California Agency Narrows Liability for AI Hiring Tools

Oct. 23, 2024, 9:00 AM UTC

California businesses that sell and develop AI tools used for hiring would gain some breathing room from liability under a state agency’s revised draft regulations.

The pending rules by the California Civil Rights Department would clarify existing hiring discrimination law to account for automated tools, as more employers turn to the technology. Surveys have found that almost 80% of businesses rely upon such services.

While much of the draft focuses on employers who are hiring and recruiting, it also would place some legal responsibility on the companies that create the tools, such as LinkedIn, for employers to use.

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