Summary
On 9 January 2025, New Jersey’s Attorney General Matthew J. Platkin alongside the Division on Civil Rights (DCR) unveiled a new initiative aimed at tackling the potential discrimination risks linked to artificial intelligence (AI) in hiring. This initiative includes comprehensive guidance on how the New Jersey Law Against Discrimination (LAD) applies to AI-driven hiring practices. The guidance specifically highlights the need for employers to be cautious when using AI tools for screening applicants, as they could inadvertently contribute to algorithmic discrimination.
Key Points
- The DCR’s guidance covers how LAD applies to discrimination arising from AI usage.
- Employers may be liable for “algorithmic discrimination” even if they did not create the AI tools.
- Distinct types of discrimination highlighted include “disparate treatment” and “disparate impact.”
- AI tools can unintentionally lead to discriminatory outcomes against protected classes.
- Employers must ensure AI does not obstruct reasonable accommodations for applicants and employees.
- Employers are advised to implement best practices to mitigate risks associated with AI-related biases.
Why should I read this?
If you’re involved in hiring or managing talent, this article is a must-read! The guidance from New Jersey’s top legal authority offers vital insights into avoiding discrimination pitfalls when using AI in the hiring process. With the potential for hefty penalties under the LAD, understanding these guidelines could save you a lot of hassle and keep your hiring practices compliant. It’s a quick way to stay ahead of legal trends in AI usage!