New York employers must now tell applicants when they encounter AI
CBSN
Starting today, job-hunters in New York City will be let in on a formerly hidden part of the application process, learning whether — and how — artificial intelligence is being used to make hiring decisions.
The city's automated employment decision tools law, enacted in 2021 and scheduled to be enforced beginning July 5, positions New York City as a leader in regulating the use of AI in hiring. Other cities and states expected to gradually follow suit.
The narrowly tailored law is designed to offset potential misuses of AI in ways that could substantially affect workers' livelihoods. Specifically, it requires companies that lean on AI tools to make hiring decisions to disclose this fact to candidates. It also mandates that employers conduct annual third-party "bias audits" of the technology or software they use, in order to make public the ways in which the AI could be discriminating against certain types of candidates.
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