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New York City passed a law governing AI-assisted hiring practices, mandating that businesses that use the tool must conduct a third-party "bias audit" to prevent discrimination.
Local Law 144 will require companies to submit an annual bias audit for AI tools designed to weed out job applicants.
On Wednesday, New York City imposed a new law regulating companies that use artificial intelligence to screen candidates for open positions. The city’s Automated Employment Decision Tools (AEDT) law requires companies to prove their AI tool is free from racial and gender bias before it can be used.
Critics worry Local Law 144 falls short.
NYC Companies using AI to hire employees to adhere to law mandating AI hiring pass an independent audit for bias no longer than one year after their adoption.