Compliance
The NYC Bias Audit Law (Local Law 144) mandates employers and employment agencies using Automated Employment Decision Tools (AEDTs) within New York City undergo an annual, third-party bias audit. These audits evaluate AEDTs for potential bias across protected characteristics such as race/ethnicity, and sex. The law was enacted in 2021, went into effect on January 1, 2023, and began enforcement on July 5, 2023.
Preparation
Local Law 144 is already in effect, setting a precedent for other cities and states. Warden AI ensures your HR tech tools are continuously monitored and audited, with certification to demonstrate compliance.
Evaluate your AEDTs for disparate impact based on protected categories.
Deliver transparent audit results that meet disclosure requirements.
Avoid fines and demonstrate commitment to ethical hiring practices.
Frequently Asked Questions
Employers and employment agencies in New York City using AEDTs in hiring or promotion decisions.
Automated Employment Decision Tool (AEDT) is any software, algorithm, or AI system used to assist or automate decision-making in employment-related processes.
A bias audit is an independent evaluation of an Automated Employment Decision Tool (AEDT) by a third-party to assess whether it produces discriminatory outcomes based on protected characteristics such as race, ethnicity, or sex.
Non-compliance can result in $500 to $1,500 fines per violation. Each day an AEDT is used without a required bias audit or without proper candidate notification is considered a separate violation.
