More and more companies are using artificial intelligence (AI) algorithms to identify and evaluate candidates, and this development is expected to revolutionize hiring and hiring. Proponents argue that AI-driven systems can eliminate bias, increase objectivity, optimize efficiency, and deliver fairer and more accurate selection outcomes. However, these programs can also affect diversity, fairness and inclusion in the workplace, and federal regulators have warned employers to remain vigilant.
The EEOC recently announced that Title VII of the Civil Rights Act “allows employers to use neutral testing and selection procedures that are effective in unfairly excluding people on the basis of race, color, religion, sex, or national origin.” ,” reminded companies that This prohibition applies to examinations and selection procedures that are “unrelated to the duties of the position in question and inconsistent with business necessity.”
What Employers Need to Know:
The EEOC says discrimination can occur when companies use “algorithmic decision-making tools” and software systems such as:
- Resumes the scanner to prioritize applications that use specific keywords.
- Employee monitoring software that evaluates employees based on keystrokes and other factors.
- A “virtual assistant” or “chatbot” that asks candidates about their qualifications and rejects candidates who do not meet predefined requirements.
- Video interview software that evaluates candidates based on facial expressions and speech patterns.
- Testing software that provides a “fit for the job” score of an applicant’s or employee’s personality, aptitude, cognitive skills, or perceived “cultural fit” based on performance in games or traditional tests
Employers using AI tools designed or maintained by third parties may still be held liable if their use results in different impacts, the EEOC said.
Employers should:
To reduce the risk of running into Title VII when using AI to select candidates, we recommend that companies work with their legal counsel to:
- Understand what AI tools are in use and what role they play in the selection process.
- Determine whether the selection procedure could potentially adversely affect protected groups by conducting an analysis under attorney-client privilege.
- Determine whether the adverse selection process is job related and consistent with business need, and if so, whether a less discriminatory alternative exists.
- Take steps to reduce the likelihood that algorithmic decision-making tools will significantly reduce the selectivity of individuals with Title VII-protected characteristics.
