city crackdown
Businesses could face fines in city crackdown on bias for AI hiring tools
"A job advertised online today attracts dozens to hundreds to thousands of applications, mainly due to the amplifying effect of the internet," said Laurie Cumbo, Democratic majority leader of the council and sponsor of the bill. In response, she said, employers have adopted software that sifts through applications rapidly and makes recommendations through an "opaque" process. "My bill will require audits that will clear the fog around these processes and help limit implicit bias and discrimination in the hiring process," Cumbo said. Harvard Business School surveyed 2,250 executives earlier this year and found that 90% of companies were using software to screen applicants, even as a majority of those firms admitted that the screening process eliminated qualified candidates. That happens for reasons beyond gender or racial discrimination, the report noted.