WHAT THIS BILL REGULATES · 1 REQUIREMENT TYPE
How Is This Bill Enforced
Verbatim statutory text on the left; plain-language analysis and a per-section checklist on the right. Numbered markers cross-link to the matching checklist row.
(a) An employer may not order a mass layoff, relocation, or employment loss unless, 60 days before the order takes effect, the employer gives written notice of the order to the following: (1) affected employees and representatives of affected employees; and (2) the Department of Commerce and Economic Opportunity and the chief elected official of each municipal and county government within which the employment loss, relocation, or mass layoff occurs.
(a-5) An owner of an investor-owned electric generating plant or coal mining operation may not order a mass layoff, relocation, or employment loss unless, 2 years before the order takes effect, the employer gives written notice of the order to the following: (1) affected employees and representatives of affected employees; and (2) the Department of Commerce and Economic Opportunity and the chief elected official of each municipal and county government within which the employment loss, relocation, or mass layoff occurs.
(b) An employer required to give notice of any mass layoff, relocation, or employment loss under this Act shall include in its notice the elements required by the federal Worker Adjustment and Retraining Notification Act (29 U.S.C. 2101 et seq.).
(b-5) 1 When required to report the reason for a mass layoff or closing, the employer shall disclose any artificial intelligenceArtificial intelligence"artificial intelligence" has the meaning set forth in subsection (N) of Section 2-101 of the Illinois Human Rights Act.820 ILCS 65/10(b-5)-related job impacts, including the number of employees laid off substantially due to the replacement or automation by artificial intelligence of the functions performed by the employees. The Director of Labor may, by rule, require an employer to report any other information related to artificial intelligenceArtificial intelligence"artificial intelligence" has the meaning set forth in subsection (N) of Section 2-101 of the Illinois Human Rights Act.820 ILCS 65/10(b-5)-related job impacts deemed appropriate by the Director. As used in this subsection, "artificial intelligenceArtificial intelligence"artificial intelligence" has the meaning set forth in subsection (N) of Section 2-101 of the Illinois Human Rights Act.820 ILCS 65/10(b-5)" has the meaning set forth in subsection (N) of Section 2-101 of the Illinois Human Rights Act.
(c) Notwithstanding the requirements of subsection (a), an employer is not required to provide notice if a mass layoff, relocation, or employment loss is necessitated by a physical calamity or an act of terrorism or war.
(d) The mailing of notice to an employee's last known address or inclusion of notice in the employee's paycheck shall be considered acceptable methods for fulfillment of the employer's obligation to give notice to each affected employee under this Act.
(e) In the case of a sale of part or all of an employer's business, the seller shall be responsible for providing notice for any plant closing or mass layoff in accordance with this Section, up to and including the effective date of the sale. After the effective date of the sale of part or all of an employer's business, the purchaser shall be responsible for providing notice for any plant closing or mass layoff in accordance with this Section. Notwithstanding any other provision of this Act, any person who is an employee of the seller (other than a part-time employee) as of the effective date of the sale shall be considered an employee of the purchaser immediately after the effective date of the sale.
(f) An employer which is receiving State or local economic development incentives for doing or continuing to do business in this State may be required to provide additional notice pursuant to Section 15 of the Business Economic Support Act.
(g) The rights and remedies provided to employees by this Act are in addition to, and not in lieu of, any other contractual or statutory rights and remedies of the employees, and are not intended to alter or affect such rights and remedies, except that the period of notification required by this Act shall run concurrently with any period of notification required by contract or by any other law.
(h) It is the sense of the General Assembly that an employer who is not required to comply with the notice requirements of this Section should, to the extent possible, provide notice to its employees about a proposal to close a plant or permanently reduce its workforce.
Section 10 is the Illinois WARN Act's core notice provision, requiring employers to give 60 days' written notice before ordering a mass layoff, relocation, or employment loss. The bill adds new subsection (b-5), which imposes a supplemental disclosure obligation: when an employer is already required to report the reason for a mass layoff or closing, it must now also disclose any artificial intelligence-related job impacts, including the number of employees laid off substantially due to AI replacement or automation. The Director of Labor is granted rulemaking authority to require additional AI-related job impact information. The definition of artificial intelligence is imported from the Illinois Human Rights Act.
The remaining subsections of Section 10 are unchanged and govern notice mechanics, exceptions for physical calamity or terrorism, sale-of-business responsibilities, and the savings clause for other contractual or statutory rights.
2 Before September 30 of each year, the Department of Commerce and Economic Opportunity, with the cooperation of the Department of Employment Security, must issue a written notice to each employer that reported to the Department of Employment Security that the employer paid wages to 75 or more individuals with respect to any quarter in the immediately preceding calendar year. The notice must indicate that the employer may be subject to this Act and must generally advise the employer about the requirements of this Act, including reporting the reason for the mass layoff or closing, and the remedies provided for violations of this Act.
Section 45 requires the Department of Commerce and Economic Opportunity to issue annual advisory notices to employers with 75 or more employees, informing them of their obligations under the WARN Act. The bill amends this section to require the advisory notice to specifically mention the obligation to report the reason for a mass layoff or closing — a change that supports awareness of the new AI disclosure requirement in Section 10(b-5). This section imposes no new compliance obligation on private employers; the duty falls on the Department.
3 If the Department of Commerce and Economic Opportunity issues any public report disclosing mass layoffs or closings obtained from the required notice set forth Section 10, the Department of Commerce and Economic Opportunity shall include the reason for the mass layoff or closing in the report, including whether the mass layoff or closing is substantially due to artificial intelligenceArtificial intelligence"artificial intelligence" has the meaning set forth in subsection (N) of Section 2-101 of the Illinois Human Rights Act.820 ILCS 65/10(b-5).
New Section 47 requires the Department of Commerce and Economic Opportunity, whenever it issues a public report disclosing mass layoffs or closings based on WARN Act notices, to include the reason for each mass layoff or closing — specifically including whether the layoff or closing is substantially due to artificial intelligence. This creates a government transparency obligation ensuring that aggregate workforce data published by the Department captures the role of AI in job displacement.