New York City’s legislation (Local Law 144) requiring bias audits of automated employment decision tools is coming into effect in just a few months (5 July 2023) and has left a lot of people wondering – do I need an audit or am I exempt?
The key to who needs to have the audit boils down to three factors:
Those who meet these criteria need to have a bias audit performed by an independent auditor.
Vendors of automated employment decision tools may not be on the hook themselves under the legislation, but if their customers meet the above requirements, they’ll be the subject of the audit.
Not getting an audit puts vendors at risk of a client’s audit uncovering problematic information, which could be costly in terms of fines and reputation.
Benjamin Franklin aptly said, “By failing to prepare, you are preparing to fail,” which is why many vendors are taking control and getting an audit.
By getting an audit proactively, software vendors can air and mitigate issues ahead of time. They’re also able to provide assurance to current clients and future prospects that their software is in compliance.
Still not sure if you need an audit or if you're exempt?
Written by Airlie Hilliard, Senior Researcher at Holistic AI. Follow her on Linkedin.
DISCLAIMER: This blog article is for informational purposes only. This blog article is not intended to, and does not, provide legal advice or a legal opinion. It is not a do-it-yourself guide to resolving legal issues or handling litigation. This blog article is not a substitute for experienced legal counsel and does not provide legal advice regarding any situation or employer.
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