Hello, and welcome to LegalEase. Today’s topic is about the first EEOC lawsuit and settlement in a case involving AI technology. Let’s talk about it.

Okay, the EEOC has sent several warnings to employers and software developers. The warnings have been consistent – Even if discrimination is automated, the relevant company will still be liable.

The EEOC found out about a company called iTutor Group that was using hiring software that excluded females age  55 and older and males age  60 and older. Guess what? You can’t do that. That’s age discrimination. The EEOC filed suit and the company entered into an early settlement to pay about $365,000 to resolve the claims.

The EEOC again issued a warning – Even if discrimination is automated, the relevant company will be liable. Employers are encouraged to seek legal counsel before using AI software. Software developers are encouraged to seek legal counsel before developing AI software. And the public is encouraged to look at the framework published by the EEOC giving guidance on the use of AI so that you know what is and what is not allowed.

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