This bill aims to regulate the use of automated employment decision tools in hiring processes to reduce potential discrimination. It defines an "automated employment decision tool" as any system that uses statistical methods or algorithms to filter candidates for employment. The bill prohibits the sale of such tools in New Jersey unless they have undergone a bias audit within the past year, include an annual bias audit service at no extra cost, and come with a notice indicating their compliance with the bill's provisions. Employers using these tools must also provide a summary of the most recent bias audit on their websites.

Additionally, the bill mandates that any person using an automated employment decision tool must notify candidates within 30 days about the use of the tool, the job qualifications assessed, and, upon request, the source of the data collected and the employer's data retention policy. Violations of these requirements can result in civil penalties, with specific amounts outlined for different types of violations. The bill emphasizes the protection of candidates' rights and clarifies that it does not diminish existing rights or the authority of the State to enforce anti-discrimination laws.