To embed, copy and paste the code into your website or blog: Following a nationwide trend, Illinois has proposed significant legislation affecting employee restrictive covenants, such as non-compete agreements. While the proposed law does not dramatically change most aspects of the patchwork of Illinois common law, it adds certainty to long-questioned areas and imposes several threshold hurdles and eligibility factors to the test for assessing enforceable restrictive covenants. On May 31, 2021, the Illinois Senate and House of Representatives passed Senate Bill 672, which amends the Illinois Freedom to Work Act, 820 ILCS 90/(“IFWA”). Expected to be signed into law by Governor Pritzker, the Bill would change the IFWA with respect to the standards required to enter into and enforce employee non-compete agreements. Currently, under the IFWA, employers are prohibited from entering into non-compete agreements with “low-wage” employees, defined as those earning $13.00 per hour or less. The Bill removes the “low-wage” requirement and now joins states like Washington and Maine by imposing an annualized earnings requirement instead. The Bill also codifies restrictions and requirements applying to non-solicit agreements.