AI in Human Resources & Recruiting · Legal & Ethical Issues in HR AI
Are employers required to disclose when AI is used in the hiring process
Disclosure requirements vary significantly by jurisdiction — some specific laws, like NYC's Local Law 144, require employers to disclose automated employment decision tool use to candidates, while many other jurisdictions have no such requirement, so whether candidates are informed depends on location.
Key takeaways
- Some specific state and local laws require disclosure of automated employment decision tool use to candidates.
- Many other jurisdictions currently lack a specific legal requirement mandating this kind of disclosure.
- New York City's Local Law 144 is a prominent, frequently cited example of a specific disclosure requirement.
- Given this inconsistency, candidates in many locations may not automatically be informed that AI was used in their hiring process.
Inconsistent, Jurisdiction-Dependent Requirements
Whether employers are required to disclose AI use in hiring depends significantly on the specific jurisdiction involved — some specific state and local laws mandate this kind of disclosure, while many other jurisdictions currently lack a specific legal requirement, creating genuinely inconsistent practice depending on where a hiring process takes place.
Where Specific Disclosure Requirements Exist
Some jurisdictions have enacted specific laws requiring employers to disclose the use of certain automated employment decision tools to candidates, New York City’s Local Law 144 being a particularly prominent and frequently cited example, generally requiring covered employers to notify candidates that such a tool will be used in evaluating their application, alongside other requirements like bias audits.
Where No Specific Requirement Currently Exists
In many other jurisdictions, there’s currently no specific legal requirement mandating that employers disclose AI or automated tool use to job candidates, meaning a candidate applying in one of these locations might not automatically be informed that an algorithm played a role in screening their application or evaluating their interview, absent a specific state or local law requiring this.
Why This Creates Meaningfully Different Candidate Experiences by Location
Given this considerable variation, the actual transparency a candidate experiences around AI hiring tool use can differ significantly depending simply on where they happen to be applying, reflecting the broader pattern of AI hiring regulation developing unevenly at the state and local level rather than through one uniform national standard.
Why Candidates in Jurisdictions Without Mandatory Disclosure Should Consider Asking Directly
In locations without a specific disclosure requirement, a candidate genuinely interested in knowing whether AI played a role in their evaluation generally needs to proactively ask the employer directly, since this information may not be automatically volunteered absent a specific legal obligation requiring it.
Why This Remains an Area of Active Legislative Attention
Given growing public and regulatory attention to AI hiring tool transparency, additional jurisdictions have considered or may consider similar disclosure requirements going forward, meaning the current patchwork of requirements could continue to expand or become more consistent over time, though the current landscape remains genuinely uneven.
Bottom Line
Whether employers must disclose AI use in hiring depends significantly on jurisdiction — some specific laws, like New York City’s Local Law 144, require this disclosure, while many other jurisdictions currently lack a specific mandatory requirement, meaning candidates in many locations may need to directly ask employers whether automated tools were used, since this information isn’t automatically guaranteed everywhere.
Go deeper
Frequently asked questions
Is AI hiring tool disclosure required nationwide in the United States?
No — there's currently no comprehensive federal law requiring disclosure of AI or automated tool use in hiring nationwide; specific disclosure requirements currently exist mainly at the state and local level in certain jurisdictions rather than universally.
What should a candidate do if they want to know whether AI was used in their specific hiring process?
In jurisdictions without a specific mandatory disclosure requirement, a candidate's most practical option is generally to directly ask the employer whether automated tools were used at any point in the evaluation process, since this information may not be automatically volunteered.
Related questions
- What laws currently regulate AI use in hiring decisions?
- What is New York City's Local Law 144 and why does it matter for AI hiring tools?
- What happens legally if an ai hiring tool violates the americans with disabilities act?
- Can an employer be sued for using biased AI hiring software?
- Can ai analyze a candidates social media presence as part of a hiring decision?
- What is adverse impact analysis and why does it matter for ai hiring tools?
Sources
- [1]Local Law 144 information — New York City Department of Consumer and Worker Protection
- [2]AI in employment guidance — U.S. Equal Employment Opportunity Commission
Written by Editorial Team
Last updated July 29, 2026
Get one well-sourced answer a week
No spam. Unsubscribe anytime.