HB 3773 (P.A. 103-0804) — Illinois Human Rights Act amendment on employers' use of AI

Summary

Illinois Public Act 103-0804 (HB 3773) amends the Illinois Human Rights Act so that it is a civil rights violation for an employer to use AI in recruitment, hiring, promotion, discharge, discipline or other terms of employment in a way that has the effect of discriminating on the basis of protected classes, or to use ZIP codes as a proxy for protected classes. Employers must also notify employees when they use AI for those purposes. The Department of Human Rights must adopt rules on when, how and how far in advance notice is given. Signed August 9, 2024; effective January 1, 2026. The Department proposed notice rules (56 Ill. Adm. Code 2520, new Sections 2520.900 and 2520.910) in the Illinois Register of May 15, 2026, including a three-year retention period for AI notices and records of AI use. It withdrew the proposal (a law firm reports on June 2, 2026; the withdrawal notice appeared in the Register of June 26, 2026), stating it would further consult other state agencies. Its July 2026 regulatory agenda lists a new Part 2520 rulemaking, citing the act's AI provision among its authority, with first notice anticipated November 10, 2026. No rules were adopted as of the Register of October 16, 2026; the statutory duties apply without them.

Key dates

1. August 9, 2024Enacted
2. January 1, 2026Takes effect
3. October 16, 2026Checked against sources
4. October 18, 2026Checked against sources
5. October 21, 2026Checked against sources

Developments are added when the record is reviewed. Next review: January 17, 2027.

Evidence

Each passage is quoted from its source. The quoted passages are re-checked against the live pages every month.

1. intelligence that has the effect of subjecting employees to discrimination on the basis of protected classes under this Article or to use zip codes as a proxy for protected classes under this Article.

   Supports: Prohibited use of AI

   (2) For an employer to fail to provide notice to an employee that the employer is using artificial intelligence for the purposes described in paragraph (1).

   Supports: Notice duty

   Section 99. Effective date. This Act takes effect January 1, 2026.

   Supports: Effective date

   Public Act 103-0804 Illinois General Assembly Primary source

2. On Aug. 9, 2024, Illinois Gov. Pritzker signed into law HB3733 , which amends the Illinois Human Rights Act (IHRA) to cover employer use of artificial intelligence (AI).

   Supports: Signing date (the alert misprints the bill number as HB3733)

   Illinois Enacts Requirements for AI Use in Employment Decisions Greenberg Traurig Reporting or analysis

3. Volume 50, Issue 20 May 15, 2026

   Supports: Issue date of the proposal

   The amendments would also add new Sections to implement the notice provisions of Public Act 103-804, which requires employers to provide notice when using artificial intelligence for employment decisions.

   Supports: IDHR proposed AI notice rules (56 Ill. Adm. Code 2520)

   Notices, postings, and disclosures regarding the employer's use of artificial intelligence pursuant to Section 2-102(L) of the Act, and records of such use, for a period of three years following such use.

   Supports: Proposed three-year retention of AI notices and records

   Illinois Register, Volume 50, Issue 20 (May 15, 2026) Illinois Secretary of State (Index Department) Primary source

4. Volume 50, Issue 26 June 26, 2026

   Supports: Issue date of the withdrawal notice

   Date Notice of Proposed Amendments Published in the Illinois Register: 50 Ill. Reg. 6794; May 15, 2026 5) Reason for the Withdrawal: The Department of Human Rights is withdrawing the proposed amendments to further consult and collaborate with other State agencies.

   Supports: Withdrawal and its stated reason

   Illinois Register, Volume 50, Issue 26 (June 26, 2026) Illinois Secretary of State (Index Department) Primary source

5. Volume 50, Issue 29 July 17, 2026

   Supports: Issue date of the regulatory agenda

   Procedures of the Department of Human Rights (56 Ill. Adm. Code 2520) 1) Rulemaking: A) Description: The Rulemaking will update the Department's regulations to reflect statutory developments and codify Department policies and interpretations with respect to discrimination.

   Supports: July 2026 regulatory agenda entry for Part 2520

   Date Agency Anticipates First Notice: November 10, 2026 E) Effect on small businesses, small municipalities or not for profit corporations: Small businesses may be affected in having to retain records.

   Supports: Anticipated first notice date

   authorized by Sections 2-102(L), 7-101(A) and 7-105(A) of the Illinois Human Rights Act [775 ILCS 5/2-102(L), 7-101(A) and 7-105(A)]. C) Scheduled meeting/hearing dates: None D) Date Agency Anticipates First Notice: November 10, 2026

   Supports: Agenda entry cites Section 2-102(L) (the AI provision) as authority

   Illinois Register, Volume 50, Issue 29 (July 17, 2026) Illinois Secretary of State (Index Department) Primary source

6. On June 2, 2026, the Illinois Department of Human Rights (IDHR) withdrew and postponed its proposed AI employment rules.

   Supports: Withdrawal date (June 2, 2026)

   Illinois Department of Human Rights Withdraws Proposed AI in Employment Rules Burke, Warren, MacKay & Serritella Reporting or analysis