As we previously reported, the Equal Employment Opportunity Commission (“EEOC”) has had on its radar potential harms that may result from the use of artificial intelligence technology (“AI”) in the workplace. While some jurisdictions have already enacted requirements and restrictions on the use of AI decision making tools in employee selection methods,[1] on May 18, 2023, the EEOC updated its guidance on the use of AI for employment-related decisions, issuing a technical assistance document titled “Select Issues: Assessing Adverse Impact in Software, Algorithms, and Artificial Intelligence Used in Employment Selection Procedures Under Title VII of the Civil Rights Act of 1964” (“Updated Guidance”). The Updated Guidance comes almost a year after the EEOC published related guidance explaining how employers’ use of algorithmic decision-making tools may violate the Americans with Disabilities Act (“ADA”). The Updated Guidance instead focuses on how the use of AI may implicate Title VII of the Civil Rights Act of 1964, which prohibits employment discrimination based on race, color, religion, sex, and national origin. Particularly, the EEOC focuses on the disparate impact AI may have on “selection procedures” for hiring, firing, and promoting.Continue Reading The Use of Artificial Intelligence in Employee Selection Procedures: Updated Guidance From the EEOC

On April 6, 2023, the New York City Department of Consumer and Workforce Protection (“DCWP”) promulgated its final regulations (the “Final Regulations”) regarding the New York City Automated Employment Decision Tools Law (“AEDTL”). In connection with the Final Regulations, the DCWP also notified employers that it would further delay enforcement of the AEDTL from April 15, 2023 to July 5, 2023. The Final Regulations, among other things, expand the definition of “machine learning, statistical modeling, data analytics, or artificial intelligence” as used in the AEDTL and clarify specifics around the bias audits required by the AEDTL.Continue Reading NYC Issues Final Regulations for Automated Employment Decision Tools Law, Delays Enforcement to July 5, 2023

On December 7, 2022, President Biden signed the Speak Out Act (the “Act”) into law. The Act limits the enforceability of pre-dispute non-disclosure and non-disparagement clauses relating to sexual assault and sexual harassment claims, but does not prohibit such provisions in settlement agreements or severance agreements. Continue Reading President Biden Signs “Speak Out Act” Limiting the Enforceability of Non-Disclosure and Non-Disparagement Provisions in Sexual Harassment Cases

On December 12, 2022, the New York City Department of Consumer and Worker Protection (“DCWP”) announced that it would delay the date of its enforcement of the New York City Automated Employment Decision Tools Law (“AEDTL”) from January 1, 2023 to April 15, 2023. The change is due to the high volume of public comments the DCWP received in connection with its proposed regulations implementing the AEDTL, along with the DCWP’s plans to hold a second public hearing before finalizing those regulations.Continue Reading NYC Delays Enforcement of Automated Employment Decision Tools Law to April 15, 2023

The United States Supreme Court is currently considering two cases concerning whether race-conscious admissions programs are permissible under federal law. While these cases are limited to the relatively narrow universe of university admissions, the Court’s decision may be instructive to private employers and will likely have implications beyond the classroom.Continue Reading Could the Supreme Court’s Decision in the Harvard and UNC Cases Indirectly Affect Corporate Diversity Initiatives?

As economists argue whether a recession is on the horizon, some employers may begin to prepare to cut expenditures, including through a reduction in force. While not necessary under most state laws, many employers opt to provide severance to employees they choose to lay off. This severance is usually provided by way of a separation agreement in exchange for the employee’s agreement not to bring certain claims against the employer, among other things. As employers begin determining whether they will undergo a reduction in force, they should ensure their separation agreements adhere to applicable state laws.Continue Reading Considering a Reduction in Force? Time to Revise Your Separation Agreement Template

On July 27, 2022, Mayor Muriel Bowser signed into law the Non-Compete Clarification Amendment Act of 2022, scaling back certain aspects of D.C.’s original Ban on Non-Compete Agreements Amendment Act of 2020. As we previously reported, the original ban included some of the most substantial non-compete restrictions in the country, including prohibiting the use of non-compete agreements for nearly all employees working in D.C. and banning anti-moonlighting policies. Here are some key takeaways from the Amendment:Continue Reading The District of Columbia Revises Ban on Non-Competes

On June 13, 2022, the Ninth Circuit Court of Appeals held in Johnson v. WinCo Foods Holdings, Inc, et al. that class members who were not yet employed by WinCo were not entitled to compensation for the time required to take a pre-employment drug test, nor was WinCo required to cover the travel expenses associated with undergoing the test.Continue Reading Time Is Not Always Money: Ninth Circuit Holds That Pre-Employment Drug Testing Is Not Compensable Under California Law

On May 12, 2022, the Equal Employment Opportunity Commission (“EEOC”) issued guidance addressing the application of the Americans with Disabilities Act (“ADA”) to employers utilizing software, algorithms, and artificial intelligence in hiring and employment decisions.  Produced in connection with the EEOC’s launch of its Initiative on Artificial Intelligence and Algorithmic Fairness in October 2021, the EEOC’s latest guidance reflects its goal of ensuring that employers utilizing technology in hiring and employment decisions are complying with federal civil rights laws.  Notably, the guidance was issued a few days after the EEOC filed a complaint against a software company alleging age discrimination, potentially signaling similar actions related to the use of artificial intelligence in the employment context.  Below are some key takeaways on the new guidance.Continue Reading EEOC Issues Guidance Regarding How Employer Software and Artificial Intelligence May Discriminate Against Individuals With Disabilities

UPDATE: Mayor Adams signed Int. 134 into law on May 12, 2022.  It is currently effective.

On April 28, 2022, the New York City Council (the “Council”) passed Int. 134, an amendment to New York City’s Salary Transparency Law (the “Salary Transparency Law” or “STL”) that finalized a number of significant changes to its requirements.  As we previously reported, the Council has been considering Int. 134 in various forms since March 24, 2022.  The original version of Int. 134, which provided more significant protections for employers, failed to gain traction.  Following discussions with pay equity advocates and the small business community, Int. 134’s sponsors announced modifications to Int. 134 designed to represent a compromise proposal.  That version of Int. 134 passed, and will be effective immediately if signed by Mayor Eric Adams.
Continue Reading UPDATED: New York City Council Approves Amendments to Salary Transparency Law; New Date for Compliance Now November 1, Among Other Changes