IL OSHA Rule Does Not Apply to Private Sector, Breakthru Beverage Now Platinum Sponsor

Illinois Department of Labor Issues Emergency Rule on Vaccinations - Does Not Apply to Private Sector

On Friday night, the Illinois Department of Labor (DOL) filed Peremptory Rules to adopt the federal OSHA Emergency Temporary Standard (ETS) related to vaccinations and testing for large public sector employers. This new Illinois rule does not apply to private sector employers such as restaurants – they are limited to the State of Illinois and “political subdivisions” such as cities, counties, school districts, and other public sector employers. The definition of “employer” for the Illinois rule is found in the Illinois Administrative Code and is defined as “the State of Illinois and all political subdivisions."

Currently, restaurants and other private sector employers with 100+ employees are covered exclusively by the federal ETS, which is now in effect. OSHA has announced that they will start enforcing the requirement for a written plan as of Monday, January 10 – while private sector employers must ensure testing or vaccines beginning on Wednesday, February 9.

Meanwhile, we are still awaiting the decision from two Supreme Court cases from last Friday on the federal OSHA ETS. The court may rule on the mandate's constitutionality, or may reinstate an injunction/stay on the mandate. We will share the latest updates as soon as they are available.

Regardless of the outcome of these Supreme Court cases, the vaccine requirements for diners and testing requirements for unvaccinated employees in the city of Chicago and Cook County will not be impacted. 

Sign Up Now for Chicago Restaurant Week 2022

Don’t miss the opportunity to participate in the 15th annual Chicago Restaurant Week promotion taking place Friday, March 25 – Sunday, April 10, 2022.

Chicago Restaurant Week has a history of generating significant awareness and sales for restaurants and your participation is welcome.

Registration ends Friday, January 21. This year’s program emphasis will be on dine in, but will also include takeout and delivery options based on current city and state mandates.

You must be a partner of Choose Chicago in order to participate. For more information on Choose Chicago partnership opportunities and Chicago Restaurant Week, please contact partnership@choosechicago.com.

Breakthru Beverage Now IRA Platinum Sponsor

The IRA is pleased to announce Breakthru Beverage as the newest Platinum Corporate Sponsor of the Association.

Breakthru Beverage Group is a leading national beverage alcohol wholesaler and the oldest, most established distributor in Illinois. Breakthru is a multi-generational family business that first began its operations out of a single warehouse in 1946. Today, Breakthru operates in 14 states and Canada, and delivers its world-class portfolio to every corner of Illinois, utilizing the most innovative technology and employing the industry’s most knowledgeable salesforce to provide the best, most personalized experience for Illinois restauranteurs.

Click here to learn more about Breakthru Beverage.

Complete Our January 2022 Impact Survey

The IRA and National Restaurant Association have launched our latest restaurant operator survey to start the year.

We need your input on this advocacy-focused survey as we continue to push for all forms of legislative, regulatory, and financial relief for our industry.

Please take a few minutes today to complete the survey. The survey will remain open until January 18.

Employee Retention Tax Credit (ERTC) Tax Advisory, Duplicate Payments Issue

For businesses who applied for COVID-related employee retention tax credits (ERTC) in 2021, there may be a severe cash flow challenge occurring for those waiting an average 6 to 10 months to receive the ERTC payment. Under ERTC rules, an eligible restaurant cannot take normal federal tax deductions for 1) payroll expenses and 2) healthcare group benefit expenses during the applicable calendar quarter if those payments were considered eligible wages for ERTC.

While this increases the restaurant’s tax liability, the restaurant would have those costs more than offset by an ERTC payment. However, the restaurant may face a liquidity crisis if the federal tax bill is due before receiving an ERTC payment. Members are advised to plan for this scenario if they fall into this criteria, and talk with their accountant or tax professional.

The IRA has also been informed of some businesses receiving duplicate ERTC payments from the federal government. Please be advised that accepting ERTC overpayments can result in financial and legal issues in the future. Operators are advised to monitor their current or upcoming ERTC payments for their business accordingly.

On Nov. 15, 2021, the National Restaurant Association urged the IRS and Department of Treasury to speed ERTC payments and delay related taxes. A national grassroots petition on these ERTC recommendations has over 5,300 signatories, and we encourage members to add their name.

The Association also strongly supports the bipartisan “Employee Retention Tax Credit Reinstatement Act” (H.R. 6161). The bill, introduced by Reps. Carol Miller (R-WV) and Stephanie Murphy (D-FL), would restore the fourth quarter of ERTC.

The IRA has recently launched a partnership with Adesso Capital to help restaurants quickly apply for ERTC, if you haven’t already. Click here to learn more.

Thursday Webinar on Chicago Foodware Upon Request Ordinance

On Tuesday, January 18, the city of Chicago’s ordinance that regulates the offering of single-use foodware at takeout or delivery from restaurants will go into effect. The ordinance requires restaurants to provide single-use foodware - such as napkins, disposable utensils, or condiment packets - for delivery or takeout only upon request from the customer or at a self-service station.

Click here to read the ordinance.

In recent weeks, the IRA has learned that due to where the ordinance is codified in Chicago’s Municipal Code, that there are in fact penalties within that chapter for noncompliance. This was not the intent from the sponsors of the ordinance, and the Department of Business Affairs and Consumer Protection (BACP) has made it clear to us that they are primarily focused on educating restaurants and customers about the new ordinance - not on issuing fines.

BACP is hosting a webinar this Thursday, January 18 at 10:00 a.m. to review the ordinance and answer any questions from operators. Click here to register.