Illinois Appellate Court Finds Public Employee Disability Act Does Not Prohibit Employers From Withholding Taxes

The Illinois Appellate Court Aug. 5 reversed and remanded the circuit court’s summary judgment in favor of the plaintiffs that the Public Employee Disability Act prohibits employers from withholding employment taxes from employee benefits. The defendants appealed to the appellate court, arguing that the summary judgment was improper. The appellate court found the Disability Act does not prohibit an employer from withholding employment taxes from an eligible employee’s benefits, the 5-year statute of limitations bars claims before November 2013, the circuit court erred in granting the plaintiffs summary judgment on their claims relating solely to taxes, genuine issues of material ...