By Jody Godoy<\/p>\n
Jan 21 (Reuters) – Eightfold AI, a venture capital-backed artificial intelligence<\/a> hiring platform used by Microsoft<\/a>, PayPal and many other Fortune 500 companies, is being sued in California for allegedly compiling \u200breports used to screen job applicants without their knowledge.<\/p>\n The lawsuit filed on Tuesday accusing Eightfold of \u200cviolating the Fair Credit Reporting Act shows how consumer advocates are seeking to apply existing law to AI systems capable of drawing inferences \u200cabout individuals based on vast amounts of data.<\/p>\n Santa Clara, California-based Eightfold provides tools that promise to speed up the hiring process by assessing job applicants and predicting whether they would be a good fit for a job using massive amounts of data from online resumes and job listings. But candidates who apply for jobs at companies that use those \u2060tools are not given notice and \u200ca chance to dispute errors, job applicants Erin Kistler and Sruti Bhaumik allege in their proposed class action.<\/p>\n Because of that, they claim Eightfold violated the FCRA and a California \u200dlaw that gives consumers the right to view and challenge credit reports used in lending and hiring.<\/p>\n “There is no AI-exemption to these laws, which have for decades been an essential tool in protecting job applicants from abuses by third parties\u2014like background check \u200bcompanies\u2014that profit by collecting information about and evaluating job applicants,” they said in the lawsuit.<\/p>\n A spokesperson for Eightfold \u200cdid not immediately reply to a request for comment. Eightfold is backed by venture capital firms including SoftBank Vision Fund and General Catalyst.<\/p>\n Kistler and Bhaumik sued in California state court on behalf of all U.S. job seekers who applied for jobs and were evaluated using the company’s tools. Labor law firm Outten & Golden and nonprofit advocacy group Towards Justice represent the proposed class.<\/p>\n Eightfold creates talent profiles of job seekers that include personality descriptions such as “team \u2060player” and “introvert,” rank their “quality of education,” and predict their future titles \u200band companies, according to the lawsuit.<\/p>\n Kistler applied to roles at several \u200bcompanies that use Eightfold, including PayPal, and Bhaumik applied to companies including Microsoft, according to the complaint. Both hold science or tech degrees and have more than 10 years of \u200dexperience. Neither was hired, and \u2060both believe that Eightfold’s tools played a role.<\/p>\n Microsoft and PayPal are not defendants in the lawsuit. A Microsoft spokesperson declined to comment. A spokesperson for PayPal did not immediately reply to a request for comment.<\/p>\n","protected":false},"excerpt":{"rendered":"By Jody Godoy Jan 21 (Reuters) – Eightfold AI, a venture capital-backed artificial intelligence hiring platform used by…\n","protected":false},"author":2,"featured_media":256663,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20],"tags":[220,218,219,127768,85189,127769,61,60,127770,27093,11615,1071,27444,80],"class_list":{"0":"post-256662","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-artificial-intelligence","8":"tag-ai","9":"tag-artificial-intelligence","10":"tag-artificialintelligence","11":"tag-eightfold-ai","12":"tag-fortune-500-companies","13":"tag-hiring-process","14":"tag-ie","15":"tag-ireland","16":"tag-job-applicants","17":"tag-job-listings","18":"tag-job-seekers","19":"tag-microsoft","20":"tag-paypal","21":"tag-technology"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/256662","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/comments?post=256662"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/256662\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media\/256663"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media?parent=256662"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/categories?post=256662"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/tags?post=256662"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}