HB2840 Summary

• Amends the Illinois Freedom to Work Act to increase minimum earnings thresholds for non-compete agreements: $75,000 annually (effective immediately), rising to $80,000 on January 1, 2027, $85,000 on January 1, 2032, and $90,000 on January 1, 2037.

• Increases minimum earnings threshold for non-solicit covenants to $45,000 annually, rising to $47,500 on January 1, 2027, $50,000 on January 1, 2032, and $52,500 on January 1, 2037.

• Prohibits enforcement of non-compete and non-solicit covenants against employees terminated or furloughed due to COVID-19 or similar circumstances unless the employer provides compensation equivalent to the employee's base salary minus any earnings from subsequent employment.

• Makes non-compete covenants void and unenforceable for construction employees (except management, engineering, architectural, design, sales, and ownership positions) and employees covered by collective bargaining agreements.

• Prohibits enforcement of non-compete and non-solicit covenants for licensed mental health professionals providing services to veterans and first responders if enforcement would increase cost or difficulty in accessing mental health care, effective January 1, 2025.

• Amends the Child Labor Law of 2024 to allow adult supervision by age 18 (instead of 21) for minors working at park districts or municipal parks and recreation departments where no alcohol or tobacco is sold.