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AI Summary
This bill establishes criteria for selling automated employment decision tools and mandates reporting on their impact, including disability accommodation policies.
Business Impact
If you sell automated hiring tools in New York, you must conduct and report on disparate impact assessments or face 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 How we classify →
What This Means
New York's proposed legislation aims to regulate automated employment decision tools by requiring vendors to conduct disparate impact reports and disclose their findings, including disability accommodation policies. This bill seeks to ensure fairness in hiring practices and protect candidates from potential biases in automated systems. Businesses utilizing such tools will need to comply with new reporting and notification requirements.
Key Provisions
- Automated employment decision tools must have a disparate impact report conducted prior to sale.
- Vendors must provide annual public disclosure reports including disparate impact findings and a disability accommodation policy.
- Employers must produce annual disparate impact reports on the tools they use, which are not publicly filed and are subject to applicable privileges.
- Notice must be given to candidates regarding the use of automated tools in their assessment.
- Civil penalties for violations range from $500 to $1,500 depending on the nature of the violation.
- The commissioner can initiate investigations and mandate audits for compliance.
Latest Legislative Action
REFERRED TO LABOR
Bill Sponsors
| Name | Role | District |
|---|---|---|
| Alessandra Biaggi D | Sponsor | SD-034 |
| Jessica Ramos D | Sponsor | SD-013 |
Compliance Checklist
Conduct a disparate impact report before selling automated employment decision tools.
Who: Vendors of automated employment decision tools.
Deadline: One year prior to sale.
Penalty: Up to $500 for the first violation.
Who: Vendors of automated employment decision tools.
Deadline: One year prior to sale.
Penalty: Up to $500 for the first violation.
Provide annual public disclosure reports to the department.
Who: Vendors of automated employment decision tools.
Deadline: Annually.
Penalty: Civil penalties for non-compliance.
Who: Vendors of automated employment decision tools.
Deadline: Annually.
Penalty: Civil penalties for non-compliance.
Notify candidates when an automated employment decision tool is used.
Who: Employers using automated employment decision tools.
Deadline: Prior to candidate assessment.
Penalty: Each instance of failure to notify constitutes a violation.
Who: Employers using automated employment decision tools.
Deadline: Prior to candidate assessment.
Penalty: Each instance of failure to notify constitutes a violation.
Related & Companion Bills
New York S05641 — Establishes criteria for the use of automated employment de…
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New York S 6852 — Establishes criteria for the sale of automated employment d…
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New York S04394 — Establishes criteria for the use of automated employment de…
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New York A07244 — Establishes criteria for the use of automated employment de…
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Full Legal Analysis
The bill mandates that any automated employment decision tool sold in New York must comply with specific criteria, including conducting a disparate impact report at least one year prior to sale. Vendors are required to provide annual public disclosure reports that include the results of these assessments and a disability accommodation policy. Employers using these tools must also produce annual disparate impact reports assessing their actual impact on candidates, which are not publicly filed and are subject to applicable privileges. Violations of these provisions can result in civil penalties, with fines escalating for repeated offenses. The bill defines key terms such as 'automated employment decision tool' and 'disparate impact report,' ensuring clarity in compliance requirements. This legislation aligns with growing trends in other states to regulate AI in employment contexts, emphasizing accountability and transparency in automated decision-making processes.
Official Source
Official Bill Text
View S06852 on official legislature website →
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