Topic dossier
The rules governing automated hiring and employment decisions — bias audits, candidate notice and a right to contest. 4 obligations across 2 jurisdictions — 3 in force. Next dated deadline: 1 Jan 2027.
Employment was one of the first places AI law bit. The duties cluster around three points: auditing automated hiring tools for bias, notifying candidates that AI is being used, and giving people a way to contest an automated decision. New York City’s Local Law 144 and Illinois’s HB 3773 are the sharpest examples; Colorado and Quebec extend the same logic to consequential and automated decisions generally.
Binds NYC employers & agencies using automated employment decision tools (AEDTs). Annual bias audit + published summary + candidate notice.
Stated maximum penalty — $500–$1,500 per violation/day
Binds Employers & employment agencies using AI in employment decisions. Bars discriminatory AI use in hiring; notice required.
Stated maximum penalty — IDHR enforcement
Binds Developers & deployers of automated decision-making tech in consequential decisions. ADMT documentation, consumer notice & appeal rights.
Stated maximum penalty — AG enforcement; per violation
Binds Organisations making automated decisions using personal information in Quebec. Right to be informed + disclosure of key factors for automated decisions using personal info (Quebec).
Stated maximum penalty — AMPs up to C$10M / 2% turnover
In some jurisdictions, yes. New York City’s Local Law 144 requires an annual independent bias audit of automated employment decision tools, publication of a results summary and notice to candidates before use.
Several laws require it. NYC’s Local Law 144 and Illinois’s HB 3773 require notice when AI is used in hiring decisions; Colorado and Quebec require disclosure for consequential automated decisions more broadly.
An Automated Employment Decision Tool — software that uses AI to substantially assist or replace a hiring or promotion decision. The term comes from NYC’s Local Law 144, the most-cited AI-hiring rule to date.
We currently track ai in hiring & employment obligations across 2 jurisdictions: United States and Canada. Each is dated and linked to its primary source on this page.
Not legal advice. Each obligation links to its primary source and carries the date it was last checked; verify the legal text before relying on it.