NYC Legislation Prohibits AI Recruiting Tools that Don't Pass Bias Assessments

Home AI News NYC Legislation Prohibits AI Recruiting Tools that Don't Pass Bias Assessments

Updated on November 9 2024

New York City is taking significant steps to address AI bias in the job market. The city council has approved a bill that prohibits the use of AI hiring systems unless they pass annual audits for race and gender discrimination. This legislation mandates developers to ensure greater transparency, including the disclosure of automated systems, and provide alternatives such as human reviews. Violations could result in fines of up to $1,500 per incident.

Once signed into law by departing Mayor Bill de Blasio, the legislation will take effect in 2023. This measure aims to minimize bias in AI hiring technology, helping to create a more equitable candidate pool and workforce demographics. Pro-business groups like the Greater New York Chamber of Commerce support the bill, highlighting the importance of transparency for both employers and job seekers.

However, concerns have been raised about the effectiveness of the law. Critics, including the Center for Democracy & Technology’s Alexandra Givens, argue that the bill overlooks other forms of bias, such as ableism and ageism. Additionally, New York University's Julia Stoyanovich pointed out that the audit requirements are relatively easy to fulfill, potentially allowing employers with hidden biases to evade accountability.

By addressing these issues, New York City aims to foster a fairer job market in the age of AI.

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