Illinois · Paid Leave · Updated April 2026

Chicago workers get 80 hours: 40 sick + 40 any-reason. Paid out on termination.

Chicago has the most generous paid leave structure in the Midwest. The Chicago Paid Leave and Paid Sick and Safe Leave Ordinance, effective July 1, 2024, requires employers to provide TWO separate banks: 40 hours of paid sick leave (for medical, safe leave reasons) AND 40 hours of paid leave for any reason (similar to PLAWA but more generous). Medium and large employers must pay out unused paid leave at termination — a stronger requirement than PLAWA.

Sick Leave
40 hrs
Any Reason
40 hrs
Termination Payout
Required (50+ employees)
Active

Chicago Dual-Bank Paid Leave

Tracks two separate accrual buckets: paid sick leave (covered reasons only) and paid leave (any reason). Manages termination payout per employer size threshold.

Surface dual balances on every paystub
Block close on missing termination payout
Warn on retaliation pattern
Always running

What those rules do as Chicago workers accrue and use leave.

The hero card configuration: Flag on dual balance display, Critical on termination payout, Avoid on retaliation patterns.

Flag · dual balances on paystub

Every Chicago worker's paystub displays both balances: paid sick leave (with covered reasons) and paid leave (any reason). The two buckets are tracked separately and cannot be co-mingled.

Critical · on termination without payout

For employers with 51+ Chicago employees ("medium" or "large"), Teambridge blocks offboarding close until paid leave bucket payout is processed. Sick leave is NOT subject to payout.

Avoid · on retaliation pattern

Schedule reductions, hour cuts, or other adverse actions following recent paid leave or sick leave usage surface for compliance review. Chicago has separate retaliation penalties under the Ordinance.

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The rule, plainly stated

Two banks, two rule sets, one termination obligation.

Chicago's ordinance is structurally complex because it operates two parallel leave types with different purposes, different usage rules, and different payout obligations. Both banks accrue at 1 hour per 35 worked.

Chicago Municipal Code § 6-130 — Paid Leave and Paid Sick and Safe Leave: Every employer shall provide each Covered Employee a minimum of 40 hours of paid sick leave and 40 hours of paid leave per 12-month period. Employees accrue paid leave at the rate of 1 hour for every 35 hours worked.

Two separate banks

The Ordinance creates two distinct leave types: Paid Sick and Safe Leave (40 hrs) for covered medical, family care, and safe-leave reasons; and Paid Leave (40 hrs) for any reason. Workers accrue both simultaneously at 1 hour per 35 worked. Total potential annual accrual is 80 hours combined. Employers cannot co-mingle the buckets.

Coverage threshold

Workers performing at least 2 hours of work per 2-week period within Chicago city limits are covered. Coverage applies to workers regardless of full-time, part-time, seasonal, or temporary status.

On autopilot

Teambridge runs both buckets, both rule sets, and the termination gate.

Chicago's structure is the most complex paid leave ordinance in the Midwest. Teambridge handles the dual accrual and the size-tiered payout obligation.

01 · Dual accrual

Both banks at 1/35.

Every 35 hours worked accrues 1 hour into each bucket simultaneously. Total accrual is 2 hours per 35 worked. Front-load alternative also supported.

02 · Usage routing

Reason determines bucket.

When a worker requests leave, the reason routes to the right bucket. Medical/safe reasons draw from Sick Leave first; any-reason requests draw from Paid Leave first. Workers can choose between buckets when both apply.

03 · Termination payout calculation

Size-tiered by employer.

At termination, Teambridge calculates the paid leave balance owed (sick leave is NOT included). For medium/large employers, the payout is added to final pay. For small employers, no payout is required.

04 · Offboarding gate

Workflow blocks until payout processed.

For employers required to pay out, the offboarding workflow cannot close until the paid leave balance is included in final pay. Audit trail captures the calculation.

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FAQ

People also ask.

How much paid leave do Chicago workers get?
80 hours total per 12-month period: 40 hours of paid sick leave + 40 hours of paid leave for any reason. Both accrue at 1 hour per 35 hours worked, or can be front-loaded at the start of the period.
What's the difference between sick leave and paid leave?
Sick leave is for covered medical, family care, or safe-leave reasons (own illness, family member illness, domestic violence-related needs, school closures). Paid leave is for any reason — vacation, civic engagement, mental health, or no stated reason. Sick leave use requires (potentially) documentation; paid leave does not.
Does paid leave have to be paid out at termination?
Depends on employer size. Large employers (101+ Chicago employees) and medium employers (51-100) must pay out unused paid leave balance up to 56 hours. Small employers (1-50) are not required to pay out. Sick leave is NEVER subject to termination payout regardless of employer size.
What happens if a worker is in both Chicago and the suburbs?
Coverage applies if the worker performs at least 2 hours of work per 2-week period within Chicago city limits. A worker who splits time between Chicago and a suburb is covered if they hit the 2-hour threshold in Chicago. Their Chicago hours accrue at the Chicago rate.
Can a worker waive their right to paid leave?
No. Like most paid leave statutes, the Chicago Ordinance is a non-waivable benefit. Agreements that purport to waive paid leave rights are unenforceable.
How does the cure period work?
Through June 30, 2026, workers must wait 16 days or until the next regular payday after a violation (whichever is shorter) before they can file a private lawsuit. The Office of Labor Standards (OLS) accepts complaints throughout this period. After July 1, 2026, the cure period sunsets and private right of action is immediate.
How does Teambridge handle this?
Both buckets accrue separately at 1 hour per 35 worked. Paystubs display both balances. Usage routes to the right bucket based on stated reason. Termination payout runs the size-tiered calculation and gates offboarding workflow until processed for medium/large employers.