Illinois Labor Compliance

To stay compliant with regional labor requirements for restaurants, employers in Illinois must take specific steps to schedule their teams correctly. 7shifts helps you manage these standards by providing automatic warnings for potential compliance fees directly in the schedule. You can also see any incurred costs reflected in your labor budget to help control operational expenses.

Prerequisites

⚠️ Access to this feature may require an upgrade from your current plan.
⚠️ The Labor Exceptions report is only available with 7punches or a POS labor integration.


Enable Labor Compliance

  1. Log in as an Admin on the web app.
  2. In the left navigation bar, head to Settings (or, hover over your profile photo) > Company Settings.
     

    Tip: Setting your Advanced Labor Rules here at the Company level will apply these settings to your entire Company (all locations) by default. 


    If you need to set or customize these compliance options for specific locations, you can do so by navigating to the Locations settings for the relevant location and modifying the Labor & Compliance section there. 

    Learn how to set Location-Level Settings here: Labor & Compliance Settings
     

  3. Select the Labor & Compliance tab.
     
  4. Under Jurisdiction, select Illinois, Illinois - Chicago or Illinois - Evanston.

     
  5. Review and set your overtime, break, custom break, and wages & pay settings.
     
  6. Under the Advanced Labor section, Illinois labor compliance settings will automatically populate as per the Jurisdiction set earlier. Checkmark the options according to your preferences:
  7. Be sure to hit Save to complete these changes!
  8. To restore default Illinois settings (including Overtime rules), click Re-sync labor & compliance settings:

Jurisdiction of Chicago, Illinois

By selecting the jurisdictions of Illinois - Chicago, you would have access to these jurisdiction-specific exceptions: 

Right to Rest 
Employees require a 10-hour rest period after a previous day's shift. A warning appears on the schedule if a shift falls within a rest period and a premium is paid equivalent to 1.25 times the employee's base rate for all hours worked within the rest period if the employee punches in.

Predictive Scheduling

Employers must provide at least 14 days' notice for work schedules. If an employer changes a published schedule within that 14-day window, Predictability Pay may be required and the following rules apply: 

Changes that will incur an Exception warning:

  • Changes with no loss of hours or added hours: The employee is owed one hour of pay (at their regular rate) per impacted shift if the employer:
    • Adds work hours to a shift.
    • Changes the date, start time, or end time with no loss of hours.
  • Reductions with >24 hours notice: The employee is owed 50%(0.5x) of their regular rate of pay for the lost hours if the employer:
    • Cancels or reduces a shift with at least 24 hours' notice.
  • Reductions with <24 hours notice: The employee is owed 50%(0.5x) of their regular rate of pay for the lost hours if the employer:
    • Cancels or reduces a shift with less than 24 hours' notice.

Exemptions

Predictability Pay is not required in the following scenarios:

  • Employee-Initiated Changes: Any change requested or initiated by the employee (e.g., shift trades, voluntary time off, or picking up open shifts).

Important: Fair Workweek Chicago is only required for companies with 100 or more employees worldwide (4,000+ employees worldwide for fast-food restaurants) and 30 or more locations worldwide. Only enable this exception if your company qualifies.

For more details, please review the Illinois Government website.

Jurisdiction of Evanston, Illinois

By selecting the jurisdictions of Illinois - Evanston, you would have access to these jurisdiction-specific exceptions: 

Right to Rest 
Employees require an 11-hour rest period after a previous day's shift. A warning appears on the schedule if a shift falls within a rest period and a premium is paid equivalent to 1.5 times the employee's base rate for all hours worked within the rest period if the employee punches in.

Predictive Scheduling 

Employers must provide at least 14 days' notice for work schedules. If an employer changes a published schedule within that 14-day window for changes greater than 15 minutes, Predictability Pay may be required, and the following rules apply: 

Changes that will incur an Exception warning:

  • Changes with no loss of hours or added hours: The employee is owed one hour of pay (at their regular rate) per impacted shift if the employer:

    • Adds work hours to a shift.

    • Changes the date, start time, or end time with no loss of hours.

  • Reductions with >24 hours notice: The employee is owed One hour of pay (at their regular rate) per impacted shift if the employer: 

    • Cancels or reduces a shift with at least 24 hours' notice

  • Reductions with <24 hours notice: The employee is owed Four hours of pay (at their regular rate) OR the total number of hours in the original shift, whichever is less if the employer: 

    • Cancels or reduces a shift with less than 24 hours' notice

Exemptions 

Predictability Pay is not required in the following scenarios:

  • Employee-Initiated Changes: Any change requested or initiated by the employee (e.g., shift trades, voluntary time off, or picking up open shifts).

Important: Fair Workweek Evanston is only required for retail/restaurant companies with 200 or more employees worldwide and 30 or more locations worldwide. Only enable this exception if your company qualifies.

For more details, please review the Illinois Government website.

View Exception Warnings

Exception warning will appear for Admins and Managers/Assistant Managers in the following areas:

On the Schedule page

To avoid/reduce exceptions, you will be warned about potential exceptions as you make changes to your schedule. Each time you create or make a change to a shift that causes an exception, a warning modal will appear indicating the type of exception and the associated cost. 

Before publishing a schedule, if there are labor exceptions that will be incurred, you will see a summary showing the number of exceptions, the total cost, and details of each exception. Once published, the exceptions will be recorded in the report. 

In the Shift Pool

You will also see a warning when assigning shifts through the Shift Pool that could cause an exception:

 

In Time Clocking

On the Time Clocking page as an exception warning:

On a Punch Overview:


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