The U.S. Equal Employment Opportunity Commission (EEOC) issued new technical assistance on May 18, explaining the application of Title VII of the Civil Rights Act of 1964 to automated systems that incorporate artificial intelligence (AI) in a range of HR-related uses.
Without proper safeguards, employers might violate Title VII when they use AI to select new employees, monitor performance and determine pay or promotions, the EEOC explained. Employers will be held responsible for any of these violations, even if the AI tool is administered by a third party, such as a vendor paid by the employer to deliver the service.
“As employers increasingly turn to AI and other automated systems, they must ensure that the use of these technologies aligns with the civil rights laws and our national values of fairness, justice and equality,” said EEOC chair Charlotte A. Burrows. “This new technical assistance document will aid employers and tech developers as they design and adopt new technologies.”
Neutral tests or selection procedures, including algorithmic decision-making tools, that have a disparate impact on the basis of race, color, religion, sex or national origin must be job-related and consistent with business necessity; otherwise they are prohibited, the EEOC said. Even if the procedures are job-related and consistent with business necessity, alternatives must be considered. The agency noted that disparate impact analysis was the focus of the technical assistance.
More analysis of the guidance will be provided later today.