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Illinois Attorney General Announces $1 Million Settlement with Midway Staffing Over No-Poach Agreements and Wage Fixing

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Published on June 28, 2025
Illinois Attorney General Announces $1 Million Settlement with Midway Staffing Over No-Poach Agreements and Wage FixingSource: Office of the Illinois Attorney General

Illinois Attorney General Kwame Raoul has secured a final $1 million settlement with Midway Staffing Inc., concluding a landmark case that recovered a total of $5.5 million from four defendants accused of operating illegal no-poach and wage-fixing agreements that harmed temporary workers across the state.

The settlement with Midway represents the conclusion of litigation that began in 2020 and marks a significant victory for worker rights advocates. Under the agreement, Midway will pay $1 million primarily to compensate temporary workers impacted by the company's alleged role in restricting worker mobility and suppressing wages through coordinated efforts with competing staffing agencies.

Multi-Million Dollar Recovery Spanning Five Years

The comprehensive legal action targeted three staffing agencies—Elite Staffing Inc., Metro Staff Inc., and Midway Staffing Inc.—along with their shared client, Colony Display LLC, a manufacturing company. According to the Illinois Attorney General's office, the defendants allegedly formed agreements to refuse to solicit or hire each other's employees while simultaneously fixing the wages paid to workers.

Colony Display, located at 2500 Galvin Drive in Elgin, allegedly acted as an intermediary to facilitate and enforce these unlawful agreements between the staffing companies. The manufacturing company, which specializes in custom retail fixtures and displays, settled for $1.2 million in 2023. Elite Staffing paid $1.5 million in August 2024, while Metro Staff agreed to an $1.8 million settlement in November 2024.

Supreme Court Victory Strengthens Case

The litigation received a significant boost in January 2024 when the Illinois Supreme Court ruled that the state's antitrust law encompasses labor markets, rejecting arguments from the staffing agencies that they were exempt from such regulations. Hoodline previously reported on this crucial legal victory, which confirmed that agreements among employers to restrict worker mobility and fix wages violate Illinois antitrust law.

Attorney General Raoul hailed the final settlement, stating that his office was "pleased to have reached a final resolution that holds the defendants accountable for their unlawful no-poach and wage-fixing practices." The Attorney General emphasized that the recovered funds will be distributed to temporary workers harmed by these allegedly illegal conspiracies.

Growing Trend in Antitrust Enforcement

The Illinois case reflects a broader national trend of increased enforcement against no-poach and wage-fixing agreements. Legal experts note that federal prosecutors have filed at least seven criminal antitrust cases targeting such agreements since 2020, though juries have proven reluctant to convict in these cases.

The Department of Justice secured its first-ever criminal conviction for wage-fixing in April 2025 when a Nevada jury found healthcare staffing executive Eduardo Lopez guilty of conspiring to fix nurses' wages in Las Vegas. According to legal analysis, this conviction represents a significant milestone in the government's campaign against labor market violations.

Impact on Staffing Industry

The Illinois settlements have sent ripples through the temporary staffing industry, which generates over $159 billion in annual revenue in the United States alone. Industry experts suggest these cases may prompt staffing agencies to review their practices and implement stronger compliance measures to avoid antitrust violations.

José Frausto, executive director of the Chicago Workers Collaborative, praised the litigation approach, telling the Chicago Sun-Times that his organization had struggled for years to address what he believes are frequent agreements between staffing agencies. "The fact that the attorney general is taking this on shows a path forward," Frausto said.

Ongoing Legal Action

While the original case has concluded, Attorney General Raoul continues pursuing similar litigation against other companies. A separate lawsuit filed in 2022 against six staffing agencies and Vee Pak LLC (operating as Voyant Beauty) remains pending in Cook County Circuit Court. In April 2025, the court denied defendants' motion to dismiss, allowing the case to proceed against Alternative Staffing Inc., Staffing Network LLC, SureStaff LLC, and Vee Pak.

The Attorney General's office encourages workers who believe their rights have been violated to contact the Workplace Rights Hotline at 1-844-740-5076 or file complaints through the official website. These cases were handled by Assistant Attorneys General Jennifer Coronel and Paul Harper for the Antitrust Bureau, along with Deputy Bureau Chief Christian Arizmendi for the Workplace Rights Bureau.