89R16717 SCR-D
 
  By: Bhojani H.B. No. 5118
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the use of an automated employment decision tool by an
  employer to assess a job applicant's fitness for a position.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Title 2, Labor Code, is amended by adding
  Subtitle F to read as follows:
  SUBTITLE F. PROVISIONS REGARDING JOB APPLICANT SCREENING
  CHAPTER 95. USE OF AUTOMATED EMPLOYMENT DECISION TOOL
         Sec. 95.001.  DEFINITIONS. In this chapter:
               (1)  "Algorithm" means a computerized procedure
  consisting of a set of steps used to accomplish a determined task.
               (2)  "Applicant" means a person applying for a job
  offered by an employer.
               (3)  "Artificial intelligence system" means a system of
  machine learning and related technologies that use data to train
  statistical models for the purpose of enabling computer systems to
  perform tasks normally associated with human intelligence or
  perception, such as computer vision, speech or natural language
  processing, and content generation.
               (4)  "Automated employment decision tool" means a
  computational process or software application that uses
  algorithms, machine learning, statistical modeling, data
  analytics, or an artificial intelligence system to assess an
  applicant's fitness for a position.
               (5)  "Commission" means the Texas Workforce
  Commission.
               (6)  "Employer" has the meaning assigned by Section
  61.001.
         Sec. 95.002.  BIAS AUDIT REQUIRED. An employer may not use an
  automated employment decision tool in regard to an applicant
  unless:
               (1)  a bias audit of the automated employment decision
  tool has been conducted by an impartial, independent auditor at the
  employer's request to determine whether the data incorporated into
  the automated employment decision tool may have the effect of
  causing discrimination prohibited under Chapter 21 or federal
  antidiscrimination laws; and
               (2)  the employer has posted on the employer's publicly
  accessible Internet website the results of the bias audit conducted
  under Subdivision (1).
         Sec. 95.003.  DISCLOSURE REQUIRED. An employer may not use
  an automated employment decision tool in regard to an applicant
  unless the employer:
               (1)  notifies the applicant that an automated
  employment decision tool may be used to assess the applicant's
  fitness for the position; and
               (2)  provides the applicant with information
  describing how the automated employment decision tool will be used
  to assess the applicant's fitness for the position, including what
  characteristics may be evaluated for that purpose.
         Sec. 95.004.  RULES.  The commission shall adopt rules for
  the administration of this chapter.
         SECTION 2.  This Act takes effect September 1, 2025.