Bill Text: NY S05641 | 2023-2024 | General Assembly | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft

---

Bill Title: Establishes criteria for the use of automated employment decision tools; provides for enforcement for violations of such criteria.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2024-01-08 - PRINT NUMBER 5641A [S05641 Detail]

Download: New_York-2023-S05641-Introduced.html

---

                STATE OF NEW YORK
        ________________________________________________________________________

                                          5641

                               2023-2024 Regular Sessions

                    IN SENATE

                                     March 10, 2023
                                       ___________

        Introduced  by  Sen.  COMRIE -- read twice and ordered printed, and when
          printed to be committed to the Committee on Labor

        AN ACT to amend the labor law, in relation to establishing criteria  for
          the use of automated employment decision tools

          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:

     1    Section 1. The labor law is amended by adding a new section  203-f  to
     2  read as follows:
     3    §  203-f.  Use of automated employment decision tools. 1. For purposes
     4  of this section, the following terms shall have the following meanings:
     5    a. "Automated employment decision  tool"  means  any  system  used  to
     6  filter employment candidates or prospective candidates for hire in a way
     7  that  establishes a preferred candidate or candidates without relying on
     8  candidate-specific assessments by individual decision-makers.  Automated
     9  employment  decision  tools  shall  include personality tests, cognitive
    10  ability tests, resume scoring systems and any system whose  function  is
    11  governed  by statistical theory, or whose parameters are defined by such
    12  systems, including inferential methodologies, linear regression,  neural
    13  networks,  decision  trees, random forests and other artificial intelli-
    14  gence or machine learning algorithms.   The term  "automated  employment
    15  decision  tool" does not include a tool that does not automate, support,
    16  substantially assist or replace discretionary decision-making  processes
    17  and that does not materially impact natural persons.
    18    b.  "Disparate impact analysis" means an impartial analysis, including
    19  but not limited to testing of the extent to which use  of  an  automated
    20  employment decision tool is likely to result in an adverse impact to the
    21  detriment  of  any  group on the basis of sex, race, ethnicity, or other
    22  protected class under article fifteen of the executive law. The  results
    23  of such analysis shall be reported to the employer implementing or using
    24  an  automated  employment  decision  tool.   A disparate impact analysis
    25  shall differentiate between candidates who were selected and  candidates

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD02768-01-3
        S. 5641                             2

     1  who  were  not selected by the tool and shall include a disparate impact
     2  analysis as specified in the uniform guidelines  on  employee  selection
     3  procedures promulgated by the United States equal employment opportunity
     4  commission.
     5    c. "Employment decision" means to screen candidates for employment.
     6    2.  It  shall be unlawful for an employer to implement or use an auto-
     7  mated employment decision tool that fails to comply with  the  following
     8  provisions:
     9    a.  No    less   than   annually, a disparate impact analysis shall be
    10  conducted to assess the actual impact   of    any  automated  employment
    11  decision  tool used by any employer to select candidates for jobs within
    12  the state. Such disparate impact analysis shall be provided    to    the
    13  employer  but  shall  not  be publicly filed and shall be subject to all
    14  applicable privileges.
    15    b. A summary of the most recent disparate impact analysis of such tool
    16  as well as the distribution date of  the  tool  to  which  the  analysis
    17  applies  has been made publicly available on the website of the employer
    18  or employment agency prior to the implementation or use of such tool.
    19    c. No less than annually, any employer using an  automated  employment
    20  decision  tool  shall provide to the department such summary of the most
    21  recent disparate impact analysis provided to the employer on that tool.
    22    3. The attorney general may initiate an investigation if a  preponder-
    23  ance  of  the evidence, including the summary of the most  recent dispa-
    24  rate   impact   analysis establishes a suspicion  of  a  violation.  The
    25  attorney  general  may also initiate in any court of competent jurisdic-
    26  tion any action or proceeding that may be appropriate or  necessary  for
    27  correction  of  any  violation  issued  pursuant this section, including
    28  mandating compliance with the provisions of this section or  such  other
    29  relief as may be appropriate.
    30    4.  The  commissioner may initiate an investigation if a preponderance
    31  of the evidence, including the summary  of  the  most  recent  disparate
    32  impact analysis establishes a suspicion of a violation.  The commission-
    33  er  may also initiate in a court of competent jurisdiction any action or
    34  proceeding that may be appropriate or necessary for  the  correction  of
    35  any  violation  issued  pursuant  to  this  section, including mandating
    36  compliance with the provisions of this section or such other  relief  as
    37  may be appropriate.
    38    5.  The  department  may  promulgate rules and regulations as it deems
    39  necessary to effectuate the purposes of this section, on or before  such
    40  effective date.
    41    § 2. This act shall take effect immediately.