Connecticut Enacts AI Transparency Law Requiring Employer Notification to Workers
Key Takeaways
- ▸Connecticut requires employers using AI for employment decisions to notify workers and applicants starting October 1, 2027
- ▸Employers must disclose what personal data AI systems use and the sources of that data
- ▸Employers can contract with AI developers to provide the required notices, creating a compliance pathway
Summary
Connecticut's governor has signed legislation (SB 5) that will require employers to notify workers and job applicants about the use of artificial intelligence and automation technology in employment decision-making. Beginning October 1, 2027, businesses using AI tools for hiring, promotion, or other employment decisions must disclose details about these systems, including the types of personal data factored into decisions and the data sources. The law represents a significant step toward AI transparency and worker protection in employment contexts, addressing growing concerns about algorithmic bias and opaque decision-making in hiring practices.
The legislation allows employers to contract with AI technology developers to provide the required disclosures, creating a compliance pathway for businesses. Connecticut joins other states that have already enacted similar measures, becoming part of a broader trend toward algorithmic accountability in the workplace. The October 2027 implementation date gives employers time to audit their AI systems and establish disclosure procedures.
- The law reflects growing pressure for transparency and accountability in automated employment decisions
