NYC Local Law 144
Built for the bias-audit law, not around it.
If you use an automated tool to help hire or promote someone working in New York City, Local Law 144 sets rules: an independent bias audit, a public summary, and advance notice to candidates. Here is what the law asks for and how Placedon supports each part.
Annual
Independent bias audit, not by the employer or vendor
≥ 10 days
Advance notice to candidates before use
$500–$1,500
Per-violation penalty (about ₹42,000–₹1.3 lakh), charged per day
What the law requires
Local Law 144 governs an “automated employment decision tool” (AEDT) — software that uses machine learning or statistical modelling to substantially assist a hiring or promotion decision for a role based in NYC. If a tool meets that bar, the employer must:
- Commission an independent bias audit within the past year — performed by an auditor with no stake in the tool or the employer.
- Publish a summary of the audit results publicly, including impact ratios across sex, race/ethnicity, and intersectional categories.
- Give candidates and employees at least ten business days' notice before the tool is used, disclosing that an AEDT is in use and the job qualifications it assesses.
- Offer an alternative process or accommodation and honour data-related requests where required.
Enforcement sits with the NYC Department of Consumer and Worker Protection (DCWP). Penalties run from $500 (about ₹42,000) for a first violation up to $1,500 (about ₹1.3 lakh) for each subsequent one — and each day a tool is used out of compliance can count as a separate violation.
How Placedon supports compliance
The legal obligation belongs to the employer, but a tool can make it easy or painful to meet. Placedon is built to make it easy:
- Audit-ready by design. Every trait model is tested for adverse impact across protected groups, and we retain the scoring records and evidence links an independent auditor needs to compute impact ratios.
- Candidate notice built in. The flow discloses that an AI assessment is in use and the qualifications being measured, so the ten-business-day notice requirement is straightforward to satisfy.
- A published summary, here. When Placedon serves NYC roles, the independent audit summary is posted on this page — not buried in a contract.
- A real alternative. Candidates can contest any trait and request human review, so the tool never becomes an unappealable gate.
Where we are today — stated plainly
Placedon is pre-launch. We have not yet run a public NYC engagement, so there is no completed audit summary to post yet. We're telling you our commitment, not claiming a finished result: before Placedon assists a hiring decision for any NYC-based role, an independent bias-audit summary will be published on this page and dated. If you are evaluating us for an NYC role, ask — we'll show you exactly where that stands.
The rules tightened further in 2026; employers should confirm current obligations with their own counsel.
This page explains our approach in plain language for candidates and hiring teams. It is a summary, not legal advice — employers should confirm their own obligations with counsel. Last reviewed July 2026.