HB5760 104TH GENERAL ASSEMBLY

LRB104 21590 SPS 37038 b

104TH GENERAL ASSEMBLY
State of Illinois
2025 and 2026
HB5760

Introduced 5/5/2026, by Rep. Kimberly Du Buclet

SYNOPSIS AS INTRODUCED:

New Act

Creates the Commission on Artificial Intelligence and Workforce Transition Act. Establishes the Commission on Artificial Intelligence and Workforce Transition. Provides that the Commission shall direct specified State agencies to conduct assessments of the actual and projected impact of generative artificial intelligence systems and frontier artificial intelligence systems on Illinois industries, occupations, regions, and workers. Provides that the Commission shall identify, review, and make recommendations regarding State and federal workforce development, education, apprenticeship, unemployment insurance, and income support programs with consideration of the assessments. Requires specified State agencies to designate a senior staff liaison to the Commission and to conduct assessments, analyses, and data collection activities directed by the Commission. Provides that the Commission shall prepare and file an initial comprehensive report and biennial update reports concerning findings and recommendations. Sets forth provisions concerning membership; administrative support; meetings; and confidentiality. Repeals the Act on January 1, 2034. Effective immediately.

A BILL FOR

AN ACT concerning State government.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 1. Short title. This Act may be cited as the Commission on Artificial Intelligence and Workforce Transition Act.

Section 5. Findings and declaration of policy. The General Assembly finds and declares:

(1) Generative artificial intelligence and related frontier artificial intelligence systems are being adopted at a pace and scale that differ meaningfully from prior general-purpose technologies, with material consequences for the composition, wages, and skill requirements of the Illinois labor force.

(2) Estimates of the scope of potential labor displacement vary substantially among credible sources, ranging from aggregate displacement of approximately 6% to 7% of the United States workforce to projections that a significantly higher share of entry-level, white-collar positions may be displaced within the decade.

(3) The risk of a prolonged economic transition-commonly, referred to as transition risk or "j-risk", in which labor market recovery lags technological adoption, warrants proactive, data-driven planning by this State, distinct from and in addition to long-standing prohibitions on artificial intelligence-based discrimination in employment decisions.

(4) Illinois' manufacturing base, transportation and logistics concentration, administrative and clerical workforce, public and private service sectors, and public university and community college systems each present unique exposure profiles that merit occupation-level and region-level analysis.

(5) Existing Illinois workforce data infrastructure, including the Illinois Department of Employment Security's Labor Market Information program, the Illinois Workforce Innovation Board's State Plan, and the reporting systems established under the Workforce Innovation and Opportunity Act, provides a strong foundation, but it is not designed to detect artificial intelligence-driven occupational shifts in near real time.

(6) The Illinois Future of Work Task Force and the Generative AI and Natural Language Processing Task Force provided valuable baseline analysis, but neither was designed as an ongoing body with authority to direct periodic agency assessments of generative artificial intelligence's workforce impact.

(7) It is the policy of this State to anticipate, measure, and mitigate artificial intelligence-driven labor transition risk; to align workforce development, education, and economic development investments with emerging occupational realities; and to ensure that the benefits and burdens of artificial intelligence adoption are equitably distributed across Illinois workers, regions, and communities.

Section 10. Definitions. As used in this Act:

"Affected worker" means an Illinois worker who has been displaced, furloughed, materially reassigned, or materially reduced in hours as a result, in substantial part, of an employer's adoption or deployment of a generative artificial intelligence system, a frontier artificial intelligence system, or an automated decision system that performs cognitive tasks previously performed by human workers.

"Appropriate State agency" means each of the following, with respect to the assessments and analyses described in paragraph (1) of Section 25:

(1) the Department of Employment Security, as to labor market information, employment and occupational projections, local area unemployment statistics, occupational employment and wage statistics, mass-layoff statistics, and unemployment insurance wage-record analysis consistent with 20 CFR Part 603 and applicable State law;

(2) the Department of Commerce and Economic Opportunity, as to Workforce Innovation and Opportunity Act (WIOA) Title I program data, sector partnership data, dislocated worker services data, economic development data, and coordination with local workforce innovation areas;

(3) the Department of Labor, as to wage and hour data, occupational safety and health data, and filings under the Illinois Worker Adjustment and Retraining Notification Act;

(4) the Department of Innovation and Technology, as to technical expertise on the capabilities and limitations of generative artificial intelligence and frontier artificial intelligence systems and the State's use and procurement of artificial intelligence systems;

(5) the Illinois Community College Board, as to community college enrollment, program completion, credentialing, and reskilling capacity;

(6) the Illinois Board of Higher Education, as to postsecondary enrollment, program alignment, and credentialing;

(7) the State Board of Education, as to career and technical education pathways, the P-20 education pipeline, and educator artificial intelligence literacy; and

(8) any other State agency, board, commission, or authority the Commission identifies as possessing relevant data, subject-matter expertise, or programmatic responsibility relevant to labor transition risk.

"Commission" means the Commission on Artificial Intelligence and Workforce Transition.

"Department" means the Department of Commerce and Economic Opportunity.

"Frontier artificial intelligence system" means a general-purpose artificial intelligence model trained using a quantity of computing power greater than 10^26 integer or floating-point operations. The quantity of computing power described in this definition shall include computing for the original training run and for any subsequent fine-tuning, reinforcement learning, or other material modifications the developer applies to a preceding foundation model.

"Generative artificial intelligence system" means an artificial intelligence system designed to produce, with limited or no direct human intervention, synthetic text, images, audio, video, code, or other content based on statistical patterns learned from training data.

"Labor transition risk" means the risk that the adoption of generative artificial intelligence systems, frontier artificial intelligence systems, or related automated decision systems will produce a prolonged period of elevated unemployment, underemployment, wage compression, or reduced labor force participation among affected Illinois workers before compensating employment opportunities emerge.

"Occupational exposure" means the degree to which the tasks constituting an occupation, as classified under the federal Standard Occupational Classification System, are susceptible to automation, augmentation, or material modification by generative artificial intelligence systems.

Section 15. Establishment of Commission; membership.

(a) The Commission on Artificial Intelligence and Workforce Transition is established. The Commission shall be composed of the following members, who shall reflect the geographic, demographic, and sectoral diversity of this State:

(1) One member appointed by the President of the Senate, who shall serve as a co-chairperson of the Commission.

(2) One member appointed by the Minority Leader of the Senate.

(3) One member appointed by the Speaker of the House of Representatives, who shall serve as a co-chairperson of the Commission.

(4) One member appointed by the Minority Leader of the House of Representatives.

(5) Nine members appointed by the Governor, as follows:

(A) Two representatives of labor organizations, at least one of whom represents workers in the manufacturing, transportation, warehousing, or logistics sectors;

(B) Two representatives of the business community, at least one of whom represents a small business, as defined under Section 45-45 of the Illinois Procurement Code, and at least one of whom represents an Illinois-based artificial intelligence developer or deployer;

(C) Two individuals with demonstrated academic or research expertise, at least one of whom is a labor economist and at least one of whom has technical expertise in artificial intelligence systems, drawn from an Illinois public university, community college, or non-profit research institution;

(D) One representative of an Illinois workforce development organization, apprenticeship program, or registered pre-apprenticeship program;

(E) One representative of an affected worker organization, dislocated worker service provider, or community-based organization serving workers in occupations with high occupational exposure; and

(F) One member of the public with lived experience as an affected worker.

(6) The following ex officio members, who shall serve in a voting capacity:

(A) The Director of Commerce and Economic Opportunity or the Director's designee;

(B) The Director of Employment Security or the Director's designee;

(C) The Director of Labor or the Director's designee;

(D) The Secretary of Innovation and Technology or the Secretary's designee;

(E) The Executive Director of the Illinois Community College Board or the Executive Director's designee;

(F) The Executive Director of the Illinois Board of Higher Education or the Executive Director's designee; and

(G) The State Superintendent of Education or the Superintendent's designee.

(b) Appointments under subsection (a) shall be made within 90 days after the effective date of this Act. The Commission shall convene its first meeting within 60 days after a majority of the appointed members are seated.

(c) Members appointed under paragraphs (1) through (5) of subsection (a) shall serve terms of 4 years, except that, of the members first appointed under paragraph (5), the Governor shall designate 4 appointees to serve initial terms of 2 years and 5 appointees to serve initial terms of 4 years. A member appointed under paragraphs (1) through (4) of subsection (a) serves at the pleasure of the appointing authority. Vacancies shall be filled in the same manner as the original appointment within 60 days after the vacancy occurs.

(d) The members appointed under paragraphs (1) and (3) of subsection (a) shall serve as co-chairpersons of the Commission. The co-chairpersons shall jointly call meetings, set agendas, and transmit reports.

(e) Members of the Commission shall serve without compensation, but shall be reimbursed for reasonable and necessary expenses incurred in the performance of their duties from funds appropriated for that purpose.

(f) A majority of appointed and seated voting members constitutes a quorum. All actions of the Commission require the affirmative vote of a majority of the members present at a meeting at which a quorum is present.

Section 20. Administrative support; meetings.

(a) The Department shall provide administrative, technical, and logistical support to the Commission, including meeting coordination, document management, public-hearing logistics, and publication of reports, in coordination with the Department of Employment Security and the Department of Innovation and Technology.

(b) The Department is authorized to engage, through contract or intergovernmental agreement, one or more independent research partners to support the Commission's analytical work, including, but not limited to, institutions of higher education, the Illinois Innovation Network, and qualified non-profit research institutions.

(c) The Commission shall meet at least once in each calendar quarter. Additional meetings may be called by the co-chairpersons or upon written request of a majority of the voting members. Meetings shall be held in compliance with the Open Meetings Act and may be conducted in a hybrid in-person and virtual format.

Section 25. Duties of the Commission. The Commission shall:

(1) direct appropriate State agencies to conduct assessments of the actual and projected impact of generative artificial intelligence systems and frontier artificial intelligence systems on Illinois industries, occupations, regions, and workers, including, but not limited to:

(A) occupational exposure analyses consistent with federal Standard Occupational Classification System;

(B) industry-level employment projections incorporating generative artificial intelligence adoption scenarios;

(C) regional analyses covering, at minimum, each economic development region and local workforce innovation area in this State;

(D) sector-specific analyses addressing, at minimum, manufacturing; transportation, warehousing, and logistics; administrative, clerical, and customer-contact occupations; legal, financial, and professional services; health care and human services; and education;

(E) analyses of differential exposure by demographic characteristics, including, but not limited to, age, race, ethnicity, gender, disability status, educational attainment, and English-language proficiency; and

(F) analyses of mass-layoff filings under the Illinois Worker Adjustment and Retraining Notification Act for indicia of artificial intelligence-driven displacement;

(2) identify, review, and make recommendations regarding State and federal workforce development, education, apprenticeship, unemployment insurance, and income support programs with consideration of the assessments conducted under paragraph (1), with particular attention to rapid reemployment and reskilling capacity for affected workers;

(3) compile and evaluate leading practices from other states, countries, and international bodies for anticipating and responding to artificial intelligence-driven labor transition risk;

(4) develop and publish tools, methodologies, and indicators that State agencies, local workforce innovation boards, educational institutions, employers, and workers can use to assess occupational exposure and plan for transitions;

(5) make recommendations to the Governor and the General Assembly regarding:

(A) amendments to the Illinois Worker Adjustment and Retraining Notification Act or other relevant statutes to improve visibility into artificial intelligence-driven workforce changes;

(B) targeted investments in workforce development, community college retraining, higher education programs, registered apprenticeship, and sector partnerships;

(C) modifications to unemployment insurance, trade-adjustment-style support, or other income-bridging mechanisms for affected workers;

(D) workforce data infrastructure investments required to maintain accurate and timely measurement of labor transition risk; and

(E) any proposed legislation necessary to implement the Commission's recommendations;

(6) coordinate with the Illinois Workforce Innovation Board, the Generative AI and Natural Language Processing Task Force, and any successor body, to avoid duplication of effort and to ensure alignment with the Illinois WIOA State Plan; and

(7) convene public hearings in, at a minimum, the City of Chicago, the Metro-East region, the Peoria-Bloomington corridor, the Rockford region, and the Southern Illinois region, to receive testimony from workers, employers, educators, and the public.

Section 30. Duties of State agencies.

(a) Each appropriate State agency shall:

(1) designate a senior staff liaison to the Commission within 60 days after the Commission's first meeting;

(2) conduct the assessments, analyses, and data collection activities directed by the Commission under paragraph (1) of Section 25 within the time frames established by the Commission, subject to available resources;

(3) submit findings, data, and technical analyses to the Commission in the form and at the frequency directed by the Commission, but not less than annually for each active work stream;

(4) share non-confidential data with other appropriate State agencies as necessary to support the Commission's work, consistent with data-sharing agreements executed under Section 40; and

(5) cooperate with the Commission in the preparation and review of the reports required under Section 35.

(b) Nothing in this Act shall be construed to require an appropriate State agency to disclose information the disclosure of which is prohibited by federal law, including, but not limited to, 20 CFR Part 603 or the Family Educational Rights and Privacy Act (20 U.S.C. 1232g), or the Unemployment Insurance Act.

Section 35. Reports.

(a) The Commission shall prepare and file an initial comprehensive report with the Governor, the President and Minority Leader of the Senate, the Speaker and Minority Leader of the House of Representatives, the Senate and House Committees with primary jurisdiction over labor, commerce, and technology, and the Illinois Workforce Innovation Board, no later than 18 months after the Commission's first meeting.

(b) On or before July 1 of every even-numbered year thereafter, the Commission shall file a biennial update report with the recipients identified in subsection (a), including, at minimum:

(1) updated findings on occupational exposure, displacement, wage effects, and labor-force participation attributable in substantial part to generative artificial intelligence and frontier artificial intelligence adoption in this State;

(2) updated sector and regional analyses;

(3) an evaluation of the effectiveness of State workforce development, education, and income support responses to artificial intelligence-driven labor transition;

(4) proposed legislative and administrative actions; and

(5) an assessment of whether the Commission's statutory mandate, membership, or resourcing requires amendment.

(c) In each calendar year in which a biennial report is not due, the co-chairpersons shall transmit an annual interim findings letter to the Governor and the General Assembly summarizing the Commission's activities, preliminary findings, and any urgent recommendations. The annual interim findings letter shall be filed on or before July 1 of that year.

(d) Each report and annual interim findings letter required under this Section shall be posted on the Department's website contemporaneously with filing, in a format accessible to persons with disabilities consistent with the Information Technology Accessibility Act.

Section 40. Data sharing; confidentiality.

(a) All appropriate State agencies are authorized to enter into data-sharing agreements with one another, with the Commission, and with qualified academic or research partners selected by the Commission, to the extent permitted by federal and State law, for the purpose of carrying out this Act.

(b) Any confidential data, including, but not limited to, individually identifiable unemployment insurance wage records, individually identifiable education records, and confidential employer submissions, shall not be disclosed to members of the Commission or to the public in an individually identifiable form. Aggregated or de-identified analyses prepared from the data may be used in the Commission's work and reports, subject to cell-size suppression or other statistical disclosure limitation standards established by the submitting agency.

(c) Any information submitted to the Commission or to an appropriate State agency by an employer or artificial intelligence developer that constitutes trade secret or proprietary information, clearly designated as such at the time of submission, shall be exempt from disclosure under subsection (g) of Section 7 of the Freedom of Information Act.

Section 45. Construction.

(a) Nothing in this Act shall be construed to:

(1) regulate, prohibit, or restrict the development, training, deployment, or commercial offering of any artificial intelligence system by a private entity; or

(2) create a private right of action.

(b) This Act is intended to direct the activities of State agencies and to support the State's planning, educational, and workforce development functions. The Act shall be construed consistent with the State's traditional and constitutionally reserved authority over State government operations, workforce development, and public education.

Section 50. Repeal. This Act is repealed on January 1, 2034.

Section 99. Effective date. This Act takes effect upon becoming law.