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Bill > S2964


NJ S2964

NJ S2964
Creates standards for independent bias auditing of automated employment decision tools.


summary

Introduced
03/18/2024
In Committee
03/18/2024
Crossed Over
Passed
Dead
01/12/2026

Introduced Session

2024-2025 Regular Session

Bill Summary

This bill provides standards for the use of an independent bias audit if an employer elects to use an automated employment decision tool (AEDT) for an employment decision. The bill does not require an employer to use an AEDT in making an employment decision, but it does require that an employer utilize an independent bias auditing system of its AEDT if the employer elects to use an AEDT. The bill defines "automated employment decision tool," or "AEDT" to mean any system the function of which is governed by statistical theory, or systems the parameters of which are defined by systems, including inferential methodologies, linear regression, neural networks, decision trees, random forests, and other learning algorithms, which automatically filter candidates or prospective candidates for hire or for any term, condition, or privilege of employment in a way that establishes a preferred candidate or candidates. The bill defines "bias audit" to mean an impartial evaluation, including but not limited to testing, of an automated employment decision tool to assess its predicted compliance with the provisions of the "Law Against Discrimination," and any other applicable law relating to discrimination in employment. The bill requires employers to post the result of bias audits on employer websites, and it requires employers to provide notice to employment candidates or applicants of the use of an AEDT in employment decisions. This bill is modeled after regulations in the New York City Administrative Code addressing the use of AEDTs and bias auditing of those systems.

AI Summary

This bill establishes standards for employers using automated employment decision tools (AEDTs), which are systems that use algorithms and statistical methods to filter job candidates or influence employment decisions, to undergo independent bias audits. While not requiring employers to use AEDTs, the bill mandates that if they do, these tools must be audited by an independent party to ensure they comply with anti-discrimination laws. The bill defines an AEDT broadly to include various machine learning and statistical modeling techniques, and a bias audit as an impartial evaluation of the tool's fairness. Key provisions require employers to publicly post the results of these bias audits on their websites and to notify job candidates or applicants when an AEDT is being used in the hiring process, offering them a way to request alternative selection methods or accommodations. The bill also specifies the types of data and analyses required in a bias audit, including examining the tool's impact on different sex, race, and ethnicity categories, and sets requirements for how historical or test data can be used. This legislation is modeled after similar regulations in New York City.

Committee Categories

Labor and Employment

Sponsors (1)

Last Action

Introduced in the Senate, Referred to Senate Labor Committee (on 03/18/2024)

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