HB 594 — An Act amending the act of October 27, 1955 (P.L.744, No.222), known as the Pennsylvania Human Relations Act, further providing for definitions; providing for use of automated employment decision tool; and further providing for civil penalties.

PRINTER'S NO.   602

                     THE GENERAL ASSEMBLY OF PENNSYLVANIA



                         HOUSE BILL
                         No. 594
                                               Session of
                                                 2025

     INTRODUCED BY NEILSON, BRENNAN, CONKLIN, SANCHEZ, PIELLI, HILL-
        EVANS, OTTEN AND GREEN, FEBRUARY 12, 2025

     REFERRED TO COMMITTEE ON LABOR AND INDUSTRY, FEBRUARY 12, 2025


                                    AN ACT
 1   Amending the act of October 27, 1955 (P.L.744, No.222), entitled
 2      "An act prohibiting certain practices of discrimination
 3      because of race, color, religious creed, ancestry, age or
 4      national origin by employers, employment agencies, labor
 5      organizations and others as herein defined; creating the
 6      Pennsylvania Human Relations Commission in the Governor's
 7      Office; defining its functions, powers and duties; providing
 8      for procedure and enforcement; providing for formulation of
 9      an educational program to prevent prejudice; providing for
10      judicial review and enforcement and imposing penalties,"
11      further providing for definitions; providing for use of
12      automated employment decision tool; and further providing for
13      civil penalties.
14      The General Assembly of the Commonwealth of Pennsylvania
15   hereby enacts as follows:
16      Section 1.    Section 4 of the act of October 27, 1955
17   (P.L.744, No.222), known as the Pennsylvania Human Relations
18   Act, is amended by adding clauses to read:
19      Section 4.    Definitions.--As used in this act unless a
20   different meaning clearly appears from the context:
21      * * *
22      (bb)    The term "automated employment decision tool" means any
23   system the function of which is governed by statistical theory,
 1   or systems the parameters of which are defined by systems,
 2   including inferential methodologies, linear regression, neural
 3   networks, decision trees, random forests and other learning
 4   algorithms, which automatically filter individuals or
 5   prospective individuals for employment or for any term,
 6   condition or privilege of employment in a way that establishes a
 7   preferred individual or individuals. The term does not include a
 8   tool that does not automate, support, substantially assist or
 9   replace discretionary decision-making processes and that does
10   not materially impact natural persons, including, but not
11   limited to, a junk email filter, firewall, antivirus software,
12   calculator, spreadsheet, database, data set or other compilation
13   of data.
14         (cc)   The term "bias audit" means an impartial evaluation by
15   an independent auditor, including, but not limited to, testing
16   of an automated employment decision tool to assess the tool's
17   disparate impact on individuals protected against discrimination
18   under the provisions of this act.
19         (dd)   The term "employment decision" means to screen
20   individuals for employment or promotion or to otherwise help to
21   decide compensation or any other terms, conditions or privileges
22   of employment in this Commonwealth.
23         Section 2.   The act is amended by adding a section to read:
24         Section 5.4.   Use of Automated Employment Decision Tool.--(a)
25   (1)    An employer or employment agency that uses an automated
26   employment decision tool to make or assist in making an
27   employment decision shall:
28         (i)    Notify each individual at least ten days prior to their
29   interview that an automated employment decision tool may be used
30   to make or assist in making an employment decision.

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 1      (ii)    Provide each individual with information at least ten
 2   days prior to their interview explaining how the automated
 3   employment decision tool works and what general types of
 4   characteristics it uses to evaluate individuals for an
 5   employment decision.
 6      (iii)   Obtain, prior to the interview, the individual's
 7   consent to use an automated employment decision tool to make or
 8   assist in making an employment decision.
 9      (2)    An employer or employment agency may not use an
10   automated employment decision tool to evaluate individuals who
11   have not consented to the use of an automated employment
12   decision tool.
13      (b)    An automated employment decision tool shall not be used
14   to make or assist in making an employment decision unless the
15   automated employment decision tool has been the subject of a
16   bias audit conducted no more than one year prior to the use of
17   the tool and a summary of the results of the most recent bias
18   audit has been made available on the employer's or employment
19   agency's publicly accessible Internet website.
20      Section 3.    Section 9.3 of the act is amended to read:
21      Section 9.3.    Civil Penalties.--(a)   The Commission shall
22   have the power to adopt a schedule of civil penalties for
23   violation of section 5(h)(5) by the advertiser and the publisher
24   in instances where the complainant does not take action to
25   secure housing accommodations or financing and is not denied
26   housing accommodations or financing based on the alleged
27   discriminatory language in the advertisement. The schedule of
28   penalties, guidelines for their imposition and procedures for
29   appeal shall be published in the Pennsylvania Bulletin, provided
30   that the Commission shall, within two (2) years of such

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 1   publication, promulgate a regulation setting forth the schedule
 2   of penalties, guidelines and procedures. Any such penalty shall
 3   not exceed the sum of five hundred dollars ($500.00). Duly
 4   authorized agents of the Commission shall have the power and
 5   authority to issue citations and impose penalties for any such
 6   violations. Any such penalty imposed may be appealed to the
 7   Commission pursuant to regulations promulgated under this act.
 8   [All proceedings shall be conducted in accordance with the
 9   provisions of 2 Pa.C.S. (relating to administrative law and
10   procedure).]
11      (b)   The Commission shall have the power to adopt a schedule
12   of civil penalties for violation of section 5.4 by an employer
13   or employment agency. The schedule of penalties, guidelines for
14   their imposition and procedures for appeal shall be transmitted
15   to the Legislative Reference Bureau for publication in the next
16   available issue of the Pennsylvania Bulletin, provided that the
17   Commission shall, within two years of such publication,
18   promulgate a regulation setting forth the schedule of penalties,
19   guidelines and procedures. Any such penalty shall not exceed the
20   sum of five hundred dollars ($500.00) for a first violation and
21   not less than five hundred dollars ($500.00) nor more than one
22   thousand five hundred dollars ($1,500.00) for each subsequent
23   violation. Duly authorized agents of the Commission shall have
24   the power and authority to issue citations and impose penalties
25   for any such violations. Any such penalty imposed may be
26   appealed to the Commission pursuant to regulations promulgated
27   under this act.
28      (c)   All proceedings under this section shall be conducted in
29   accordance with the provisions of 2 Pa.C.S. (relating to
30   administrative law and procedure).

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1     Section 4.    This act shall take effect in 60 days.




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