Illinois Prevailing Wage Act Delayed

June 5, 2026

BURR RIDGE – Illinois lawmakers approved HB 1437, a legislative cleanup measure that includes a one-year delay in implementing recent changes to the Illinois Prevailing Wage Act. The bill pushes the effective date of a requirement that Apprentices on public works projects receive journeyworker-level fringe benefits to July 1, 2026.

Construction industry groups say the delay provides contractors, Unions, and Apprenticeship programs additional time to evaluate compliance requirements and address concerns regarding the impact on collectively bargained benefit structures.

HB 1437 (now Public Act 104-0434) is a large omnibus “cleanup” bill, which extends various deadlines and corrects technical issues in Illinois law. For the Union construction industry, its most significant provision was delaying the effective date of Public Act 104-17’s prevailing wage changes until July 1, 2026.

Earlier legislation, Public Act 104-17 (HB 2488), changed the Illinois Prevailing Wage Act by requiring contractors on public works projects to pay Apprentices the same fringe benefit rate as journeyworkers, regardless of the Apprentice’s training level. Traditionally, Apprentice fringe benefits were paid according to rates established in collective bargaining agreements and Apprenticeship programs.

HB 1437 does not eliminate that requirement. Instead, it postpones implementation for one year, giving contractors, Unions, Apprenticeship programs, and state agencies additional time to address compliance, administrative questions, and the financial impact of the change.

From a Union construction industry perspective, HB 1437:
• Delays the Apprentice fringe benefit mandate until July 1, 2026
• Provides contractors and Apprenticeship programs additional time to prepare for compliance
• Allows industry stakeholders to continue discussions regarding the cost and implementation impacts of the new prevailing wage requirements
• Does not change prevailing wage rates themselves; it only postpones the effective date of the fringe benefit provision