Update Applicable to:
All employers that use Artificial Intelligence for hiring and promotions in New York City.

What happened?
On September 23, 2022, New York City’s Department of Consumer and Workplace Protection (DCWP) released proposed rules implementing Local Law Int. No. 1894-A regulates the use of automated employment decision tools (AEDT) in hiring and promotion decisions.

What are the details?
Effective January 1, 2022, the proposed rules will restrict employers from using AEDT in hiring and promotion decisions unless it has been the subject of a biased audit by an “independent auditor” no more than one year before use.  The law also imposes certain posting and notice requirements on applicants and employees.

The DCWP’s proposed rules are currently under consideration and may invite more questions than answers as uncertainty about the requirements lingers.  Comments can be submitted to the DCWP, and a public hearing will be held on October 24, 2022, to determine whether any or all the rules will be formally adopted.  

Below are links that contain a summary of the proposed rules.

For more information, please see the links below:

NYC Department of Consumer and Workplace Protection (DCWP)

Notice of Public Hearing and Opportunity to Comment on Proposed Rules

Local Law Int. No. 1894-A

Article 1Article 2Article 3

What do employers need to do?
Employers should review the links provided above and be on the lookout for any updates on the proposal come October 24th when the public hearing is held.