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.
(bb) The term "automated employment decision toolAutomated employment decision toolThe term "automated employment decision tool" means any system the function of which is governed by statistical theory, or systems the parameters of which are defined by systems, including inferential methodologies, linear regression, neural networks, decision trees, random forests and other learning algorithms, which automatically filter individuals or prospective individuals for employment or for any term, condition or privilege of employment in a way that establishes a preferred individual or individuals. The term 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, including, but not limited to, a junk email filter, firewall, antivirus software, calculator, spreadsheet, database, data set or other compilation of data.Section 4(bb)" means any system the function of which is governed by statistical theory, or systems the parameters of which are defined by systems, including inferential methodologies, linear regression, neural networks, decision trees, random forests and other learning algorithms, which automatically filter individuals or prospective individuals for employment or for any term, condition or privilege of employment in a way that establishes a preferred individual or individuals. The term 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, including, but not limited to, a junk email filter, firewall, antivirus software, calculator, spreadsheet, database, data set or other compilation of data.
(cc) The term "bias auditBias auditThe term "bias audit" means an impartial evaluation by an independent auditor, including, but not limited to, testing of an automated employment decision tool to assess the tool's disparate impact on individuals protected against discrimination under the provisions of this act.Section 4(cc)" means an impartial evaluation by an independent auditor, including, but not limited to, testing of an automated employment decision toolAutomated employment decision toolThe term "automated employment decision tool" means any system the function of which is governed by statistical theory, or systems the parameters of which are defined by systems, including inferential methodologies, linear regression, neural networks, decision trees, random forests and other learning algorithms, which automatically filter individuals or prospective individuals for employment or for any term, condition or privilege of employment in a way that establishes a preferred individual or individuals. The term 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, including, but not limited to, a junk email filter, firewall, antivirus software, calculator, spreadsheet, database, data set or other compilation of data.Section 4(bb) to assess the tool's disparate impact on individuals protected against discrimination under the provisions of this act.
(dd) The term "employment decisionEmployment decisionThe term "employment decision" means to screen individuals for employment or promotion or to otherwise help to decide compensation or any other terms, conditions or privileges of employment in this Commonwealth.Section 4(dd)" means to screen individuals for employment or promotion or to otherwise help to decide compensation or any other terms, conditions or privileges of employment in this Commonwealth.
This section adds three new defined terms to the Pennsylvania Human Relations Act: automated employment decision tool, bias audit, and employment decision. The AEDT definition is broad, capturing any system governed by statistical theory or machine learning algorithms that automatically filters individuals for employment in a way that establishes preferred candidates. A carve-out excludes tools that do not automate or replace discretionary decision-making and do not materially impact natural persons. The bias audit definition requires an impartial evaluation by an independent auditor assessing disparate impact on protected classes under the PHRA.
(a)(1)–(2) 1 An employer or employment agency that uses an automated employment decision toolAutomated employment decision toolThe term "automated employment decision tool" means any system the function of which is governed by statistical theory, or systems the parameters of which are defined by systems, including inferential methodologies, linear regression, neural networks, decision trees, random forests and other learning algorithms, which automatically filter individuals or prospective individuals for employment or for any term, condition or privilege of employment in a way that establishes a preferred individual or individuals. The term 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, including, but not limited to, a junk email filter, firewall, antivirus software, calculator, spreadsheet, database, data set or other compilation of data.Section 4(bb) to make or assist in making an employment decisionEmployment decisionThe term "employment decision" means to screen individuals for employment or promotion or to otherwise help to decide compensation or any other terms, conditions or privileges of employment in this Commonwealth.Section 4(dd) shall: (1) Notify each individual at least ten days prior to their interview that an automated employment decision toolAutomated employment decision toolThe term "automated employment decision tool" means any system the function of which is governed by statistical theory, or systems the parameters of which are defined by systems, including inferential methodologies, linear regression, neural networks, decision trees, random forests and other learning algorithms, which automatically filter individuals or prospective individuals for employment or for any term, condition or privilege of employment in a way that establishes a preferred individual or individuals. The term 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, including, but not limited to, a junk email filter, firewall, antivirus software, calculator, spreadsheet, database, data set or other compilation of data.Section 4(bb) may be used to make or assist in making an employment decisionEmployment decisionThe term "employment decision" means to screen individuals for employment or promotion or to otherwise help to decide compensation or any other terms, conditions or privileges of employment in this Commonwealth.Section 4(dd). (2) Provide each individual with information at least ten days prior to their interview explaining how the automated employment decision toolAutomated employment decision toolThe term "automated employment decision tool" means any system the function of which is governed by statistical theory, or systems the parameters of which are defined by systems, including inferential methodologies, linear regression, neural networks, decision trees, random forests and other learning algorithms, which automatically filter individuals or prospective individuals for employment or for any term, condition or privilege of employment in a way that establishes a preferred individual or individuals. The term 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, including, but not limited to, a junk email filter, firewall, antivirus software, calculator, spreadsheet, database, data set or other compilation of data.Section 4(bb) works and what general types of characteristics it uses to evaluate individuals for an employment decisionEmployment decisionThe term "employment decision" means to screen individuals for employment or promotion or to otherwise help to decide compensation or any other terms, conditions or privileges of employment in this Commonwealth.Section 4(dd).
(a)(3) 2 Obtain, prior to the interview, the individual's consent to use an automated employment decision toolAutomated employment decision toolThe term "automated employment decision tool" means any system the function of which is governed by statistical theory, or systems the parameters of which are defined by systems, including inferential methodologies, linear regression, neural networks, decision trees, random forests and other learning algorithms, which automatically filter individuals or prospective individuals for employment or for any term, condition or privilege of employment in a way that establishes a preferred individual or individuals. The term 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, including, but not limited to, a junk email filter, firewall, antivirus software, calculator, spreadsheet, database, data set or other compilation of data.Section 4(bb) to make or assist in making an employment decisionEmployment decisionThe term "employment decision" means to screen individuals for employment or promotion or to otherwise help to decide compensation or any other terms, conditions or privileges of employment in this Commonwealth.Section 4(dd). An employer or employment agency may not use an automated employment decision toolAutomated employment decision toolThe term "automated employment decision tool" means any system the function of which is governed by statistical theory, or systems the parameters of which are defined by systems, including inferential methodologies, linear regression, neural networks, decision trees, random forests and other learning algorithms, which automatically filter individuals or prospective individuals for employment or for any term, condition or privilege of employment in a way that establishes a preferred individual or individuals. The term 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, including, but not limited to, a junk email filter, firewall, antivirus software, calculator, spreadsheet, database, data set or other compilation of data.Section 4(bb) to evaluate individuals who have not consented to the use of an automated employment decision toolAutomated employment decision toolThe term "automated employment decision tool" means any system the function of which is governed by statistical theory, or systems the parameters of which are defined by systems, including inferential methodologies, linear regression, neural networks, decision trees, random forests and other learning algorithms, which automatically filter individuals or prospective individuals for employment or for any term, condition or privilege of employment in a way that establishes a preferred individual or individuals. The term 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, including, but not limited to, a junk email filter, firewall, antivirus software, calculator, spreadsheet, database, data set or other compilation of data.Section 4(bb).
(b) 3 An automated employment decision toolAutomated employment decision toolThe term "automated employment decision tool" means any system the function of which is governed by statistical theory, or systems the parameters of which are defined by systems, including inferential methodologies, linear regression, neural networks, decision trees, random forests and other learning algorithms, which automatically filter individuals or prospective individuals for employment or for any term, condition or privilege of employment in a way that establishes a preferred individual or individuals. The term 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, including, but not limited to, a junk email filter, firewall, antivirus software, calculator, spreadsheet, database, data set or other compilation of data.Section 4(bb) shall not be used to make or assist in making an employment decisionEmployment decisionThe term "employment decision" means to screen individuals for employment or promotion or to otherwise help to decide compensation or any other terms, conditions or privileges of employment in this Commonwealth.Section 4(dd) unless the automated employment decision toolAutomated employment decision toolThe term "automated employment decision tool" means any system the function of which is governed by statistical theory, or systems the parameters of which are defined by systems, including inferential methodologies, linear regression, neural networks, decision trees, random forests and other learning algorithms, which automatically filter individuals or prospective individuals for employment or for any term, condition or privilege of employment in a way that establishes a preferred individual or individuals. The term 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, including, but not limited to, a junk email filter, firewall, antivirus software, calculator, spreadsheet, database, data set or other compilation of data.Section 4(bb) has been the subject of a bias auditBias auditThe term "bias audit" means an impartial evaluation by an independent auditor, including, but not limited to, testing of an automated employment decision tool to assess the tool's disparate impact on individuals protected against discrimination under the provisions of this act.Section 4(cc) conducted no more than one year prior to the use of the tool and a summary of the results of the most recent bias auditBias auditThe term "bias audit" means an impartial evaluation by an independent auditor, including, but not limited to, testing of an automated employment decision tool to assess the tool's disparate impact on individuals protected against discrimination under the provisions of this act.Section 4(cc) has been made available on the employer's or employment agency's publicly accessible Internet website.
Section 5.4 imposes the bill's core operating obligations on employers and employment agencies that use automated employment decision tools. Subsection (a) requires three pre-interview actions: notice at least ten days before the interview that an AEDT may be used, an explanation of how the tool works and what characteristics it evaluates, and affirmative consent from the candidate. Use of the tool on non-consenting individuals is prohibited.
Subsection (b) conditions all AEDT use on a prerequisite independent bias audit conducted within the prior year, with a publicly posted summary of audit results. This creates a continuous compliance gate — the tool may not be used at all unless the audit requirement is current and the results are published.
(a) The Commission shall have the power to adopt a schedule of civil penalties for violation of section 5(h)(5) by the advertiser and the publisher in instances where the complainant does not take action to secure housing accommodations or financing and is not denied housing accommodations or financing based on the alleged discriminatory language in the advertisement. The schedule of penalties, guidelines for their imposition and procedures for appeal shall be published in the Pennsylvania Bulletin, provided that the Commission shall, within two (2) years of such publication, promulgate a regulation setting forth the schedule of penalties, guidelines and procedures. Any such penalty shall not exceed the sum of five hundred dollars ($500.00). Duly authorized agents of the Commission shall have the power and authority to issue citations and impose penalties for any such violations. Any such penalty imposed may be appealed to the Commission pursuant to regulations promulgated under this act.
(b) The Commission shall have the power to adopt a schedule of civil penalties for violation of section 5.4(a) and (b) by an employer or employment agency. The schedule of penalties, guidelines for their imposition and procedures for appeal shall be published in the next available issue of the Pennsylvania Bulletin, provided that the Commission shall, within two years of such publication, promulgate a regulation setting forth the schedule of penalties, guidelines and procedures. Any such penalty shall not exceed the sum of five hundred dollars ($500.00) for a first violation and not less than five hundred dollars ($500.00) nor more than one thousand five hundred dollars ($1,500.00) for each subsequent violation. Duly authorized agents of the Commission shall have the power and authority to issue citations and impose penalties for any such violations. Any such penalty imposed may be appealed to the Commission pursuant to regulations promulgated under this act.
(c) All proceedings under this section shall be conducted in accordance with the provisions of 2 Pa.C.S. (relating to administrative law and procedure).
Section 9.3 is amended to add a new subsection (b) granting the Pennsylvania Human Relations Commission authority to adopt a schedule of civil penalties for violations of the AEDT requirements in Section 5.4(a) and (b). Penalties are capped at $500 for a first violation and range from $500 to $1,500 for each subsequent violation. The Commission's agents may issue citations directly. The section also reorganizes existing penalty procedures by moving the administrative-procedure cross-reference into a new general subsection (c).
This act shall take effect in 60 days.
The act takes effect 60 days after enactment.