In a significant move to regulate artificial intelligence (AI) in the workplace, the Illinois Legislature amended the Illinois Human Rights Act (IHRA or “the Act”) to address the growing use of AI at various points throughout the employment process.
Under House Bill 3773, effective January 1, 2026, Illinois will protect prospective and current employees from discriminatory AI practices during recruitment, hiring, promotion, renewal of employment, selection for training or apprenticeship, discharge, discipline, and tenure as well as the terms, privileges, and conditions of employment. The amendment also prohibits the use of zip codes as a proxy for protected classes.
As amended, employers are required to notify employees of the use of AI at any of these touchpoints throughout the employment process. However, the amendment does not provide specific notice requirements or prescribe affirmative steps employers must take to prevent discriminatory outcomes as a result of using AI. Rather, the amendment simply states that the Illinois Department of Human Rights (IDHR) will adopt rules to implement and enforce these new standards at an undefined future date.
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