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Wednesday, May 27, 2026

Employment Law Update, July 27, 2023 - Employee Rights/ Labour ... - Mondaq News Alerts

I-Robot: EEOC Issues AI Guidance

By Sarah Ferguson

More employers are using artificial intelligence (AI) in selection procedures. Such use may include, for example, culling through applications for a given job, using video interviewing software and selecting the preliminary round of interviewees. However, few employers realize their potential Title VII exposure for relying on AI for these types of employment decisions. Though cost efficient, employers should carefully evaluate the methodologies employed by AI vendors before using them in selection procedures.

Stepping into the AI fray, the Equal Employment Opportunity Commission (EEOC) issued guidance on the use of AI for employers' selection procedures (hiring, promotions and firing) earlier this summer. Specifically, the EEOC assessed whether employers may be liable for any disparate impact on a particular protected group caused by AI. Title VII prohibits (among other things) discriminatory actions by employers against applicants and employees on the basis of race, color, sex, national origin, pregnancy, sexual orientation, gender identity, disability, age and genetic information. Employers' policies or practices may be found to have a disparate impact if they appear to be neutral but adversely affect a protected class of people more than another group.

Potential Title VII Liability for AI

According to the EEOC, an employer may be liable for the disparate impact caused by AI in this context, even if the AI was developed...



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