Bhojani’s bill requiring bias audits for AI hiring tools

The text as introduced · 407 words

89R16717 SCR-D

By: Bhojani
H.B. No. 5118

A BILL TO BE ENTITLED

AN ACT

relating to the use of an automated employment decision tool by an

employer to assess a job applicant's fitness for a position.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Title 2, Labor Code, is amended by adding

Subtitle F to read as follows:

SUBTITLE F. PROVISIONS REGARDING JOB APPLICANT SCREENING

CHAPTER 95. USE OF AUTOMATED EMPLOYMENT DECISION TOOL

Sec. 95.001. DEFINITIONS. In this chapter:

(1) "Algorithm" means a computerized procedure

consisting of a set of steps used to accomplish a determined task.

(2) "Applicant" means a person applying for a job

offered by an employer.

(3) "Artificial intelligence system" means a system of

machine learning and related technologies that use data to train

statistical models for the purpose of enabling computer systems to

perform tasks normally associated with human intelligence or

perception, such as computer vision, speech or natural language

processing, and content generation.

(4) "Automated employment decision tool" means a

computational process or software application that uses

algorithms, machine learning, statistical modeling, data

analytics, or an artificial intelligence system to assess an

applicant's fitness for a position.

(5) "Commission" means the Texas Workforce

Commission.

(6) "Employer" has the meaning assigned by Section

61.001.

Sec. 95.002. BIAS AUDIT REQUIRED. An employer may not use an

automated employment decision tool in regard to an applicant

unless:

(1) a bias audit of the automated employment decision

tool has been conducted by an impartial, independent auditor at the

employer's request to determine whether the data incorporated into

the automated employment decision tool may have the effect of

causing discrimination prohibited under Chapter 21 or federal

antidiscrimination laws; and

(2) the employer has posted on the employer's publicly

accessible Internet website the results of the bias audit conducted

under Subdivision (1).

Sec. 95.003. DISCLOSURE REQUIRED. An employer may not use

an automated employment decision tool in regard to an applicant

unless the employer:

(1) notifies the applicant that an automated

employment decision tool may be used to assess the applicant's

fitness for the position; and

(2) provides the applicant with information

describing how the automated employment decision tool will be used

to assess the applicant's fitness for the position, including what

characteristics may be evaluated for that purpose.

Sec. 95.004. RULES. The commission shall adopt rules for

the administration of this chapter.

SECTION 2. This Act takes effect September 1, 2025.