Illinois Freedom to Work Act (Non-Compete)

SB 672

Enacted
2021-08-13
Effective
2022-01-01
Status
enacted
Verified
2026-03-18

Regulatory Snapshot: Illinois Freedom to Work Act (Non-Compete)

Illinois Freedom to Work Act (Non-Compete) (SB 672) is an enacted law in Illinois under the Employment & Worker Protection category. It was enacted on 2021-08-13 and becomes effective on 2022-01-01. Illinois currently reports 9 tracked regulations with 8 already in force, giving the state a regulatory strictness score of 62/100 relative to the national baseline. PlainRegWatch last verified this entry on 2026-03-18.

Nationally, 107 states have enacted employment & worker protection statutes and 0 additional bills remain pending — 51 distinct jurisdictions have codified rules in this area so far. That places Illinois within a mature and broadly adopted employment & worker protection landscape where compliance programs typically hinge on definitions in SB 672 itself.

Applicability under Illinois Freedom to Work Act (Non-Compete): All Illinois employers. Penalty exposure is documented as: AG enforcement. Void agreements cannot be enforced. Prevailing employee attorney fees. Notable exemptions: Above threshold earnings. Sale of business..

Summary

Illinois bans non-competes for workers earning under $75,000/year (indexed). Non-solicitation ban for under $45,000/year.

Key Requirements

Non-compete void for ≤$75,000 earnings. Non-solicitation void for ≤$45,000. Thresholds indexed annually. 14-day review period. Must notify of right to counsel.

Penalties

AG enforcement. Void agreements cannot be enforced. Prevailing employee attorney fees.

Applicability

All Illinois employers.

Exemptions

Above threshold earnings. Sale of business.

Frequently Asked Questions

Which states have employment & worker protection regulations?

As of the last verification, 51 states have enacted employment & worker protection regulations, with 0 additional bills pending across other states. Illinois is among the states that has enacted such legislation. Browse all employment & worker protection regulations at plainregwatch.com for the complete state-by-state comparison.

When was Illinois Freedom to Work Act (Non-Compete) enacted?

Illinois Freedom to Work Act (Non-Compete) was enacted on 2021-08-13 and became effective on 2022-01-01. It was introduced as SB 672.

What are the penalties for violating Illinois Freedom to Work Act (Non-Compete)?

AG enforcement. Void agreements cannot be enforced. Prevailing employee attorney fees. Note that enforcement mechanisms and penalty structures may vary. Consult the official statute and qualified legal counsel for specific compliance requirements.

Does Illinois Freedom to Work Act (Non-Compete) apply to small businesses?

All Illinois employers. Many state regulations include thresholds or exemptions for smaller organizations. Review the full applicability criteria and consult legal counsel to determine your obligations.

How does Illinois compare to other states on employment & worker protection?

Illinois has a regulatory strictness score of 62/100, based on 8 enacted regulations out of 9 tracked. Nationally, 51 states have enacted employment & worker protection laws. Visit our state comparison page for a full ranking.

Where can I read the full text of Illinois Freedom to Work Act (Non-Compete)?

The official text of Illinois Freedom to Work Act (Non-Compete) (SB 672) is available from the Illinois legislature. PlainRegWatch links to the official source for every tracked regulation. We recommend reviewing the full statute alongside qualified legal counsel for compliance planning.

Regulation Guides

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Disclaimer: This summary is provided for informational purposes only and does not constitute legal advice. Regulation details may have changed since last verification (2026-03-18). Always consult official sources and qualified legal counsel for compliance guidance.

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Data sourced from official state legislatures, IAPP, NCSL, and federal regulatory trackers. See our methodology for details. Retrieved and formatted by PlainRegWatch Editorial

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