Illinois employers should be aware of a new leave entitlement that took effect on June 1, 2026. Under Public Act Public Act 104-0259, eligible employees whose child is receiving care in a Neonatal Intensive Care Unit (“NICU”) are entitled to protected unpaid leave, creating new compliance obligations for employers across the state.
The law is designed to provide parents with additional time to care for and bond with newborns facing serious medical challenges while ensuring job protection and continued benefits during their absence.
Who Is Eligible for NICU Leave?
The amount of leave available depends on the size of the employer:
- Employers with 16 to 50 employees must provide up to 10 days of unpaid NICU leave to eligible employees.
- Employers with 51 or more employees must provide up to 20 days of unpaid NICU leave to eligible employees.
How Can Employees Use the Leave?
Employees may take NICU leave on a continuous basis or intermittently, including in increments of at least two hours if the employer requires such increments.
Interaction with FMLA and Other Leave Benefits
Eligible employees may use FMLA leave first and then take additional NICU leave. Employees cannot be required to use paid leave instead of NICU leave but may choose to use paid leave if they wish.
Job Restoration and Benefits Protections
Upon returning from NICU leave, employees generally must be restored to their former position, or an equivalent position with equivalent pay, benefits, and terms and conditions of employment.
In addition, employers must maintain the employee’s health insurance benefits during the leave period.
Employers also may not require an employee taking NICU leave to find a replacement worker.
What Documentation Can Employers Request?
Employers may request reasonable verification that the employee’s child was admitted to and receiving treatment in a NICU. However, employers may not require employees to disclose confidential medical information regarding the child or the child’s medical condition.
Retaliation Is Prohibited
The statute prohibits employers from taking adverse action against employees for:
- Requesting or taking NICU leave;
- Exercising rights under the law;
- Opposing practices they believe violate the law; or
- Supporting another employee’s exercise of protected rights.
Potential Liability for Noncompliance
Employees may pursue claims through the Illinois Department of Labor or file a civil action within 60 days of an alleged violation. Employers found to have violated the law may face:
- Civil penalties of up to $5,000 per affected employee;
- Recovery of wages and other damages; and
- Additional enforcement action by the Illinois Department of Labor.
What Illinois Employers Should Do Now
Illinois employers should take steps now to ensure compliance. Recommended action items include:
- Updating employee handbooks and leave policies;
- Training Human Resources personnel and managers on the new leave entitlement;
- Reviewing leave administration and documentation procedures;
- Ensuring benefits continuation practices comply with the statute; and
- Evaluating how NICU leave will be coordinated with FMLA and other available leave programs.
The lawyers at MHS are able to assist with any policy review or modification in light of these new laws.