Workday will be going to court to answer allegations that its artificial intelligence tools are used to toss out job applicants in ways that go against California law, as well as federal bans on discrimination against workers with disabilities.
A judge in California ruled against Workday’s stance that the laws do not apply to people outside California and who are applying for jobs outside the state or the country, Reuters reported.
The suit is a proposed class action and is the first to focus on the use of AI tools and algorithms to omit candidates. It claims the program excludes applications based on race, age, and disability, Bloomberg Law reported.
The initial lawsuit was filed in 2023 by Derek Mobley, who claimed Workday’s algorithm discriminated against him because he’s Black, over 40, and disabled. Three others have joined the case, according to Bloomberg Law.
Jill Hughes is also claiming discrimination under ADA, saying the company’s tools use proxy health indicators to screen applications.
You can read the lawsuit here.
Reuters reported that more than 80% of employers in the U.S., including almost all Fortune 500 companies, use AI tools in their hiring process.
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