In recent years, it has become a popular employment practice to utilize artificial intelligence and automated decision systems in the hiring process to evaluate candidates. However, there have been concerns raised regarding potential biases ingrained in these algorithms. In an effort to address and reduce these biases, NYC is implementing a law in January 2023 that will require all NYC-based employers to comply with bias audits before using automated employment decision tools (AEDTs). Employers who violate this law will face civil penalties in the form of fines.
See "New law to go into effect this January in NYC regulating employers' use of automated tools in hiring decisions", David O. Klein, Mondaq, September 15, 2022