Illinois lawmakers pass a bill they say will help prevent wage theft

[April 12, 2022]  By Andrew Hensel | The Center Square

(The Center Square) – Illinois lawmakers have passed a measure supporters say will help combat wage theft among constructions workers.

House Bill 5412 was introduced by state Sen. Cristina Castro, D-Elgin. She said the measure would help workers collect wages from subcontractors that have not been able to pay.

If a subcontractor fails to pay an employee, HB5412 states that an employee can file a legal claim with the general contractor for any unpaid wages and benefits. The measure exempts unionized contractors from being impacted by the wage theft provisions.

The bill was met with heavy debate on the last day of the legislative session.

"I think there was a lot of confusion from the opponents on what a current law did or did not do compared to this," Castro said. "All this does is add another avenue for someone to seek to be reimbursed for lost wages."

Castro said her bill ensures workers' wages are paid.

"This measure will ensure that the hardworking individuals who are employed by subcontractors receive fair compensation should that subcontractor fail to pay them,” Castro said.

Some lawmakers are concerned the legislation would add costs and complications to the contracting process. State Sen. Jason Plummer, R-Edwardsville, said the bill would drive up costs for Illinois.

"What we are about to do is vote on a bill that will have dramatic ramifications on the people that live in your districts," Plummer told senators. "It is going to drive up costs for them."

Illinois state Sen. Cristina Castro, D-Elgin
Image courtesy of BlueRoomStream

Opponent Roxanna Daniel, operations manager at Taj Development company, said the component exempting union subcontractors in the measure is anti-American and bad for businesses across the spectrum.

“They’re not trying to be multimillionaires,” Daniel said during a news conference last month. “Some of them aren’t even trying to be entrepreneurs. They just want to eat and they don’t want to join the union."

After much debate on the Senate floor, the bill was passed by a vote of 38-18. Some unions in the construction industry have also spoken out in support of the bills passing.

Gary Perinar, executive secretary-treasurer of the Mid-America Carpenters Regional Council, said that Illinois is showing workers they are protected.

“We have been leading the fight against worker exploitation in every state, and Illinois is showing that hardworking men and women are valued and protected here," Perinar said. "When workers are getting ripped off and not paid what they are owed, that should outrage every single person on a job site."

The bill is now poised for the governor's desk.

Andrew Hensel has years of experience as a reporter and pre-game host for the Joliet Slammers, and as a producer for the Windy City Bulls. A graduate of Iowa Wesleyan University and Illinois Media School, Andrew lives in the south suburbs of Chicago.