Guide

Key Principles for Effective Disclosures

This guide provides ready-to-use AI disclosure notice templates covering requirements across jurisdictions like New York City, Illinois, Colorado, and California.

Key Principles for Effective Disclosures

Clear language: Avoid technical jargon; write for a general audience. Specific: Identify the actual tools and purposes, not vague generalities. Complete: Cover all required elements for applicable jurisdictions. Timely: Provide notice before AI is used on the candidate. Accessible: Make notices easy to find and save. Actionable: Include contact information and explain candidate rights.

What Must Be Disclosed

Requirements vary by jurisdiction, but common elements include:

ElementNYCILCOCA
AI is being used
Purpose of AI use
Data/inputs used
What AI evaluates
Right to opt-out*
Right to appeal
Contact info
Link to bias audit

* NYC requires notice of alternative process if available

Universal AI Disclosure Notice Template

This template covers the most common requirements across jurisdictions like New York City, Illinois, Colorado, and California. Customize it for your organization's specific AI tools, processes, and legal obligations. Always consult legal counsel before implementation.

Notice of AI Use in Hiring

[Company Name] uses artificial intelligence (AI) technology to assist in evaluating candidates for employment. This notice explains how AI is used and your rights as an applicant.

What AI Tools We Use We use [Tool Name(s), e.g., Workday Skills Cloud, HireVue, or Pymetrics] to help evaluate job applications. This technology assists our hiring team by [specific purpose, e.g., "analyzing resumes for relevant qualifications" or "assessing skills through automated assessments"].

What Data Is Analyzed The AI analyzes information you provide, including:

  • [e.g., Resume content including work history, skills, and education]
  • [e.g., Your responses to application questions]
  • [e.g., Assessment responses and results]

What the AI Evaluates The AI helps assess factors such as:

  • [e.g., Match between your qualifications and job requirements]
  • [e.g., Relevant skills and experience]
  • [e.g., Specific competencies required for the role]

How AI Influences Decisions The AI generates [output type, e.g., "a compatibility score" or "a ranked list of candidates"] that our hiring team uses as one factor in evaluation. Human recruiters and hiring managers make all final hiring decisions.

Your Rights

  • Right to Alternative Review: You may request that your application be evaluated without AI assistance. [If applicable: Contact us to request human-only review.]
  • Right to Information: You may request additional information about how AI was used in evaluating your application.
  • Right to Appeal: If you are not selected, you may request information about the decision and how to appeal.

Bias Testing Our AI tools have been independently audited for bias. [For NYC: A summary of our most recent bias audit is available at [link to audit].]

Contact Us Questions about our AI hiring practices? Contact us at: Email: [email address] Phone: [phone number]

NYC Local Law 144 Template

New York City's Local Law 144 (effective July 2023) mandates disclosures for Automated Employment Decision Tools (AEDTs) used to screen or evaluate candidates in NYC. This template addresses those requirements specifically. Note the 10-business-day advance notice rule.

NYC Automated Employment Decision Tool Notice

[Company Name] uses an automated employment decision tool (AEDT) to assist in screening or evaluating candidates for the [position title] position.

Job Qualifications Assessed The AEDT is used to evaluate:

  • [Specific qualification 1, e.g., "Relevant industry experience"]
  • [Specific qualification 2, e.g., "Required technical skills"]
  • [Specific qualification 3, e.g., "Educational background"]

Data Sources The AEDT analyzes information from: [e.g., "your submitted resume and application materials"]. No external data sources are used.

Bias Audit In compliance with NYC Local Law 144, an independent bias audit of this AEDT has been conducted. A summary of the audit results is publicly available at: URL to bias audit summary.

Alternative Selection Process [Option A:] If you wish to request an alternative selection process or a reasonable accommodation, please contact [HR contact information]. [Option B:] [Company Name] does not offer an alternative selection process. [Explain reason if applicable.]

Questions For questions about our use of automated employment decision tools, contact: [email/phone].

NYC Timing Requirement NYC requires this notice be provided at least 10 business days before the AEDT is used on a candidate. Include the notice in job postings or send via email immediately after application submission. For official guidance, visit the NYC Department of Consumer Affairs.

Illinois HB 3773 Template

Illinois HB 3773 (passed 2023) requires disclosure and candidate consent before using AI in hiring. Adapt the universal template above, adding a consent checkbox: "I consent to the use of AI in evaluating my application [ ] Yes / [ ] No (human review only)."

Colorado SB24-205 AI Act Template

Colorado's SB24-205 (effective February 2026) emphasizes consumer rights in "high-risk" AI systems for consequential decisions like hiring. Disclosures must highlight opt-outs, appeals, and explanations.

Colorado AI Disclosure for Employment Decisions

[Company Name] uses artificial intelligence as part of our hiring process for positions in Colorado. This notice is provided pursuant to the Colorado Artificial Intelligence Act (SB24-205).

AI System Purpose We use AI to [describe purpose, e.g., "screen resumes and score candidate fit"]. This assists our hiring team in making employment decisions, which are considered "consequential decisions" under Colorado law.

Your Rights Under Colorado Law

  • Right to Opt Out: You may opt out of AI-based profiling used in employment decisions. To opt out, contact [contact information].
  • Right to Human Review: If AI contributes to an adverse decision, you may request human review of that decision.
  • Right to Explanation: You may request information about the principal reasons for any AI-influenced decision.
  • Right to Correction: You may correct any inaccurate personal information used by the AI system.

Exercising Your Rights To exercise any of these rights or ask questions about AI use in our hiring process: Email: [email] Phone: [phone] We will respond to requests within 45 days.

California CPPA ADMT Regulations Template

California's Consumer Privacy Protection Agency (CPPA) regulates Automated Decision-Making Technology (ADMT) under expanded CCPA rules. Use the universal template, emphasizing data inputs, opt-outs, and contact info. Link to CPPA website for updates.

Where to Place AI Disclosure Notices

To maximize compliance and candidate awareness, deliver notices through multiple channels:

  • Job postings: Include notice or link in every job posting on your site, Indeed, LinkedIn, etc.
  • Career site: Prominent disclosure on careers/jobs page footer or dedicated AI policy page.
  • Application confirmation: Email sent immediately after submission.
  • Before assessments: Display notice before AI-powered tests or interviews.
  • Privacy policy: Include in employment-related privacy disclosures.
  • ATS integration: Automate delivery via applicant tracking systems like Greenhouse or Lever.

Delivery Best Practice Use multi-channel redundancy: job posting link + email confirmation. Track delivery in your ATS for audit-proof records. This covers NYC's advance notice, Illinois consent, and Colorado opt-out requirements.

Customization Checklist for AI Disclosure Templates

Before deploying:

  • ☐ Insert your company name and branding
  • ☐ List specific AI tools by name (e.g., "HireVue Video Analysis")
  • ☐ Describe actual purposes (avoid "various tools")
  • ☐ Specify data inputs (resume, video, assessments)
  • ☐ Detail outputs (scores, rankings)
  • ☐ Add contact information and response timelines
  • ☐ Include bias audit links (NYC required)
  • ☐ Implement opt-out/appeal processes
  • ☐ Test accessibility (WCAG compliant)
  • ☐ Review with legal counsel for your jurisdictions
  • ☐ Version control and quarterly reviews

SEO-Optimized Implementation Tips

For better search visibility on "AI disclosure notice template" or "NYC Local Law 144 compliance":

  • Embed schema markup (FAQ, HowTo) on your site.
  • Use jurisdiction-specific landing pages (e.g., /nyc-ai-disclosure).
  • Internal link from compliance hubs.
  • Track with Google Analytics: UTM tags on job postings.

Frequently Asked Questions

Can I use one disclosure template for all jurisdictions, or do I need separate notices?

You can create one comprehensive disclosure that meets the requirements of all applicable jurisdictions (the "highest common denominator" approach). Include all elements required by the strictest laws—Colorado's opt-out rights, NYC's 10-day notice and bias audit, Illinois consent, California ADMT details—and deliver to all candidates nationally. This simplifies operations for multi-state employers. However, some prefer jurisdiction-specific notices to avoid over-disclosure. For most, a single robust template reduces errors and maintenance. Always geo-target delivery via ATS IP detection.

How should we deliver AI disclosure notices—email, job posting, application page, or all three?

Best practice: multi-channel delivery. Include basic disclosure in job postings ("This employer uses AI in hiring. Learn more"), send dedicated notice via email post-application, and repeat before AI stages. This ensures receipt regardless of discovery method (job boards, referrals). NYC's 10-day rule is met via postings/emails; Illinois consent via checkboxes. Document with timestamps—proof against claims of non-delivery.

Do we need separate disclosures for each AI tool, or can one notice cover multiple tools?

One notice can cover multiple tools if described specifically: "We use (1) Workday for resume screening, (2) HireVue for interviews, (3) Codility for coding tests." Avoid vague "various AI tools"—violates specificity in CO/IL/CA. For new tools, send supplements. See our Compliance Program Guide for workflows.

Disclosure informs about AI use and mechanics. Consent requires affirmative permission. Illinois mandates both; NYC/CO/CA require disclosure + opt-out (consent-like). Best practice: checkbox consent everywhere ("I consent to AI evaluation [ ]") for defensibility. Retain records 4+ years.

Can candidates opt out after we've already used AI on their application?

Yes—honor retroactive opt-outs with fresh human review. Colorado requires appeal mechanisms; this satisfies. Document to avoid penalties. Enhances trust and reduces litigation risk.

How often should we update our disclosure templates?

Quarterly or on changes: new tools, vendor updates, laws (e.g., monitor ILGA, Colorado Legislature), expansions. Version templates, retain 4 years per NYC rules.

What if our AI vendor won't provide enough information for detailed disclosure?

Red flag—switch vendors. Can't comply with CO/CA without details on inputs/outputs/bias. EEOC rejects "vendor opacity" defenses. Demand docs in contracts; see Vendor Assessment Guide.

Does federal law require AI disclosures in hiring?

No nationwide mandate yet, but EEOC guidance (2023) scrutinizes AI for discrimination under Title VII. States fill gaps—use templates preemptively.

How do I make disclosures accessible for disabled candidates?

Follow WCAG 2.1: alt text for tables, screen-reader friendly lists, downloadable PDFs. Offer audio versions for assessments.

Educational Resource: This guide is for informational purposes only and does not constitute legal advice. Requirements vary by jurisdiction, company size, and AI usage. Consult qualified legal counsel.

Last updated: March 2026

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