What is the Illinois Human Rights Act?
The Illinois Human Rights Act (IHRA) was passed to protect citizens of Illinois from discrimination in employment, housing, education, credit, and public accommodations. The IHRA prohibits discrimination in Illinois with respect to employment, financial credit, public accommodations, housing and sexual harassment, as well as sexual harassment in education. The IHRA secures for all individuals within the State of Illinois the freedom from discrimination based on age, ancestry, arrest record, citizenship status, color, conviction record, disability, familial status, gender identity, marital status, military status, national origin, order of protection status, pregnancy, race, religion, sex, sexual orientation, source of income, unfavorable military discharge, and work authorization status.
What is H.B. 3773?
In the beginning of August 2024, Illinois Governor J.B. Pritzker signed into legislation a new law called H.B. 3773. Effective January 1, 2026, the law will require employers to inform workers and job seekers about their use of artificial intelligence (AI) technology in making employment decisions. Additionally, this law prohibits the use of AI that leads to discriminatory practices against employees including recruitment, hiring, promotions, disciplinary actions, terminations, or any other aspects of employment. Nor may employers require the disclosure of zip codes during the application process if it is used to discriminate. The addition of AI to the IHRA was to protect employees and applicants from discrimination due to rapidly developing AI technology.
How should an employer prepare?
Illinois employers should consider the following steps to protect themselves from a discrimination-based claim for the use of AI:
- Assess AI systems: As an employer, you should evaluate each AI system(s) that is currently in use, or that you are planning to implement, to ensure it does not have a discriminatory impact. This assessment may involve analyzing the algorithms, data inputs, and outcomes to identify any potential biases.
- Notify workers: As an employer, you must inform each worker and job applicant about the use of AI in employment decisions. This disclosure must tell your employees and applications when artificial intelligence is being used and each notification should be clear and transparent to follow the law, promote trust, and ensure transparency in the workplace.
- Update policies and procedures: As an employer, you should update your internal policies and procedures to reflect the new requirements laid out in H.B. 3773. This may involve creating guidelines for the appropriate use of AI, conducting impact assessments, and implementing safeguards to prevent discrimination.
- Train employees: As an employer, you should train your employees involved in recruitment, hiring, promotion, and disciplinary processes on the proper use of AI technology and how to identify and mitigate biases in AI systems.
- Monitor compliance: As an employer, you should establish mechanisms to monitor compliance with the new law and ensure that AI systems are being used in a fair and non-discriminatory manner. This may involve regular audits, reviews, and assessments of AI usage in employment decisions.
Guidance
Illinois employers are advised to reach out to an employment attorney for assistance regarding this guidance. At Reno & Zahm, we are proud to represent individuals and businesses in Northern Illinois for over 100 years. Our professionals regularly counsel clients on a large variety of employment matters, including discrimination matters. Contact us today at (815) 987-4050 to schedule a consultation.
This posting is for informational purposes only and is not intended to be legal advice. As the facts and circumstance of each employer are unique, the information provide herein should not be used or relied upon without first consulting a lawyer.