Introduction: AI Risk No Longer Stops at Hiring
Artificial intelligence (AI) tools are now part of the full employment lifecycle for many employers, not just at the applicant screening stage. AI has also become engrained in many employers’ onboarding, scheduling, timekeeping, performance evaluation, discipline, accommodations, and separation processes. With this level of implementation, the legal risk from non-compliance with local, state, and federal laws due to improper use has expanded in symmetrical fashion. Federal anti-discrimination statutes remain technology-neutral: the same Title VII, Americans with Disabilities Act (ADA), and Age Discrimination in Employment Act (ADEA) frameworks that applied to paper-and-pencil selection tests also apply to algorithmic tools. At the same time, a growing number of state and local AI laws are adding obligations that go well beyond this federal baseline and employers must remain aware of their new obligations.
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