California Law Bans AI-Driven Layoffs and Disciplinary Actions
The state of California has prohibited employers from laying off or disciplining employees based solely on artificial intelligence decisions.
Signed into law by California Governor Gavin Newsom, the new bill SB 947 sets a precedent by introducing mandatory human oversight against the use of artificial intelligence in the workforce.
Purpose of the Law
A groundbreaking legal regulation has been implemented in the state of California to prevent employers from relying solely on artificial intelligence when making decisions about employees.
The bill numbered SB 947, referred to as the No Robo Bosses Act, was signed into law by Governor Gavin Newsom, becoming the nation's first statute in this area.
Automated Decision Systems
Authored by Senator Jerry McNerney, the legislation regulates automated decision-making systems used in layoff and disciplinary processes.
These systems encompass scores and recommendations derived through machine learning, statistical modeling, data analytics, or artificial intelligence technologies.
Requirement of Human Oversight
In line with the new regulation, employers are required to verify artificial intelligence data before taking any disciplinary action.
This verification process can be carried out through methods such as managerial evaluations, peer reviews, and personnel files.
Employee Rights and Disclosure
Under the law, employers are required to inform employees that artificial intelligence is used in the decision-making process and to disclose which data is processed.
Additionally, the right of employees to access a human authority who can provide a more detailed explanation of the decisions rendered is guaranteed.