New Jersey Antidiscrimination Law Applies to AI Bias
Bias resulting from the use of artificial intelligence (AI) violates New Jersey’s Law Against Discrimination (LAD), according to new guidance issued by the state attorney general and the Division on Civil Rights.
Published: January 15, 2025 | by Robert S. Teachout, Brightmine Legal Editor
Guidance on Algorithmic Discrimination and the New Jersey Law Against Discrimination makes clear that the LAD protects individuals from algorithmic discrimination stemming from the use of AI and other automated decision-making tools. The guidance is intended to help ensure that companies’ use of AI complies with existing law but does not create any new legal obligations. A note clarifies that automated decision-making tools implicate the LAD only when that use results in unlawful discrimination.
“Responsible use of artificial intelligence technologies offers the potential to enhance government’s ability to deliver services and administer policy,” said Dr. Beth Simone Noveck, New Jersey State Chief AI Strategist. “Government also has a duty to ensure that both the public and private sector use these tools effectively and securely.”
The guidance explains that the use of automated decision-making tools may result in disparate treatment, disparate impact or failure to provide a reasonable accommodation if the tools are not carefully designed, trained, evaluated and tested to prevent bias. It also points out that some automated decision-making tools offer the promise of reducing bias and discrimination.
Finally, the guidance reiterates that employers may be liable for algorithmic discrimination resulting from their use of AI or an automated decision-making tool, even if the tool is developed by a third-party.
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About the author
Robert S. Teachout, SHRM-SCP
Legal Editor, Brightmine
Robert Teachout has more than 30 years’ experience in legal publishing covering employment laws on the state and federal level. At Brightmine, he covers labor relations, performance appraisals and promotions, succession and workforce planning, HR professional development and employment contracts. He often writes on the intersection of compliance with HR strategy and practice.
Before joining Brightmine, Robert was a senior HR editor at Thompson Information Services, covering FMLA, ADA, EEO issues and federal and state leave laws. Prior to that he was the primary editor of Bloomberg BNA’s State Labor Laws binders and was the principal writer and editor of the State Wage Assignment and Garnishment Handbook. Robert also served as a union unit leader and shop steward in the Washington-Baltimore Newspaper Guild of the Communications Workers of America. Actively involved in the HR profession, Robert is a member of SHRM at both the national and local levels, and gives back to the profession by serving as the communications vice president on the board of his local chapter.