
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