California Employers: The California legislature passed the “No Robo Bosses” bill late Friday night, which restricts AI use in employment. Specifically, the bill regulates “automated decision systems” and requires that employers provide written notice that such a system is in use at the workplace, if the system is used in making employment-related decisions and to inform job applicants of such a system’s use, if used in making hiring decisions.
The bill further requires employers to maintain a list of all such systems in use and prohibits an employer from using a system that does certain functions, such as preventing compliance with labor or employment laws or collecting worker data for certain purposes.
The bill also limits the ways in which such a system may be used for employment decision-making. For instance, employers cannot solely use AI to make decisions about an employee’s decision or termination; rather a “human reviewer” will need to review the system’s output and compile and review other information relevant to the decision.
The bill has been sent to Governor Newsom’s desk for signature. Stay tuned.