By: Dave Schmidt and Sarah Layman
- Prohibit exclusive reliance on an ADS for employment decisions
- Require testing/validation of the ADS for issues (e.g., discrimination, bias) before use and periodically after implementation
- Require training of individuals on the proper use of the ADS
- Require independent, human oversight
- Require disclosure of the use of an ADS, inputs, outputs, and employee rights
Further, this bill would seek to establish a “Technology and Worker Protection Division” within the Department of Labor to regulate this area. More details on this can be found in a fact sheet from the senators.
At this junction, this is only a proposed bill, and there are a number of facets to this that would require clarification; however, it is an example of the latest federal activity related to regulating the use of automated/AI systems in employment decision-making.
With movement on this front at the federal, state, and local levels, employers using AI, complex algorithms, or automated mechanisms associated with employment decisions need to be thinking proactively about being able to comply with present and future requirements. To this end, we encourage employers to consider proactive self-audits and/or third-party audits. Various contextual factors will drive audit specifics, and common considerations include the extent to which tools are:
- Evaluated for potential adverse impact using a comprehensive framework
- Using appropriate and job-relevant inputs to the algorithm
- Effectively predicting important, job-related outcomes
- Explainable and transparent, or minimally semi-transparent
- Compliant with prevailing professional and legal (e.g., Uniform Guidelines on Employee Selection Procedures) guidance where feasible
Stay tuned for more updates in this ever-evolving space, and feel free to reach out to DCI with any questions or audit requests you may have.
