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Wednesday, January 21, 2026

Your AI in HR Must-Do List- Navigating Illinois’ Draft AI Notice Regulations - The National Law Review

As employers continue preparations for complying with workplace AI laws that become effective in 2026 (e.g., Colorado SB24-205, California Senate Bill No. 53 and Texas’s Responsible Artificial Intelligence Governance Act), questions remain regarding complying with Illinois HB 3773, the August 2024 amendments to the Illinois Human Rights Act (IHRA).

As we previously reported, effective January 1, 2026, HB 3733 amended the IHRA to expressly regulate the use of AI for employment decisions.

Under the IHRA amendments, employers may not use AI in recruitment, hiring, promotion, renewal of employment, selection for training or apprenticeship, discharge, discipline, tenure, or the “terms, privileges, or conditions of employment” where the AI has the effect of discriminating against employees on the basis of classes protected by the IHRA. In addition, employers may not use zip codes as a proxy for protected classes. HB 3773 also requires employers that use AI in a manner regulated by the IHRA amendments to notify employees that they are using AI for one or more of those purposes.

HB 3773 instructed the Illinois Department of Human Rights (IDHR) to adopt “any rules necessary for the implementation and enforcement” of the amendments, including, but not limited to, “rules on the circumstances and conditions that require notice, the time period for providing notice, and the means for providing notice.”

Last week, the National Federation of Independent Business reported that the IDHR...



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