New York City requires annual independent bias audits, public results, and advance candidate notice for automated tools used in hiring and promotion. Here's who it covers, what it requires, and where enforcement stands in 2026.
The law applies to employers and employment agencies that use an automated employment decision tool (AEDT) to screen candidates for hire or employees for promotion, where the job is located in New York City. Under DCWP's rules, that includes jobs based at least part-time in an NYC office and fully remote jobs associated with an NYC office.
An AEDT is a process derived from machine learning, statistical modeling, data analytics, or AI that issues a simplified output, such as a score, classification, or recommendation, and is used to substantially assist or replace discretionary employment decisions. Resume screeners, ATS ranking or matching features, and scored video or game-based assessments are common examples. Tools that only schedule interviews or store data generally are not.
Before using an AEDT, an employer must have a bias audit conducted by an independent auditor within the prior year. The audit calculates selection rates (or scoring rates) and impact ratios for sex, race/ethnicity, and intersectional categories. A summary of the most recent audit results, plus the date the tool was first used, must be posted on the employment section of the employer's website.
At least 10 business days before using an AEDT, employers must notify NYC candidates or employees that the tool will be used, which job qualifications and characteristics it will assess, and how to request an alternative selection process or accommodation. Information about the type of data collected, its source, and the retention policy must be posted on the website or provided within 30 days of a written request.
A December 2025 audit by the New York State Comptroller found DCWP's enforcement had been weak, identifying far more potential violations than the agency had. DCWP has since formalized its enforcement procedures, and employers should expect closer scrutiny. Each day a tool is used without a valid audit, and each candidate not properly notified, can count as a separate violation.
Last reviewed October 2026. This page is general information, not legal advice.
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