Compliance
Can Small Companies Skip AI Hiring Bias Audits?
Company size does not automatically exempt you from AI hiring bias audit requirements. The key factor is whether you use automated tools in hiring decisions.
**NYC Local Law 144** applies to ANY employer or employment agency using AEDTs in NYC, regardless of size. Even a 10-person startup using AI resume screening must comply.
**Federal EEOC guidelines** apply to employers with 15+ employees, and using AI does not change this threshold.
**Practical considerations for small companies:**
- The risk per violation may be lower, but the reputational damage is proportionally higher
- Small companies are less likely to have legal teams to handle complaints
- Proactive auditing demonstrates good faith if challenged
- OnHirely Free tier allows one audit at no cost — ideal for small businesses
Bottom line: if you use AI in hiring, you should audit it, regardless of company size.
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