The New York City Council passed a bill of rights earlier in December. It would require the Department of Consumer and Worker Production (DCWP) to work with the New York City Commission on Human Rights, the Mayor’s Office of Immigrant Affairs (MOIA), and labor and community organizations selected by the DCWP’s commissioner. They would work together to publish a worker’s bill of rights on the city’s website.

Though the mayor did not sign the bill, he did not veto it either. As such, it will become law. The bill of rights details workers’ rights and protections under federal, state, and local laws. It also supplies information about workers’ rights to form a union. The law also explains that immigration status does not affect workers’ rights.

What to Expect

The agencies required to complete the workers’ bill of rights have until March 1, 2024, to post the final draft to New York City’s website. Furthermore, they must post it in all of the designated citywide languages, some temporary languages, and English. The law will also require employers to provide all current workers with a copy of the bill of rights.

Employers must begin providing this information on July 1, 2024. After this date, they must distribute a copy of these rights on the first day of new workers’ employment. However, the current version lacks requirements for independent contractors. Many assume this means the law exempts contractors. 

Employers must post the information on their business premises where employees can access and see it. Furthermore, they must include the bill on the company’s website. Employers who routinely use electronic means to communicate with employees must use other means of accessing the workers’ bill of rights. For example, they must provide access via mobile applications or online.

Unfortunately, the law does not specify whom it covers. Despite this vagueness, many assume employers with workers within New York City’s geographic boundaries fall under this law. Employers must ensure they comply with the new regulations. Failure could lead to penalties, such as the $500 fine. However, employers will have 30 days to correct the violation after they receive their first complaint.

How to Prepare

New York City employers will need to ensure they comply with these new regulations and other relevant employment laws and regulations. Since employment laws and regulations change frequently, it can be challenging to keep up with them. The best way to ensure compliance with this and other employment regulations is to partner with a trustworthy background check company.

Keep your business compliant with new laws and regulations with JDP’s reliable background checks. Keep your business compliant with new laws and regulations with Pre-employ’s reliable background checks. Contact a sales rep today.

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New York employers should think twice before using automated or artificial intelligence (AI) tools. As of July 5, 2023, New York City’s Department of Consumer and Worker Protection (DCWP) can enforce the new ordinance, Local Law 144. This ordinance limits the use of automation and AI for making employment decisions.

The New Law

Local Law 144 restricts employers and employment agencies from using automated & AI employment decision tools. According to the law, it regulates hiring and promotion choices only. However, it offers exceptions to the rule, such as bias audits. 

Employers may use tools that have undergone the bias audit within one year of their use, make the results viewable to the public, and provide specific notices to employees or job candidates of their use. Employers become liable for civil penalties when they violate any provisions; the first violation starts at $375.

Local Law 144 defines automated and AI employment decision tools as “any computational process[es], derived from machine learning, statistical modeling, data analytics, or artificial intelligence, that issues simplified output, including a score, classification, or recommendation, that is used to substantially assist or replace discretionary decision making for making employment decisions that impact natural persons.” 

How Can Employers Comply When Relying on AI?

Local Law 144 requires employers to ensure their tool has undergone a biased audit. However, an independent auditor must run it within the past year to determine the tool’s potential negative impact. They will review it for bias against sex, race, and ethnicity. 

In addition, employers must publicize the audit’s results and the date it took place. They can accomplish this by posting it on their website. However, employers must ensure the information proves easy to find and visible.

Finally, candidates for hiring or promotions must receive a ten-day notice before employers can use the tool. The notice must inform them of the intention to use an automated tool and explain what data it will use. It must also include details about the tool and the employer’s data retention policy. 

The employer may deliver this notice in the form of a single, obvious statement in various ways. Examples include posting it on the employment page of their website, a career listing, or physical or electronic mail to the candidate. However, candidates may request an alternative selection process or accommodation.

Employers should know about the impacts of the DCWP’s new rules on hiring with automation and AI tools. For example, employers utilizing automation or AI tools must submit appropriate audits, public reports, and notices to remain compliant. As such, these employers must develop a widespread compliance plan as soon as possible. 

Local Law 144 is the first law to regulate automation and AI tools in employment. As such, many expect it to influence the nature and passage of future laws in other municipalities and states. NYC employers should review their hiring policies to comply with the new ordinance. The best way to ensure compliance is by working with a dependable background check provider. The right partner will assist in navigating current and future regulations.

Keep your business up to date on new laws and regulations with JDP’s free news resources. Contact a sales rep today.

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