Wider Implications: Algorithms Under the Microscope
Vendors on the Hook
For decades, discrimination lawsuits targeted employers. By framing Workday as a joint decision‑maker, Judge Lin places HR‑tech providers squarely in the liability zone. Any vendor whose algorithm scores or ranks candidates—Oracle, SAP SuccessFactors, iCIMS—must now validate and audit models or risk collective actions.
Regulatory Tailwinds
- EEOC Guidance:In 2023 the EEOC warned employers that algorithmic tools creating disparate impact violate Title VII, even if supplied by a third party.
- NYC Local Law 144:Since July 5, 2023, New York City bars employers from using Automated Employment Decision Tools without a public bias audit.
- EU AI Act:Europe’s new regulation classifies CV‑scanning tools as “high risk,” imposing transparency, human oversight, and record‑keeping requirements.
Lessons from Amazon’s Ghost Algorithm
Amazon famously scrapped an internal recruiting engine after it downgraded résumés containing the word “women’s” or graduates of all‑female colleges. The parallels to Workday underscore how training data baked in yesterday’s bias can sabotage tomorrow’s talent pipeline.
