Illinois Takes Bold Steps in AI Regulation Across Education and Employment

AI Regulation in Illinois: New Bills Address Education, Employment, and Liability

SPRINGFIELD, Ill. — Legislators in Illinois have introduced a broad package of artificial intelligence bills aimed at creating one of the most comprehensive regulatory frameworks in the country.

Overview of the Proposed Legislation

Six proposals, introduced recently, touch nearly every major area where AI is emerging, including classrooms, workplaces, and professional services.

Education Initiatives

One significant bill, SB3492, directs the Illinois State Board of Education to develop statewide guidance for teaching artificial intelligence, quantum computing, and other rapidly evolving technologies in K-12 schools. This measure emphasizes a workforce-focused curriculum designed to prepare students for future job markets.

A separate proposal, HB5113, aims to establish a statewide Artificial Intelligence Use in Education Commission. This commission will study the impacts of AI tools and smartphones on student learning, mental health, and classroom behavior. It is required to hold ten public meetings across Illinois and release biannual reports through 2030.

Workplace Regulations

As automation accelerates, SB3571 mandates employers to report layoffs caused by artificial intelligence. Companies must detail the number of workers whose jobs were lost due to AI replacing or automating their roles. Additionally, the Illinois Department of Commerce and Economic Opportunity will include AI-related causes in any public layoff reports.

Transparency for Professionals

Under SB3601, licensed professionals—including financial advisers, real-estate agents, and cosmetologists—will be required to disclose when individuals are interacting with AI instead of a human representative. This measure aims to enhance transparency in professional settings.

Product Liability Framework

Two additional bills, SB3502 and SB3590, introduce similar frameworks for AI product liability, treating certain AI systems akin to traditional consumer products. These measures enable individuals or businesses to sue AI developers for defective designs, inadequate warnings, or unfulfilled promises in express warranties. They also hold deployers (companies using AI systems) accountable if they significantly alter or misuse these systems.

Conclusion

Together, these bills indicate Illinois’ movement toward a sector-specific model of AI regulation rather than a singular, sweeping law. If enacted, Illinois could become one of the most proactive states in establishing rules governing the use of AI and determining liability when it causes harm.

As the landscape of artificial intelligence continues to evolve, these legislative efforts reflect a growing recognition of the need for comprehensive oversight in a rapidly changing technological environment.

More Insights

Revolutionizing Drone Regulations: The EU AI Act Explained

The EU AI Act represents a significant regulatory framework that aims to address the challenges posed by artificial intelligence technologies in various sectors, including the burgeoning field of...

Revolutionizing Drone Regulations: The EU AI Act Explained

The EU AI Act represents a significant regulatory framework that aims to address the challenges posed by artificial intelligence technologies in various sectors, including the burgeoning field of...

Embracing Responsible AI to Mitigate Legal Risks

Businesses must prioritize responsible AI as a frontline defense against legal, financial, and reputational risks, particularly in understanding data lineage. Ignoring these responsibilities could...

AI Governance: Addressing the Shadow IT Challenge

AI tools are rapidly transforming workplace operations, but much of their adoption is happening without proper oversight, leading to the rise of shadow AI as a security concern. Organizations need to...

EU Delays AI Act Implementation to 2027 Amid Industry Pressure

The EU plans to delay the enforcement of high-risk duties in the AI Act until late 2027, allowing companies more time to comply with the regulations. However, this move has drawn criticism from rights...

White House Challenges GAIN AI Act Amid Nvidia Export Controversy

The White House is pushing back against the bipartisan GAIN AI Act, which aims to prioritize U.S. companies in acquiring advanced AI chips. This resistance reflects a strategic decision to maintain...

Experts Warn of EU AI Act’s Impact on Medtech Innovation

Experts at the 2025 European Digital Technology and Software conference expressed concerns that the EU AI Act could hinder the launch of new medtech products in the European market. They emphasized...

Ethical AI: Transforming Compliance into Innovation

Enterprises are racing to innovate with artificial intelligence, often without the proper compliance measures in place. By embedding privacy and ethics into the development lifecycle, organizations...

AI Hiring Compliance Risks Uncovered

Artificial intelligence is reshaping recruitment, with the percentage of HR leaders using generative AI increasing from 19% to 61% between 2023 and 2025. However, this efficiency comes with legal...