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Staying Ahead of Employment Litigation

Paper Session

Saturday, Jan. 6, 2024 8:00 AM - 10:00 AM (CST)

Convention Center, 304A
Hosted By: National Association of Forensic Economics
  • Chair: Josefina Tranfa-Abboud, Analytic Economics Associates

Adverse Impact Analysis of Algorithm-Based Employment Decisions

Gurkan Ay
,
Resolution Economics
Julie Frizell
,
Resolution Economics

Abstract

NYC Local Law 144 requires employers and employment agencies to conduct and disclose the results of an independent bias audit when using automated employment decision tools in their hiring or promotion decisions. While Local Law 144 is currently the only legislation that regulates the use of artificial intelligence in the U.S., it is the primary driver of current employment-related AI audits and a number of federal, state, local and international efforts are following suit by providing guidance on how to assess the impact of algorithm-based tools on protected demographic groups when these AI tools are used to assist in employment-related, decision-making processes. This presentation will summarize existing legal and regulatory frameworks, outline the bias audit requirements of Local Law 144, and provide examples of potential adverse impact analyses of algorithm-based tools that employers can use when assessing the impact of their AI-based employment decisions.

Proactive Data Analytics in Employment

Edward Bierhanzl
,
Resolution Economics
Julie Frizell
,
Resolution Economics

Abstract

Whether assessing their DEIA initiatives, reviewing ESG metrics for their stakeholders, or conforming to various regulatory requirements, employers realize the importance of proactively reviewing their employment practices and analyzing the resulting effects on their workforces. This presentation will introduce and summarize various data analytics that we perform for our clients when we are retained outside of litigation, with a particular focus on compensation and wage gap analyses. We assist employers in understanding their current state, in identifying possible issue areas, and by providing preemptive remediation recommendations to incorporate into their risk mitigation strategies. These tools and avenues of investigation include analytics that are not constrained by the limitations imposed by litigation.  

Discussant(s)
Larry Spizman
,
Spizman Economic Associates
Josefina Tranfa-Abboud
,
Analytic Economics Associates
JEL Classifications
  • K3 - Other Substantive Areas of Law
  • J5 - Labor-Management Relations, Trade Unions, and Collective Bargaining