Take note that proposed regulations on employers’ use of artificial intelligence (“AI) in employment have been proposed by the California Civil Rights Department.
The use of AI is on the rise everywhere – including in the workplace. Although it can be a useful time-saving tool, employers must ensure that their use of AI does not violate applicable employment laws. California recently introduced legislation which, if passed into law, will require employers who use automated decision tools to make consequential decisions to undergo a cost-benefit analysis regarding the use of such technology. Employers must therefore continue to proceed with caution about how they use AI in the workplace, particularly as to hiring, firing, and other important employment-related decision-making.
The proposed regulations, available here: Automated-Decision-System-Regulations-Proposed-Text.pdf, are open for public comment until July 18, 2024, and we will be sure to monitor this important development.