Illinois: AI Employment Amendments to the Human Rights Act (Public Act 103-0804 / HB 3773)

IllinoisLegislationIn force

Illinois HB 3773 amends the Illinois Human Rights Act to regulate the use of artificial intelligence in employment decisions. It applies to employers with one or more employees in Illinois during 20 or more calendar weeks within the year. The law prohibits the use of AI that has a discriminatory effect on protected classes and bans the use of zip codes as a proxy for protected classes. Furthermore, it mandates that employers provide notice to employees and applicants when AI is used to influence or facilitate employment decisions, including recruitment, hiring, promotion, discipline, and discharge. While the law targets employers using AI tools, providers may need to support compliance by providing necessary documentation for deployer notices. This legislation is focused strictly on employment-related provisions and does not require mandatory independent bias audits.

Impact

What this means for HR and vendors

HR and recruitment teams

HR teams must systematically review all AI systems used in recruitment, hiring, promotions, and discipline to ensure they do not produce discriminatory effects or rely on zip codes as proxies. Organizations should ensure mandatory notices are drafted, accessible, and distributed to employees and candidates prior to AI deployment. This increases the importance of formalizing internal risk policies, training staff on AI anti-discrimination rules, and maintaining thorough records of AI notices and related assessments for up to four years.

HR technology vendors

Providers do not have direct liability under the text of HB 3773, as the legal duties fall squarely on the deployer. However, providers will face strong commercial expectations to supply deployers with the technical transparency, system specifications, and bias-monitoring data required to draft employee notices and prove non-discrimination. Organizations providing HR technology tools should ensure their systems are rigorously tested for disparate impact and stripped of any zip-code reliance to remain viable in the Illinois market.

Key obligations

What organizations need to do

Practical obligation briefings focused on what the requirement is, who it applies to, when it applies and what teams should consider doing.

DeployerAnti-Discrimination

Anti-Discrimination and Zip Code Prohibition

DeployerTransparency & Notice

Notice of AI Use

OBLIGATION

APPLIES TO

STATUS

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Not legal advice

This page is regulatory intelligence only. Organizations should seek guidance from legal counsel before making compliance decisions.

Employment-focused extraction

This may be part of wider regulation. The Warden Watch extracts and displays the parts relevant to employment, HR and recruitment decision-making.