New York’s artificial intelligence regulations for employment solve nothing
If you are among the many humans who are increasingly suspicious of, a New York law enacted last week to address the discriminatory dangers of AI technology used in job recruiting, employee evaluations and promotions won’t do much to ease your fears.
In simple terms, the new statute says hiring software that relies on machine learning or AI to help employers and employment agencies based in the city choose preferred candidates or identify bad apples must pass annual third-party audits to show it is free of bias. The results of those audits must be made public. Violations and complaints will be handled by the Department of Consumer and Worker Protection.
Just look at the city’s ludicrous new law banning coal- and wood-burning pizza ovens as a critical tactic in fighting. Is the minuscule carbon benefit really worth killing a few small family-run restaurants in largely immigrant neighbourhoods who rely on that income to live? And there were the crushing COVID-era vaccine mandates on businesses that sank many small employers and had the city’s commercial leaders in revolt.
To comply with the new law will be expensive and time-consuming. In effect, the compliance costs will probably negate any benefits a small business might glean from using the technology in the first place. The penalties for violations are not yet clear, but the spectre may prompt a move back to the old-fashioned way of doing things – face-to-face, person-to-person – and that is sure to affect competitiveness and, in some cases, survival.
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