White Paper

Regulation of HR Tech: The Key Laws You Need to Know

December 7, 2022

While the use of artificial intelligence (AI) is proliferating across all industries, this is particularly true in the HR sector, where previously human leads responsibilities such as candidate sourcing and screening onboarding performance review and management and internal mobility are increasingly being automated.

While the use of artificial intelligence (AI) is proliferating across all industries, this is particularly true in the HR sector, where previously human leads responsibilities such as candidate sourcing and screening onboarding performance review and management and internal mobility are increasingly being automated. While this can reduce some of the burden on HR professionals and can make the recruitment process more engaging and efficient for candidates, the use of these tools poses novel risks, particularly in relation to bias. 

As such, many countries but particularly the US and countries in the EU, have started to propose and introduce legislation to regulate the use of HR tech and make these systems safer. The most notable development is the mandating of third-party bias audits of automated employment decision tools used to evaluate candidates or employees residing in New York City. Aside from this, the Illinois Artificial Intelligence Video Interview act imposes transparency obligations on employers using AI to judge video interviews, and California has proposed amendments to its employment regulations to address the use of automated decision systems. There are also broader laws such as the proposed EU AI act DC stop discrimination by algorithms act and Canada’s Artificial Intelligence and Data Act, all of which will have implications for HR tech tools.

To find out more about each of these laws and their implications for HR tech, download our white paper below.

Written by Airlie Hilliard, Senior Researcher at Holistic AI & Ayesha Gulley, Public Policy Associate at Holistic AI.

Regulation of HR Tech: The Key Laws You Need to Know

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