HR Newsletter: EEOC Releases New Resource on AI and Title VII

The U.S. Equal Employment Opportunity Commission (EEOC) recently released technical assistance focusing on preventing discrimination against applicants and employees because of employers’ use of algorithmic decision-making tools when making employment decisions. The document explains how key aspects of Title VII of the Civil Rights Act (Title VII) apply to an employer’s automated systems, including those that incorporate artificial intelligence (AI).

The agency’s technical assistance provides employers with insights on how to monitor new algorithmic decision-making tools to determine whether they have a disparate and adverse impact on applicants and employees based on protected characteristics, including race, color, religion, sex, or national origin. The document includes questions and answers to help employers address these issues. While Title VII applies to all employment practices of covered employers, the agency’s technical assistance is limited to selection procedures, such as hiring, promotion, and firing.

Employers could be held responsible for a Title VII violation if their third-party vendor’s AI software results in inappropriate adverse selection, including resume scanners, video interviewing software, and job fit testing.