Introduction
The California Civil Rights Commission (CRC) has implemented new regulations to amend existing anti-discrimination laws [2], specifically targeting the use of Automated Decision Systems (ADS) in employment practices [2]. These regulations aim to address potential discrimination issues arising from the use of ADS in recruitment, hiring [2], and promotion processes [2].
Description
The California Civil Rights Commission (CRC) has introduced regulations that amend existing anti-discrimination laws to address discrimination arising from the use of Automated Decision Systems (ADS) in various employment practices [2], including recruitment [2], hiring [2], and promotion [2]. These regulations outline specific HR functions where ADS may be employed [2], such as conducting assessments to evaluate applicants’ skills or personality traits [2], targeting job advertisements [2], screening resumes [2], and analyzing data from third parties [2].
The regulations emphasize the importance of anti-bias testing and proactive measures to prevent discrimination [2], indicating that the presence or absence of such efforts will be pertinent in discrimination claims related to ADS [2]. Employers utilizing AI tools must ensure they understand the functionality of these systems and confirm that they have undergone appropriate bias testing [1]. Additionally, employers are required to review their policies to ensure adequate coverage of AI usage and assess contracts with third parties to protect against liability stemming from AI-related discrimination claims.
Furthermore, employers are mandated to retain personnel and employment records [2], including ADS-related data [2], for a period of four years [2], extending the previous requirement of two years [2]. This retention includes any data generated from the use of ADS or data utilized in the development of these systems for specific employers [2]. In defending against discrimination claims [1], employers can reference any due diligence conducted [1], such as anti-bias testing [1], as the absence of such testing may influence liability determinations [1].
Conclusion
These regulations underscore the CRC’s commitment to mitigating discrimination risks associated with ADS in employment. By mandating anti-bias testing, policy reviews, and extended data retention, the CRC aims to ensure that employers are accountable and proactive in preventing discrimination. The implications of these regulations are significant, as they require employers to be diligent in their use of ADS, potentially influencing broader industry practices and standards.
References
[1] https://natlawreview.com/article/california-civil-rights-council-finalizes-regulations-aimed-curb-employment
[2] https://www.jdsupra.com/legalnews/if-approved-employers-may-see-ai-3080658/