Lawmakers are increasingly regulating the "upstream" process of employment decisions, focusing on how information is created, maintained, and processed, rather than just the final hiring outcome. This trend addresses diverse policy concerns like criminal history, credit reports, and AI bias. Examples include Illinois' Clean Slate laws correcting criminal records, Missouri's automated expungement, New York's restrictions on credit checks, and Washington's Fair Chance Act dictating criminal history evaluation. California's pending AI legislation further exemplifies this by requiring human corroboration and accuracy in automated hiring tools. This shift means legal interventions are occurring earlier in the information lifecycle, impacting what data reaches employers and how it's used, fundamentally reshaping the regulatory landscape before any employment decision is made.
Artificial intelligence. Criminal history. Consumer credit reports. Clean Slate laws. Privacy. At first glance, these subjects appear to have little in common. They arise under different statutes, pursue different policy objectives and often fall within different areas of law.
Viewed together, however, they reveal a broader pattern.
Across recent legislation, lawmakers have responded to very different policy concerns through a similar regulatory method. They are reaching further upstream in the decision-making process, addressing how employment-related information is created, maintained, disclosed,...
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