WHAT THIS BILL REGULATES · 2 REQUIREMENT TYPES
How Is This Bill Enforced
Verbatim statutory text on the left; plain-language analysis and a per-section checklist on the right. Numbered markers cross-link to the matching checklist row.
(1)(a) "Automated employment decision toolAutomated employment decision tool"Automated employment decision tool" means any system used to filter employment candidates or prospective candidates for hire in a way that establishes a preferred candidate or candidates without relying on candidate-specific assessments by individual decision-makers. Automated employment decision tools shall include personality tests, cognitive ability tests, resume scoring systems and any system whose function is governed by statistical theory, or whose parameters are defined by such systems, including inferential methodologies, linear regression, neural networks, decision trees, random forests and other artificial intelligence or machine learning algorithms. The term "automated employment decision tool" does not include a tool that does not automate, support, substantially assist or replace discretionary decision-making processes and that does not materially impact natural persons.Labor Law § 203-g(1)(a)" means any system used to filter employment candidates or prospective candidates for hire in a way that establishes a preferred candidate or candidates without relying on candidate-specific assessments by individual decision-makers. Automated employment decision toolsAutomated employment decision tool"Automated employment decision tool" means any system used to filter employment candidates or prospective candidates for hire in a way that establishes a preferred candidate or candidates without relying on candidate-specific assessments by individual decision-makers. Automated employment decision tools shall include personality tests, cognitive ability tests, resume scoring systems and any system whose function is governed by statistical theory, or whose parameters are defined by such systems, including inferential methodologies, linear regression, neural networks, decision trees, random forests and other artificial intelligence or machine learning algorithms. The term "automated employment decision tool" does not include a tool that does not automate, support, substantially assist or replace discretionary decision-making processes and that does not materially impact natural persons.Labor Law § 203-g(1)(a) shall include personality tests, cognitive ability tests, resume scoring systems and any system whose function is governed by statistical theory, or whose parameters are defined by such systems, including inferential methodologies, linear regression, neural networks, decision trees, random forests and other artificial intelligence or machine learning algorithms. The term "automated employment decision toolAutomated employment decision tool"Automated employment decision tool" means any system used to filter employment candidates or prospective candidates for hire in a way that establishes a preferred candidate or candidates without relying on candidate-specific assessments by individual decision-makers. Automated employment decision tools shall include personality tests, cognitive ability tests, resume scoring systems and any system whose function is governed by statistical theory, or whose parameters are defined by such systems, including inferential methodologies, linear regression, neural networks, decision trees, random forests and other artificial intelligence or machine learning algorithms. The term "automated employment decision tool" does not include a tool that does not automate, support, substantially assist or replace discretionary decision-making processes and that does not materially impact natural persons.Labor Law § 203-g(1)(a)" does not include a tool that does not automate, support, substantially assist or replace discretionary decision-making processes and that does not materially impact natural persons.
(1)(b) "Disparate impact analysisDisparate impact analysis"Disparate impact analysis" means an impartial analysis, including but not limited to testing of the extent to which use of an automated employment decision tool is likely to result in an adverse impact to the detriment of any group on the basis of sex, race, ethnicity, or other protected class under article fifteen of the executive law. The results of such analysis shall be reported to the employer implementing or using an automated employment decision tool. A disparate impact analysis shall differentiate between candidates who were selected and candidates who were not selected by the tool and shall include a disparate impact analysis as specified in the uniform guidelines on employee selection procedures promulgated by the United States equal employment opportunity commission.Labor Law § 203-g(1)(b)" means an impartial analysis, including but not limited to testing of the extent to which use of an automated employment decision toolAutomated employment decision tool"Automated employment decision tool" means any system used to filter employment candidates or prospective candidates for hire in a way that establishes a preferred candidate or candidates without relying on candidate-specific assessments by individual decision-makers. Automated employment decision tools shall include personality tests, cognitive ability tests, resume scoring systems and any system whose function is governed by statistical theory, or whose parameters are defined by such systems, including inferential methodologies, linear regression, neural networks, decision trees, random forests and other artificial intelligence or machine learning algorithms. The term "automated employment decision tool" does not include a tool that does not automate, support, substantially assist or replace discretionary decision-making processes and that does not materially impact natural persons.Labor Law § 203-g(1)(a) is likely to result in an adverse impact to the detriment of any group on the basis of sex, race, ethnicity, or other protected class under article fifteen of the executive law. The results of such analysis shall be reported to the employer implementing or using an automated employment decision toolAutomated employment decision tool"Automated employment decision tool" means any system used to filter employment candidates or prospective candidates for hire in a way that establishes a preferred candidate or candidates without relying on candidate-specific assessments by individual decision-makers. Automated employment decision tools shall include personality tests, cognitive ability tests, resume scoring systems and any system whose function is governed by statistical theory, or whose parameters are defined by such systems, including inferential methodologies, linear regression, neural networks, decision trees, random forests and other artificial intelligence or machine learning algorithms. The term "automated employment decision tool" does not include a tool that does not automate, support, substantially assist or replace discretionary decision-making processes and that does not materially impact natural persons.Labor Law § 203-g(1)(a). A disparate impact analysisDisparate impact analysis"Disparate impact analysis" means an impartial analysis, including but not limited to testing of the extent to which use of an automated employment decision tool is likely to result in an adverse impact to the detriment of any group on the basis of sex, race, ethnicity, or other protected class under article fifteen of the executive law. The results of such analysis shall be reported to the employer implementing or using an automated employment decision tool. A disparate impact analysis shall differentiate between candidates who were selected and candidates who were not selected by the tool and shall include a disparate impact analysis as specified in the uniform guidelines on employee selection procedures promulgated by the United States equal employment opportunity commission.Labor Law § 203-g(1)(b) shall differentiate between candidates who were selected and candidates who were not selected by the tool and shall include a disparate impact analysisDisparate impact analysis"Disparate impact analysis" means an impartial analysis, including but not limited to testing of the extent to which use of an automated employment decision tool is likely to result in an adverse impact to the detriment of any group on the basis of sex, race, ethnicity, or other protected class under article fifteen of the executive law. The results of such analysis shall be reported to the employer implementing or using an automated employment decision tool. A disparate impact analysis shall differentiate between candidates who were selected and candidates who were not selected by the tool and shall include a disparate impact analysis as specified in the uniform guidelines on employee selection procedures promulgated by the United States equal employment opportunity commission.Labor Law § 203-g(1)(b) as specified in the uniform guidelines on employee selection procedures promulgated by the United States equal employment opportunity commission.
(1)(c) "Employment decisionEmployment decision"Employment decision" means to screen candidates for employment.Labor Law § 203-g(1)(c)" means to screen candidates for employment.
This subdivision establishes the defined terms governing the statute's scope. Automated employment decision tool is defined broadly to encompass any system that filters or ranks employment candidates without relying on individualized human assessment — including personality tests, cognitive ability tests, resume scoring systems, and systems governed by statistical theory or machine learning. The carve-out excludes tools that do not automate, support, substantially assist, or replace discretionary decision-making and that do not materially impact natural persons. Disparate impact analysis must conform to the EEOC Uniform Guidelines on Employee Selection Procedures and must differentiate between selected and non-selected candidates.
(2) It shall be unlawful for an employer to implement or use an automated employment decision toolAutomated employment decision tool"Automated employment decision tool" means any system used to filter employment candidates or prospective candidates for hire in a way that establishes a preferred candidate or candidates without relying on candidate-specific assessments by individual decision-makers. Automated employment decision tools shall include personality tests, cognitive ability tests, resume scoring systems and any system whose function is governed by statistical theory, or whose parameters are defined by such systems, including inferential methodologies, linear regression, neural networks, decision trees, random forests and other artificial intelligence or machine learning algorithms. The term "automated employment decision tool" does not include a tool that does not automate, support, substantially assist or replace discretionary decision-making processes and that does not materially impact natural persons.Labor Law § 203-g(1)(a) that fails to comply with the following provisions:
(2)(a) 1 No less than annually, a disparate impact analysisDisparate impact analysis"Disparate impact analysis" means an impartial analysis, including but not limited to testing of the extent to which use of an automated employment decision tool is likely to result in an adverse impact to the detriment of any group on the basis of sex, race, ethnicity, or other protected class under article fifteen of the executive law. The results of such analysis shall be reported to the employer implementing or using an automated employment decision tool. A disparate impact analysis shall differentiate between candidates who were selected and candidates who were not selected by the tool and shall include a disparate impact analysis as specified in the uniform guidelines on employee selection procedures promulgated by the United States equal employment opportunity commission.Labor Law § 203-g(1)(b) shall be conducted to assess the actual impact of any automated employment decision toolAutomated employment decision tool"Automated employment decision tool" means any system used to filter employment candidates or prospective candidates for hire in a way that establishes a preferred candidate or candidates without relying on candidate-specific assessments by individual decision-makers. Automated employment decision tools shall include personality tests, cognitive ability tests, resume scoring systems and any system whose function is governed by statistical theory, or whose parameters are defined by such systems, including inferential methodologies, linear regression, neural networks, decision trees, random forests and other artificial intelligence or machine learning algorithms. The term "automated employment decision tool" does not include a tool that does not automate, support, substantially assist or replace discretionary decision-making processes and that does not materially impact natural persons.Labor Law § 203-g(1)(a) used by any employer to select candidates for jobs within the state. Such disparate impact analysisDisparate impact analysis"Disparate impact analysis" means an impartial analysis, including but not limited to testing of the extent to which use of an automated employment decision tool is likely to result in an adverse impact to the detriment of any group on the basis of sex, race, ethnicity, or other protected class under article fifteen of the executive law. The results of such analysis shall be reported to the employer implementing or using an automated employment decision tool. A disparate impact analysis shall differentiate between candidates who were selected and candidates who were not selected by the tool and shall include a disparate impact analysis as specified in the uniform guidelines on employee selection procedures promulgated by the United States equal employment opportunity commission.Labor Law § 203-g(1)(b) shall be provided to the employer but shall not be publicly filed and shall be subject to all applicable privileges.
(2)(b) 2 A summary of the most recent disparate impact analysis of such tool as well as the distribution date of the tool to which the analysis applies has been made publicly available on the website of the employer or employment agency prior to the implementation or use of such tool.
(2)(c) 3 No less than annually, any employer using an automated employment decision toolAutomated employment decision tool"Automated employment decision tool" means any system used to filter employment candidates or prospective candidates for hire in a way that establishes a preferred candidate or candidates without relying on candidate-specific assessments by individual decision-makers. Automated employment decision tools shall include personality tests, cognitive ability tests, resume scoring systems and any system whose function is governed by statistical theory, or whose parameters are defined by such systems, including inferential methodologies, linear regression, neural networks, decision trees, random forests and other artificial intelligence or machine learning algorithms. The term "automated employment decision tool" does not include a tool that does not automate, support, substantially assist or replace discretionary decision-making processes and that does not materially impact natural persons.Labor Law § 203-g(1)(a) shall provide to the department such summary of the most recent disparate impact analysisDisparate impact analysis"Disparate impact analysis" means an impartial analysis, including but not limited to testing of the extent to which use of an automated employment decision tool is likely to result in an adverse impact to the detriment of any group on the basis of sex, race, ethnicity, or other protected class under article fifteen of the executive law. The results of such analysis shall be reported to the employer implementing or using an automated employment decision tool. A disparate impact analysis shall differentiate between candidates who were selected and candidates who were not selected by the tool and shall include a disparate impact analysis as specified in the uniform guidelines on employee selection procedures promulgated by the United States equal employment opportunity commission.Labor Law § 203-g(1)(b) provided to the employer on that tool.
This subdivision establishes the core compliance obligations for employers using automated employment decision tools. It is unlawful for an employer to use such a tool unless three cumulative conditions are met: an annual disparate impact analysis has been conducted; a summary of the most recent analysis and the tool's distribution date have been published on the employer's website before the tool is used; and a copy of the summary has been submitted annually to the Department of Labor. The annual analysis requirement is a continuing obligation — not a one-time pre-deployment exercise — and mirrors the cadence of NYC Local Law 144's bias audit but adds the state regulatory submission requirement.
(3) The attorney general may initiate an investigation if a preponderance of the evidence, including the summary of the most recent disparate impact analysisDisparate impact analysis"Disparate impact analysis" means an impartial analysis, including but not limited to testing of the extent to which use of an automated employment decision tool is likely to result in an adverse impact to the detriment of any group on the basis of sex, race, ethnicity, or other protected class under article fifteen of the executive law. The results of such analysis shall be reported to the employer implementing or using an automated employment decision tool. A disparate impact analysis shall differentiate between candidates who were selected and candidates who were not selected by the tool and shall include a disparate impact analysis as specified in the uniform guidelines on employee selection procedures promulgated by the United States equal employment opportunity commission.Labor Law § 203-g(1)(b) establishes a suspicion of a violation. The attorney general may also initiate in any court of competent jurisdiction any action or proceeding that may be appropriate or necessary for correction of any violation issued pursuant this section, including mandating compliance with the provisions of this section or such other relief as may be appropriate.
(4) The commissioner may initiate an investigation if a preponderance of the evidence, including the summary of the most recent disparate impact analysisDisparate impact analysis"Disparate impact analysis" means an impartial analysis, including but not limited to testing of the extent to which use of an automated employment decision tool is likely to result in an adverse impact to the detriment of any group on the basis of sex, race, ethnicity, or other protected class under article fifteen of the executive law. The results of such analysis shall be reported to the employer implementing or using an automated employment decision tool. A disparate impact analysis shall differentiate between candidates who were selected and candidates who were not selected by the tool and shall include a disparate impact analysis as specified in the uniform guidelines on employee selection procedures promulgated by the United States equal employment opportunity commission.Labor Law § 203-g(1)(b) establishes a suspicion of a violation. The commissioner may also initiate in a court of competent jurisdiction any action or proceeding that may be appropriate or necessary for the correction of any violation issued pursuant to this section, including mandating compliance with the provisions of this section or such other relief as may be appropriate.
Subdivisions 3 and 4 establish dual enforcement authority. Both the Attorney General and the Commissioner of Labor may initiate investigations when a preponderance of the evidence — including the summary of the most recent disparate impact analysis — establishes a suspicion of a violation. Either may also bring court proceedings to mandate compliance or obtain other appropriate relief. The evidentiary threshold is relatively low: suspicion supported by a preponderance standard, not proof of an actual violation. No private right of action is created.
(5) The department may promulgate rules and regulations as it deems necessary to effectuate the purposes of this section, on or before such effective date.
This subdivision grants the Department of Labor authority to promulgate rules and regulations as necessary to effectuate the purposes of the section. The rulemaking power is broad and not limited to specific topics, giving the Department discretion to elaborate on analysis methodology, reporting format, publication requirements, and other implementation details.
This act shall take effect immediately.
The act takes effect immediately upon enactment. There is no phase-in period or delayed operative date for any provision.