Long before the recent mainstream popularization of ChatGPT and generative Artificial Intelligence (AI) that caught the public eye, private companies – as well as government agencies – had already been quick to incorporate AI tools into their business. From housing to finances to hiring, AI permeated the pores of business because it satisfied the one thing businesses aim to accomplish – maximizing efficiency to increase profit margins. According to a 2023 article from the ACLU, approximately 70% of companies and 99% of Fortune 500 companies had already implemented some form of AI and automation tools to increase “efficiency” in the hiring process. The global market size of the AI recruitment industry was around $618 million as of 2024 and is expected to surge to $1053 million by 2032.
The use of AI in the hiring process can help reduce the workload of recruiters by scanning thousands of resumes and filling positions faster. While in theory this sounds promising, it can lend itself to incidences of various types of illegal discrimination that employers should be aware of in the workplace.
Employment Discrimination and AI.
In 2022 the EEOC filed a case against a Shanghai China-based English language tutor known as iTutor over the company’s use of a software programmed to automatically reject both female candidates over the age of 55 and male candidates over the age of 60 for tutoring roles. EEOC alleged a violation of the Age Discrimination in Employment Act (ADEA)....
Four Michigan companies have agreed to settle a federal complaint over alleged COVID-19 relief loan fraud, officials said Monday. Your Fantasy Warehouse Inc., Ugly Christmas Sweater Inc., Costume A...