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AI Summary
Regulates automated hiring tools to minimize discrimination in NJ.
Business Impact
If you use AI in hiring in NJ, you must audit for bias yearly or face $500 fines.
What do these statuses mean? ▼
Introduced
— Filed in the legislature; not yet heard in committee
In Committee
— Assigned to and being reviewed by a legislative committee
Passed
— Approved by one or both chambers; awaiting further action
Signed / Enacted
— Signed into law by the governor; may or may not be in effect yet
Dead / Vetoed
— Vetoed, failed to pass, or session expired without action
Unknown
— Status data not yet available or awaiting classification
Affected Industries
Topics
What This Means
This bill mandates bias audits for automated employment decision tools used in hiring to prevent discrimination. Employers must notify candidates about the use of such tools and provide audit summaries. Non-compliance can result in significant fines, emphasizing the importance of transparency and fairness in AI-driven hiring processes.
Key Provisions
- Annual bias audit required for automated employment decision tools.
- Employers must provide audit summaries on their websites.
- Candidates must be notified about the use of such tools within 30 days.
- Fines for non-compliance start at $500 per violation.
- Tools must be sold with a notice of compliance requirements.
Latest Legislative Action
Reported as an Assembly Committee Substitute and Referred to Assembly Labor Committee
Bill Sponsors
| Name | Role | District |
|---|---|---|
| Andrea Katz D | Sponsor | HD-008 |
| Annette Quijano D | Sponsor | HD-020 |
| Carmen Morales D | Sponsor | HD-034 |
| Michael Venezia D | Sponsor | HD-034 |
| Reginald Atkins D | Sponsor | HD-020 |
| Shavonda Sumter D | Sponsor | HD-035 |
Roll Call Votes
A — 2024-05-16
5 Yea
0 Nay
2 Other
Passed ✓
Compliance Checklist
Conduct a bias audit of automated employment decision tools.
Who: Sellers of such tools
Deadline: Annually
Penalty: $500 fine per violation
Who: Sellers of such tools
Deadline: Annually
Penalty: $500 fine per violation
Provide audit summary on website.
Who: Employers using the tools
Deadline: Ongoing
Who: Employers using the tools
Deadline: Ongoing
Notify candidates of tool use and data policies.
Who: Employers using the tools
Deadline: Within 30 days of use
Penalty: $500 fine per violation
Who: Employers using the tools
Deadline: Within 30 days of use
Penalty: $500 fine per violation
Related & Companion Bills
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Official Bill Text
View A3854 on official legislature website →
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