Catalog / Makes high-risk automated decisions / LXD-1836

Makes high-risk automated decisions, in New Jersey

Each law's tag says when it binds: since in force proposed proposed from , in 8 months not yet in force

Law Against Discrimination: employer limits on genetic information and genetic testingsince 2 lines

Law Against Discrimination, genetic information in employment, N.J. Stat. §§ 10:5-5 and 10:5-12(a) · Read the law's page

  • Do not refuse to hire or employ an individual, bar or discharge an individual, require an individual to retire, or discriminate against an individual in compensation or in terms, conditions or privileges of employment, because of the individual's genetic information (N.J.S.A. 10:5-12(a)).
  • Do not take those actions because an individual refuses to submit to a genetic test, or to make available the results of a genetic test, to you as employer (N.J.S.A. 10:5-12(a)).
Identity Theft Prevention Act, methods of destruction of customer recordssince 3 lines

N.J. Stat. Ann. § 56:8-162 (L. 2005, c.226, s.11) · Read the law's page

  • This binds any business or public entity holding a customer's records containing personal information within its custody or control, whether or not the entity is otherwise subject to the New Jersey Data Privacy Act.
  • Destroy, or arrange for the destruction of, a customer's records containing personal information once they are no longer retained, by shredding, erasing, or otherwise modifying the personal information to make it unreadable, undecipherable, or non-reconstructable through generally available means.
  • A willful, knowing, or reckless violation is deemed an unlawful practice under the Consumer Fraud Act, enforceable by the Attorney General and, separately, by an affected consumer through the Consumer Fraud Act's private right of action for an ascertainable loss.
New Jersey Disparate Impact Discrimination Rules, Automated Employment Decision Toolssince 3 lines

N.J.A.C. 13:16-3.1(e), 13:16-3.2 · Read the law's page

  • If you provide or deploy an automated employment decision tool for use on New Jersey applicants or employees, including a tool that scores, ranks, or classifies candidates or that assesses schedule availability, adequately test it before use to confirm it does not adversely affect a protected class.
  • If your employment practice or policy that causes a disparate impact relies on an outside vendor's automated tool, take reasonable steps to ensure the vendor's tool is consistent with the New Jersey Law Against Discrimination; relying on the vendor does not by itself excuse a resulting disparate impact.
  • Provide a mechanism for an applicant to request a reasonable accommodation where an automated tool screens applicants based on a schedule requirement.
Licensed Professionals Generative AI Policy Bill (A4731)proposed0 lines

N.J. Assembly Bill 4731, 2026-2027 Regular Session

AI-based electronic monitoring and automated employment decision systems in employment and public services (S4075 / A4981)proposed14 lines

N.J. S4075 / A4981 (2026-2027), supplementing Title 34 of the Revised Statutes · Read the law's page

  • Do not use an electronic monitoring tool, an automated employment decision system, or an automated benefit or service decision system until an impact assessment has screened it and an independent auditor or, for governmental use, the Department of Labor and Workforce Development has approved it as compliant.
  • If you are a vendor of an automated employment decision system seeking approval, give the independent auditor or the department documentation of the system's design and development, its intended purpose and outputs, and an analysis of its accuracy, reliability, validity, and error rates.
  • Give your employees and any union representing them written notice 60 days in advance that you intend to implement an automated employment decision system or electronic monitoring tool.
  • Notify the department and each affected employee or service beneficiary in writing within 48 hours of a security breach of their data, describing the categories of data accessed or acquired and the steps you will take (Section 5).
  • Do not monitor workers in bathrooms, rest areas, or locker rooms or outside of work times, and do not compel workers to install monitoring software on personal devices.
  • For an automated employment decision system, automated benefit or service decision system or electronic monitoring tool already in operation on the act's effective date, give your employees, any union representing them and affected service beneficiaries written notice within 60 days after the act's effective date (Section 6(a)).
  • Give an employee hired after the act's effective date written notice of such a system or tool within 30 days after the hiring, and obtain the employee's written acknowledgement of receipt (Section 6(a)).
  • Give employees and any union representing them at least 60 days' written notice before you implement a significant change in the system or in your use of it (Section 6(b)).
  • If a union representing your employees notifies you of specific concerns about the system within 30 days after it receives your notice, do not implement the system until you have given the union a written response to those concerns (Section 6(c)).
  • Complete the impact assessment of an automated employment decision system or electronic monitoring tool already in use within six months after the act's effective date, and of an automated benefit or service decision system already in use within one year after it; conduct any impact assessment not more than one year before deployment (Sections 3(f) and 4(d)).
  • Submit the full impact assessment report, with an accessible summary, to the department and to the vendor within 60 days of completing it (Sections 3(g) and 4).
  • At least 10 days before a decision that adversely affects an employee, or reduces public benefits or services to a service beneficiary, takes effect, give that person and any recognized bargaining representative a written notice explaining the reasons; give an applicant who is rejected the notice no later than the time the decision is made (Section 8(a)).
  • On a request made within 30 days after you give the adverse-decision notice (or within 30 days after the decision is implemented if you gave no notice), let the person review and copy the data used, explain how the system produced its output, and allow an appeal to a human reviewer (Section 8(b)).
  • A public employer must give the majority representative of the affected public employees, and the Public Employment Relations Commission, advance written notice not less than 30 days before the existing collective bargaining agreement expires and not less than 90 days before it seeks to enter an automated services agreement (Section 12).
Forbidding the Algorithmic Inflation of Rent (FAIR) Actfrom , in 8 months2 lines

P.L. 2026, c. 43 (A3497), supplementing the New Jersey Antitrust Act, N.J. Stat. § 56:9-1 et seq. · Read the law's page

  • If you are a rental property owner, or operate as a coordinator, do not use an algorithmic device, other than a plain spreadsheet or an unprocessed-data database, to process nonpublic, competitively sensitive rental data (prices, lease terms, occupancy levels) of two or more New Jersey rental property owners in order to set, recommend, or facilitate coordinated pricing, lease terms, or occupancy levels among them.
  • Collecting or using such data solely for research, statistical analysis, or testing, without using it to set or recommend prices, remains lawful, as does a free public rent estimate or a real-estate listing database, available on equal terms to subscribers, that does not itself set or recommend prices.

Revisions

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  1. Revision 1, : the entry was first published.

See also

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