2026 Legislative Updates for Illinois Employers to Know

As we approach the new year, Illinois employers should pay close attention to the myriad of new employment-related statutory requirements taking effect in 2026.

Paid Lactation Breaks (P.A. 104-0076)

The Nursing Mothers in the Workplace Act will now require employers to pay an employee during the reasonable break time used to express breast milk for up to one year after their child’s birth.  Employees must be compensated at their regular rate of pay during these lactation break periods.  Employers may not require employees to utilize their paid leave time during these lactation breaks.  Paid reasonable break time may be denied only if an employer can demonstrate providing said break time would constitute an undue hardship.

Restrictions on Employer/Employee Agreements (P.A. 104-0320)

The Workplace Transparency Act was amended to expressly prohibit employers from entering into agreements with employees which prevent the employee from engaging in protected concerted activity to address work-related issues.  “Concerted activity” is statutorily defined as “activities engaged in for the purpose of collective bargaining or other mutual aid or protection” under applicable federal and state law.  This prohibition extends to confidentiality provisions contained within employee settlement agreements, as employers cannot enter into enforceable agreements which include employee promises of confidentiality related to future or prospective concerted activity.

In addition, employers entering into settlement agreements with employees which contain confidentiality provisions related to alleged unlawful employment practices must provide valid, bargained-for consideration in exchange for that confidentiality provision, which is separate from any consideration provided in exchange for a release of claims.

Expanded Organ Donor Leave (P.A. 104-0193)

The Employee Blood and Organ Donation Leave Act now extends leave rights to part-time employees who serve as an organ donor.  For participating part-time employees using organ donation leave, the employer shall calculate the part-time employee’s daily average pay received during their previous two months of employment and compensate the part-time employee in the amount of the daily average pay for the leave days used.

Limitations on Use of Artificial Intelligence (P.A. 103-0804)

Effective January 1, 2026, the Illinois Human Rights Act expressly prohibits employers from utilizing artificial intelligence tools in a manner that subjects employees to discrimination on the basis of protected classes or using ZIP codes as a proxy for protected classes.  Employers using artificial intelligence tools in making any employment decisions (e.g., recruitment, hiring, promotion, renewal, discipline, tenure, or terms/conditions of employment) are required to provide notice to an employee that artificial intelligence tools are being used for these reasons. 

Neonatal Intensive Care Leave (P.A. 104-0259)

Effective June 1, 2026, the Neonatal Intensive Care Leave Act will provide unpaid, job-protected leave to employees whose newborn child is a patient in neonatal intensive care unit.  Employers with between 16 and 50 employees are required to provide up to 10 days of unpaid leave, and employers with 51 or more employees shall provide up to 20 days.  The leave may be taken on a continuous or intermittent basis, at the employee’s selection.  Employers may not require concurrent use of paid leave time during the neonatal intensive care leave period.  Employees must be reinstated to their former position or a substantially equivalent one upon completion of the leave period.  Neonatal intensive care leave is in addition to leave provided under the Family and Medical Leave Act of 1993 (“FMLA”).

Contact your Robbins Schwartz attorney with any questions regarding these new statutory requirements.