New York City - Local Law 144 on Automated Employment Decision Tools (2021)

Local Law 144 of 2021, in force with enforcement beginning on 5 July 2023, is the first US law to impose a bias-audit requirement specifically on AI hiring tools. It applies to employers and employment agencies that use an automated employment decision tool to substantially assist or replace discretionary employment decisions for positions in New York City. An AEDT is defined as a computational process derived from machine learning, statistical modelling, data analytics or artificial intelligence that issues a simplified output (score, classification or recommendation) used to screen candidates or employees.

Before using an AEDT, the tool must undergo an independent disparate-impact bias audit conducted within the prior year, and a summary of the audit results together with the distribution date must be published on the employer's website. Employers must give candidates and employees who reside in New York City at least ten business days' notice that an AEDT will be used, identify the job qualifications and characteristics it assesses, and allow a request for an alternative selection process or accommodation. Enforcement is handled by the New York City Department of Consumer and Worker Protection.