House Bill 5247 now Public Act 96-1185 requires a third party client to pay wages and related payroll taxes to a licensed day and temporary labor agency according to payment terms outlined on invoices, service agreements or stated terms. HB 5247 provides that if an alleged violation is reported to the Department of Labor the Department shall review the complaint OR the day and temporary labor agency may choose not to file a complaint with the Department and instead, take the third party client to court through a private right of action.

-In the event that a violation is reported to the Department, the Department shall review the complaint. A third party client who is found in violation would be subject to fines and penalties outlined in the Day and Temporary Labor Services Act.

-This legislation allows day and temporary labor agencies to use a private right of action in order to file suit in court as opposed to filing a formal complaint with the Department of Labor.