AI Governance for HR and People Teams
HR and People teams are at the frontline of AI regulation, with cities and states enacting specific laws governing automated employment decision tools. The primary driver is a patchwork of jurisdiction-specific laws like NYC Local Law 144 and the Illinois AI Video Interview Act that impose audit, disclosure, and notice requirements. A governance program must address bias testing across the full employee lifecycle from recruitment through performance management and ensure compliant notice to candidates and employees.
Key Regulations
- NYC Local Law 144 on Automated Employment Decision Tools
- Illinois AI Video Interview Act
- EU AI Act High-Risk Classification for Employment Decisions
- Colorado AI Act Provisions for High-Risk AI in Hiring
- EEOC Guidance on AI and Algorithmic Fairness in Employment
Top AI Risks
- Discriminatory screening and hiring outcomes from biased AI recruitment tools
- Non-compliant use of AI in performance reviews and termination decisions
- Employee surveillance overreach through AI-powered productivity monitoring
- Failure to provide required bias audit results to candidates and employees
Policy Requirements
- Annual bias audit requirements for all automated employment decision tools
- Candidate and employee notification protocols for AI-assisted HR decisions
- Approved AI tool list for recruitment, screening, and performance management
- Data retention limits for AI-processed candidate and employee information
- Human-in-the-loop requirements for adverse employment actions involving AI
- Vendor assessment criteria for AI HR tools covering bias, data handling, and compliance
PolicyGuard provides HR teams with automated bias audit tracking that maps each AI recruitment and performance tool to applicable jurisdictional requirements. The platform produces audit-ready bias reports, candidate notification logs, and vendor compliance assessments that satisfy NYC LL144, EEOC guidance, and emerging state regulations.
