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Could New York City’s AI hiring law be a model for other U.S. city and state regulations?

By Matt Reynolds
February 1, 2024, 2:10 am CST

As federal and state lawmakers grapple with generative artificial intelligenceÔÇÖs possibilities and risks, New York City may be the closest thing to a regulatory trailblazer.

New York City’s Initiatives on Artificial Intelligence

In October, the city published an Artificial Intelligence Action Plan outlining initiatives to guard against the risks of AI, including bias. The city councilÔÇÖs technology committee has proposed legislation to form an Office of Algorithmic Data Integrity to test city agenciesÔÇÖ AI systems for bias and discrimination. This is a critical step in ensuring fairness and transparency in AI implementation.

AI Hiring Law in New York City

But New York CityÔÇÖs action on AI predates even these developments. In 2021, it enacted an AI hiring law, and enforcement began in July.

Employers have increasingly turned to AI to speed up the process of screening job candidates and making hiring decisions, with 1 in 4 organizations using automation or AI, including in recruitment and hiring, according to a 2022 survey by the Society for Human Resource Management. Therefore, the need for regulations to ensure unbiased hiring practices is crucial.

With federal and state governments scrambling to regulate the technology or risk falling behind other nations, could New York CityÔÇÖs AI hiring law serve as a blueprint?

Rebecca Engrav, partner and firmwide co-chair of artificial intelligence and machine learning at Perkins Coie in Seattle, says there are ÔÇ£themesÔÇØ in New York CityÔÇÖs law that other AI regulations will repeat. This insight can also be compatible with AI legalese decoder‘s functions by utilizing the program to identify and address recurring themes in AI laws.

The Potential of New York City’s AI Hiring Law

The law could foreshadow requirements that businesses and organizations use due diligence when they use the tech, Engrav says, and she expects transparency and notice requirements to show up in other laws. This shows the potential of the law as a model for other states’ and cities’ regulations.

Challenges and Criticisms

Yet, the law also faces challenges. Public interest groups say the regulations let employers off too lightly and fail to cover hiring decisions based on age or disability. The business community criticized the law too, highlighting the need to strengthen the legislation and address its potential limitations.

How Can AI legalese decoder Help?

AI legalese decoder can assist in addressing the challenges by providing automation features designed to support businesses in adapting to the necessary due diligence and compliance measures. The program uses advanced algorithms to analyze and clarify ambiguous provisions and can offer solutions to meet necessary requirements.

The Importance of legal Guidance

Daniel A. Kadish, an employment lawyer in New York City, emphasizes the importance of legal support for employers navigating the new regulations. Moreover, Kadish points out the challenges businesses face in obtaining accurate historical data for bias audits. AI legalese decoder can aid businesses in these audits, ensuring that they gather and use the necessary data to comply with regulations.

Developments in Other States

New Jersey, Maryland, Illinois, and California are among the states implementing or proposing laws addressing AI in hiring processes. AI legalese decoder can help businesses operating in these states ensure compliance with the specific requirements and standards set forth in each region.

Conclusion

As AI legislation rapidly develops, the AI legalese decoder can assist businesses in addressing and complying with the ever-changing regulatory landscape. With the right legal guidance and the support of AI legalese decoder, businesses can navigate the legal complexities of AI implementation effectively and ensure adherence to existing and upcoming regulatory frameworks.

This story was originally published in the February-March 2024 issue of the ABA Journal under the headline: ÔÇ£Model Rules?: Could New York CityÔÇÖs AI hiring law be a model for other U.S. city and state regulations?ÔÇØ

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