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Illinois Enacts the Family Neonatal Intensive Care Leave Act

30 Sep

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Update Applicable to:Effective Date
All Employers with 16 or more EmployeesJune 1, 2026


What happened?

On June 24, 2025, Illinois passed HB2978, creating the Family Neonatal Intensive Care Leave Act, a new law that grants unpaid, job-protected leave to employees whose newborn child is admitted to a Neonatal Intensive Care Unit (NICU).


Overview:

Summary of the Provisions (Section 10)

  • Employers with 16–50 employees must provide up to 10 days of unpaid NICU leave.
  • Employers with 51 or more employees must provide up to 20 days of unpaid NICU leave.
  • Leave may be taken intermittently or continuously, with a minimum increment of 2 hours.
  • Leave under this Act is in addition to any leave provided under the Family and Medical Leave Act (FMLA).
  • Employees must be reinstated to their previous or equivalent position after leave.
  • Employers must maintain health insurance coverage during the leave.


Employee Protections (Section 15)

  • Employers cannot retaliate against employees who take NICU leave or support others exercising their rights.
  • Protected activities include filing complaints, participating in investigations, or testifying.


Enforcement & Penalties (Sections 20–25)

  • Employees may file a complaint with the Illinois Department of Labor or take legal action within 60 days of a violation.
  • Employers may face civil penalties up to $5,000 per affected employee.
  • 20% of collected penalties will be deposited into the newly created Neonatal Intensive Care Leave Fund (Section 90) to support enforcement.


Definitions (Section 5)

  • “Child” includes biological, adopted, foster, stepchildren, legal wards, and children for whom the employee stands in loco parentis.
  • Applies to both private and public employers, including the State of Illinois.


Source References

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This communication is intended solely for the purpose of conveying information. The present post might incorporate hyperlinks directing readers to websites managed by third-party entities. The inclusion of any links within this communication is meant to serve as points of reference and could encompass opinion articles from various law firms, articles from HR associations, official websites, news releases, and documents of government agencies, and other relevant third-party sources. Vensure has no authority over these external websites and bears no responsibility for their content. Furthermore, Vensure does not endorse the materials present on these websites. The contents of this communication should not be interpreted as legal advice or as a legal standpoint concerning specific facts or scenarios. Nor should it be deemed an exhaustive compilation of facts potentially pertinent to federal, state, or local laws. It is strongly advised that employers solicit legal guidance from an employment attorney when undertaking actions in response to any legal updates provided. This is due to the possibility of future alterations occurring in federal, state, and local laws, regulations, as well as the directives and guidelines issued by governing agencies. These changes may transpire at any given time, potentially rendering certain portions of the content within this update void or inaccurate.

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