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Illinois HB 3773: AI in employment decisions is now a civil rights issue

Posted 1/10/2026

Effective 1/10/2026

Effective January 1, 2026, Illinois amended its Human Rights Act to prohibit employers from using AI that produces a discriminatory effect in employment decisions, and to require notice when AI is used.

What changed HB 3773 amends the Illinois Human Rights Act. Employers may not use artificial intelligence in recruitment, hiring, promotion, discipline, discharge or other terms of employment in a way that has a discriminatory effect on protected classes, and may not use zip code as a proxy for a protected class. Employers must also notify applicants and employees when AI is used for those decisions. Who it applies to Employers with employees working in Illinois. This sits inside the Human Rights Act, so enforcement runs through the standard IDHR charge process — including individual claims. What HR needs to do - Inventory every tool that scores, ranks, filters or recommends people. Resume screeners, video interview scoring, scheduling optimizers and internal mobility engines all count, including features buried inside your ATS or HRIS. - Get bias testing documentation from each vendor and read it. "Our model is fair" is not documentation. - Add contractual representations and audit rights at renewal. - Deploy the required notice at the point of application and in employee-facing policies. - Keep a human decision-maker in the loop and record the basis for adverse decisions. Where it is heading Illinois has slowed proposed rulemaking, so expect interpretation to develop through charges and litigation before regulations arrive.
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HRISHQ summarizes legal developments for HR practitioners. It is not legal advice — confirm specifics with counsel before acting.