Tag Archive for: Utah

Utah Sets Boundaries on Generative AI

As AI systems and technology use continue to soar, more regulations and guidelines follow. Utah’s SB 149, also known as the AI Policy Act, mandates disclosure to any person who is interacting with generative AI. The Act is effective as of May 1, 2024, and has been implemented to promote transparency and fairness in AI-driven communications.

Below is a quick timeline of events leading up to SB 149:

  • Early 2023: Initial discussions and drafting of the AI Policy Act.
  • March 2024: SB 149 passed in the Utah Legislature.
  • May 1, 2024: SB 149 went into effect.

Utah is one of the first states, alongside Colorado, to enact a law governing the use of AI.

What is “Generative AI”?

Utah’s AI Policy Act defines generative AI as any artificial system that:

  • is trained on data;
  • interacts with a person using text, audio, or visual communications; and
  • generates non-scripted outputs with intentional likeness to human interaction, with limited or no actual human oversight.

This broad definition encompasses various applications, from marketing bots to customer service responses.

Guidelines for Employers 

In addition to the general terms and usage of AI, employers should be aware of guidelines, enforcement, and penalties regarding Utah’s AI Policy Act.

Disclosures 

  • General Disclosure: Companies must “clearly and conspicuously” disclose the use of generative AI, if it is used to interact with a person and if that person asks.
  • Regulated Professionals Disclosure: Any person who provides the services of a regulated professional, meaning any occupation requiring a license or state certification, must prominently disclose the use of generative AI at the start of the interaction.

Disclosures must be prominent and clear and cannot be solely included in terms of use or privacy notices.

Enforcement and Penalties 

  • The Division of Consumer Protection may impose fines of up to $2,500 per violation and seek additional remedies such as injunctions and disgorgement (seizure of illegally obtained profits).
  • The Attorney General’s office can seek civil penalties for up to $5,000 for each prior administrative or court order violation.

To read the full details of policies, regulated professions, and guidelines for employers, take a closer look here.

The Office of Artificial Intelligence Policy

Utah law also establishes a state Office of Artificial Intelligence Policy (OAIP) under the Act, which will oversee a learning laboratory to assess risks and best practices related to AI. The OAIP will also have rule-making authority over AI issues, consult with businesses and stakeholders about proposed regulations, draft rules for participation in the learning lab program, and define criteria for organizations to follow when seeking mitigation of regulatory requirements or violations.

Importance for Human Resource Professionals Nationwide

New laws and regulations regarding the use of AI, such as Utah’s SB 149 and Colorado’s SB 24-205, can potentially set a precedent for future legislation in other states addressing responsible AI use on a larger scale.

These laws highlight the need for transparency, fairness, and accountability in AI systems, particularly those used in direct human interactions and concerning use in regulated professions. As states like California, Connecticut, and Virginia propose similar laws in 2024 to combat the misuse of AI, the urgency for clear disclosure requirements appears to be a growing trend. Employers in Utah should consult with their legal counsel to review laws regarding the use of AI in business and employment practices.

One Source will attempt to provide updates on AI regulations in Utah and across the United States as they emerge.

 

Clean Slate Laws: What Employers Need to Know

It’s no secret to hiring managers that fair chance hiring laws have gained momentum in recent years. However, confusion remains about how these affect an organization’s onboarding process throughout employment screening. Some, such as the Fair Chance to Compete for Jobs Act of 2019, have been enacted at a federal level, while others differ from state to state, such as “Ban the Box” laws. Clean slate laws are another prominent example of the latter, which we will cover here to keep you and your team informed whether these laws have been codified in your state or legislators are considering doing so.

What Are Clean Slate Laws?

A “Clean Slate” law refers to state legislation passed to allow criminal records to be cleared or sealed from individual records if they stay crime-free for a specified duration. This means that those records don’t appear on background reports. However, not all expungements are automatic in all states, occasionally relying on the individual petitioning the court instead.

A notable exception to these laws occurs in states that have legalized the recreational selling of marijuana. Here, provisions may be put in place to seal non-violent cannabis-related convictions automatically.

How Do They Affect Employers?

Limiting information about applicants may worry some organizations from a risk management perspective, but it’s important not to let it deter hiring efforts. It is still possible to provide a safe workplace as many high-level and violent crimes are not eligible to be hidden or removed. Concerns of recidivism, while valid, should be tempered, as studies show that the risk for re-offense of expungement recipients is very low.

By removing that information from the equation, these laws make it easier for employers who find it difficult not to create unconscious bias when they see criminal records that typically would disqualify the individual from employment. This is also helpful in preventing backlash related to negligent hiring, as withheld criminal information can’t be used as an example of why the individual shouldn’t have been hired.

Clean Slate States

As of this writing (updated November 2023), twelve states have passed clean slate laws. Click a state in the table below to view the associated bill:

STATE

YEAR SIGNED INTO LAW

Pennsylvania

2018

Utah

2019

New Jersey
Michigan

2020

Connecticut
Delaware

2021

Virginia
Oklahoma

2022

Colorado
Minnesota

2023

California

Employer’s Responsibility

If your state already has a clean slate law in place, it’s important to stay up to date on any changes and adjust your screening policy accordingly. Pay close attention to the legislation that enacted these regulations and any amendments applied, consulting your legal counsel if issues arise. If your state has not established these laws, keep an eye out for the introduction of such bills as campaigns are being run in Illinois, Kentucky, Minnesota, Missouri, New York, Oregon, and Texas to further the adoption of programs like these.

Regardless of your company’s state, it’s important to remember that background screening is still crucial to effective onboarding. High-level crimes, those on the federal or international levels, and those linked to the National Sex Offender Registry will continue to be uncovered in any state.

For more information on sealed and expunged records, read Do Expunged Records Show Up on Background Checks?