AI in Lending, Employment, and Housing
The increased use of automated systems in sectors such as lending, employment, and housing could worsen discrimination based on race, disabilities, and other factors, according to the heads of the Consumer Financial Protection Bureau, Justice Department's civil rights unit, Federal Trade Commission, and others.
Growing Scrutiny of AI Tools
The rising popularity of AI tools, like Microsoft-backed OpenAI's ChatGPT, has led to heightened scrutiny by U.S. and European regulators and calls for new legislation to control the technology.
Ensuring Innovation Adheres to Laws
Federal Trade Commission Chair Lina Khan emphasized that "claims of innovation must not be covered for lawbreaking."
Seeking Tech Sector Whistleblowers
Consumer Financial Protection Bureau Director Rohit Chopra said the agency is trying to connect with tech sector whistleblowers to identify where new technologies might violate civil rights laws.
Legal Requirements in Finance and AI Decision-making
Chopra explained that financial firms are legally obligated to explain adverse credit decisions. Companies that must understand the reasons behind their AI's decisions cannot legally use the technology.
Responsibility for AI-Generated Decisions
Highlighting vast amounts of data and correlations to make decisions, Chopra emphasized that companies are responsible for the decisions made using AI.
