In today’s era of AI and machine learning revolutionizing various processes, including hiring, the balance between efficiency and equity is being questioned. With algorithms and statistical models shaping hiring decisions, the issue of fairness arises. How can we ensure that these technological advancements do not perpetuate biases or injustices? In response to these concerns, New York City has introduced new regulations regarding the use of Automated Employment Decision Tools (AEDTs) in 2023.
But what does this mean for software vendors, employers, HR professionals, and job seekers in NYC? This article explores what constitutes an AEDT, who is affected by this law, and how to detect violations. It also provides guidance on ensuring compliance and introduces some AEDTs available in the market.
Continue reading to ensure that your recruitment tools and hiring processes remain fair, transparent, and compliant.
Understanding AEDTs
Automated Employment Decision Tools (AEDTs) encompass a range of automated tools that utilize AI, algorithms, machine learning, or statistical models to assist or make hiring and promotion decisions. According to NYC regulations, AEDTs significantly impact employment outcomes without adequate oversight. Casual use of AI is exempt from these rules.
Examples of AEDTs in the Market
To illustrate what AEDTs are, here are some commercially available examples:
- HireVue: Offers AI-driven video interview analysis and candidate intelligence tools.
- Pymetrics: Uses neuroscience games and AI to match candidates’ traits to job requirements.
- TalVista: Utilizes natural language processing to rank candidates based on job qualifications.
- Ideal: Generates candidate scores using machine learning algorithms.
- Traitify: Assesses candidates’ personality attributes through online tests.
- Fama: Automates reference checks using AI.
- Talview: Provides AI-powered video interviews and candidate assessment tools.
Various vendors offer algorithmic solutions for talent screening and selection, and the NYC regulations apply to any AEDTs used for hiring or promotions in NYC.
Reasons for Implementing NYC’s AEDT Law
New York City introduced this law to address concerns about biased algorithms in hiring processes. The regulations aim to conduct bias audits, ensure transparency, and inform candidates about AEDT use to promote fairness in the hiring process.
Key Questions About AEDT Law
Here are some key questions and answers regarding the AEDT law:
When did the AEDTs law come into effect?
The regulations on AEDTs in NYC were enacted in 2023, requiring compliance for any use of AEDTs in hiring or promotions affecting NYC jobs.
What AI usage in recruitment is covered by the AEDTs law?
The law applies to any tool using AI, algorithms, machine learning, or statistical modeling to significantly impact hiring or promotion decisions in NYC.
The process of complying with AEDT Regulations involves various steps such as screening, video interviews, resume ranking, and assessment algorithms.
AEDT Regulations are applicable to all employers and employment agencies utilizing AEDTs to assess job candidates for positions in New York City or promotions for NYC-based employees.
Violations of the law include using an AEDT without a recent unbiased audit, failing to disclose results, and not informing candidates about AEDT usage. Non-compliance also extends to relying on flawed audits or inadequate data.
To ensure compliance with AEDT regulations, it is essential to conduct regular independent bias audits, publish audit results online, notify candidates about AEDT usage, address algorithmic biases, and maintain transparent policies.
If using AEDTs for hiring or promotions in New York City, organizations should review bias audit methodologies, examine audit results, assess data adequacy, check candidate notification practices, review algorithmic fairness policies, document the selection process, and seek legal guidance if necessary.
For assistance in navigating AEDT compliance, organizations can turn to DLabs.AI for guidance and solutions that meet regulatory standards and ethical practices. Free consultations with AI experts are available to provide clarity and support in the realm of AI and hiring.
