The New York City Department of Consumer and Worker Protection (DCWP) has begun enforcing Local Law 144 of 2021 (the “Law”), effective, July 5, 2023. Last week, the DCWP published Frequently Asked Questions concerning the use of Automated Employment Decision Tools (AEDT) on its fact page for the Law. The FAQs contain an overview of the Law and other sections regarding general bias audit requirements; data requirements; independent auditors; responsibility for bias audits; notice requirements; and complaints.
The FAQs clarify the geographic scope of the Law. According to the FAQs, the Law applies to employers and employment agencies that use AEDT either (a) for a job located in an office in New York City, at least part time, or (b) a fully remote job associated with an office in New York City. The Law also applies to employment agencies located in New York City using an AEDT, as well as employment agencies who are located outside of New York City, but who use an AEDT for job located in an office in New York City (at least part time) or for a fully remote job associated with an office in New York City.
The FAQs state that the Law applies not just to the use of AEDT in the final hiring and promotion decision, but also when AEDT are used to substantially assist “at any point in the hiring or promotion process.” According to the FAQs, however, the Law does not apply when an AEDT is used to assess someone “who is not an employee being considered for promotion and who has not...
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