On November 10, 2021, the New York City Council passed Int. No. 1894-A Relating to Automated Employment Decision Tools. This law is effective as of January 1, 2023. As 2023 creeps closer, prudent NYC employers will take steps to ensure that they are reading for the enactment. This blog takes a deep dive into the nitty gritty of the law. Let’s get started….

WHAT DOES THE LAW PROHIBIT?

Before we can discuss how this law applies, let’s start with what the law actually says.

The law prohibits employers or an employment agency from using an automated employment decision tool to screen a candidate or employee for an employment decision, unless:

• The tool has been the subject of a Bias Audit;
• The Bias Audit has been completed no more than 1 year prior to the use of such tool;
• A summary of the results of the most recent bias audit are made publicly available on the employer’s website prior to the use of such tool.

This is a fairly broad bill, and one that requires a bit of unpacking before understanding the responsibilities of the employers. Unfortunately, the law, as written, does not give much guidance for employers. Let’s attempt to unpack what the bill does provide.

WHAT DO THESE WORDS MEAN?

Before discussing what this means for employers, let’s look at some definitions:

• Automated Employment Decision Tool (“AI Tool”) The entire law revolves around automated employment decision tools. The law provides the following definition:

…any computational process, derived from...

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