Prohibits use of automated tools in hiring unless assessed for impact; mandates applicant notification.
If you use AI in hiring in Maryland, you must notify candidates within 30 days or face $500 fines.
What do these statuses mean? ▼
Affected Industries
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What This Means
This bill prohibits Maryland employers from using automated employment decision tools unless they undergo annual impact assessments to ensure the tool does not pose a high risk of discrimination. Employers must notify applicants within 30 days if such tools are used in their hiring process. Non-compliance can result in fines of up to $500 for the first violation and $500 to $1,500 for subsequent violations, making it crucial for businesses to understand and adhere to these new requirements.
Key Provisions
- Prohibits use of automated employment decision tools without impact assessment to ensure no high-risk actions.
- Requires annual impact assessments for continued use.
- Mandates notification to applicants within 30 days of tool use.
- Defines penalties for non-compliance with notification requirement.
- Establishes definitions for key terms like 'automated employment decision tool'.
- Requires the Maryland Department of Labor to adopt implementing regulations.
Latest Legislative Action
Hearing 3/06 at 1:00 p.m.
Bill Sponsors
| Name | Role | District |
|---|---|---|
| Sandy Bartlett D | Sponsor | HD-032 |
Compliance Checklist
Who: Employers using such tools
Deadline: Before tool use each year
Penalty: Prohibition on tool use
Who: Employers using such tools
Deadline: 30 days after tool use
Penalty: $500 to $1,500 per violation
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