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  <front>
    <journal-meta />
    <article-meta>
      <title-group>
        <article-title>Diversity Biases of AI in the Labor Market</article-title>
      </title-group>
      <contrib-group>
        <contrib contrib-type="author">
          <string-name>Carlotta Rigotti</string-name>
          <email>c.rigotti@law.leidenuniv.nl</email>
          <xref ref-type="aff" rid="aff1">1</xref>
          <xref ref-type="aff" rid="aff2">2</xref>
        </contrib>
        <contrib contrib-type="author">
          <string-name>Alexandre Puttick</string-name>
          <email>alexandre.puttick@bfh.ch</email>
          <xref ref-type="aff" rid="aff0">0</xref>
          <xref ref-type="aff" rid="aff1">1</xref>
        </contrib>
        <contrib contrib-type="author">
          <string-name>Eduard Fosch-Villaronga</string-name>
          <xref ref-type="aff" rid="aff1">1</xref>
          <xref ref-type="aff" rid="aff2">2</xref>
        </contrib>
        <contrib contrib-type="author">
          <string-name>Mascha Kurpicz-Briki</string-name>
          <email>mascha.kurpicz@bfh.ch</email>
          <xref ref-type="aff" rid="aff0">0</xref>
          <xref ref-type="aff" rid="aff1">1</xref>
        </contrib>
        <aff id="aff0">
          <label>0</label>
          <institution>Berner Fachhochschule BFH, Technik und Informatik</institution>
          ,
          <addr-line>Quellgasse 21, 2501 Biel</addr-line>
          ,
          <country country="CH">Switzerland</country>
        </aff>
        <aff id="aff1">
          <label>1</label>
          <institution>EWAF'23: European Workshop on Algorithmic Fairness</institution>
        </aff>
        <aff id="aff2">
          <label>2</label>
          <institution>Leiden University</institution>
          ,
          <addr-line>Rapenburg 70, 2311 EZ Leiden</addr-line>
          ,
          <country country="NL">Netherlands</country>
        </aff>
      </contrib-group>
      <abstract>
        <p>In recent years, artificial intelligence (AI) systems have been increasingly utilized in the labor market, with many employers relying on them in the context of human resources (HR) management. However, this increasing use has been found to have potential implications for perpetuating bias and discrimination. The BIAS project kicked of in November 2022 and is expected to develop an innovative technology (hereinafter: the Debiaser) to identify and mitigate biases in the recruitment process. For this purpose, an essential step is to gain a nuanced understanding of what constitutes AI bias and fairness in the labor market, based on cross-disciplinary and participatory approaches. What follows is a preliminary overview of the design and expected implementation of the project, as well as how our project aims to contribute to the existing literature on law, AI, bias, and fairness.</p>
      </abstract>
      <kwd-group>
        <kwd>bias</kwd>
        <kwd>fairness</kwd>
        <kwd>discrimination</kwd>
        <kwd>trustworthy AI</kwd>
        <kwd>labor market</kwd>
        <kwd>natural language processing</kwd>
      </kwd-group>
    </article-meta>
  </front>
  <body>
    <sec id="sec-1">
      <title>-</title>
      <p>(A. Puttick);
(M. Kurpicz-Briki)</p>
    </sec>
    <sec id="sec-2">
      <title>2. Gaining new knowledge about AI bias and fairness in the labor market</title>
      <p>
        Addressing a lack of consensus about the interpretation of AI bias and fairness in the labor
market, we begin our research with a systematic literature review. In brief, we draw on the
traditional distinction of individual fairness versus group fairness [
        <xref ref-type="bibr" rid="ref14">14</xref>
        ], disparate treatment
versus disparate impact [
        <xref ref-type="bibr" rid="ref12 ref15">15, 16, 12</xref>
        ], pre-existing, technical, and emergent bias [17] versus other
shapes and forms, including representation bias arising from the way we define and sample a
population and temporal bias stemming from diferences in populations and behaviors over
time [18]. In doing so, we acknowledge that the nature and significance of bias and fairness in
humans versus in AI do not overlap, to the extent that some research radically suggests the
unsuitability of mathematics to capture the full meanings of these social concepts [19]. For
Abu-Elyounes [
        <xref ref-type="bibr" rid="ref14">14</xref>
        ], AI fairness is contextual and requires balancing between competing values
on a case-by-case basis, necessitating specialized consideration of the employment sector within
the BIAS project.
      </p>
      <p>In validating and contextualizing the research outputs of the literature review, we also perform
some fieldwork. To be precise, we have interviewed 70 HR managers and AI developers, who
are located in Estonia, Iceland, Italy, the Netherlands, Norway, Switzerland, and Turkey, to
ascertain their views on the use of AI applications in the labor market and its impact on fairness.
Briefly, it appears that most respondents have a positive attitude towards the deployment
of AI applications for recruitment and selection purposes, while voicing concern about the
management of staf. Although lacking a common understanding of fairness, a number of
requirements are listed for AI-driven human resources practices to be considered fair, especially
in terms of human oversight and transparency. Also, respondents call for the adoption of
mitigation measures to address diversity biases, with special emphasis on gender bias. Besides
AI-driven solutions similar to the Debiaser, they cite the examples of diversity quotas, DI oficers,
specific guidelines, and training on the matter. At the same time, we have drafted a Qualtrics
survey of workers’ attitudes towards AI, the aim of which is to understand workers’ experiences
and opinions of AI applications used in an HR management context and how they might lead
to bias and discrimination. Although the survey has just been launched and will remain open
until July, it has been reported that the majority of respondents have a fairly negative attitude
towards the use of AI applications in the labor market. In any case, for AI-driven HR practices
to be considered fair, they believe in the provision of equal opportunities despite the personal
characteristics of the individual as well as the transparency and explicability of the technology
making a specific decision.</p>
    </sec>
    <sec id="sec-3">
      <title>3. Designing the ‘Debiaser’</title>
      <p>Based on the literature review and the fieldwork, the next step of the BIAS project will be the
design and piloting of the Debiaser. In doing so, we contribute to an existing body of research
suggesting possible remedies for AI bias in both social and computer science [18]. The Debiaser
is conceptualized as a tool for bias detection and mitigation in the context of a common use case
for text-based AI recruitment tools—the automatic pre-selection of job applicants for first-round
interviews. The tool will be built upon the principles of trustworthy AI [20] and incorporate the
rich knowledge base assembled by consortium partners in the framework of the BIAS project.
A major contribution of our work will be the extension and adaptation of existing methods to
EU regional languages and local prejudices, with a focus on specialized methods targeting fair
recruitment practices.</p>
      <p>The scientific research we conduct explores weak points in existing AI recruitment tools.
The first concerns of-the-shelf word embeddings such as Word2Vec [ 21] and pre-trained large
language models (PLMs) such as BERT [22] or GPT-3 [23]. Highly capable text processing
models require extensive resources in terms of time, computing power and data, and thus many
AI applications, including recruitment tools, are built using such word embeddings or PLMs.
These machine-learning-based methods often reproduce prejudices existing in their training
corpora, with a notorious example being Amazon’s own (now scrapped) job candidate selection
tool, which was demonstrated to systematically discriminate against women [24]. We aim
to utilize and further develop methods for detecting, measuring and mitigating bias in word
embeddings and PLMs, such as those introduced by Caliskan et al. [25], Guo and Caliskan [26]
and Ahn and Oh [27]. This builds upon previous work which extends the methods of Caliskan
et al. [25] to French, German, Italian and Swedish word embeddings [28, 29].</p>
      <p>Most current AI applications make use of black-box neural network models whose
decisionmaking process is very dificult to distill into human-understandable explanations. This inhibits
trust in such systems and complicates the task of auditing algorithmic decisions. To this
end, we aim to utilize state-of-the-art methods in explainable natural language processing
(XNLP) [30], aiming to provide clear explanations for all stages of bias detection and mitigation
deployed within the Debiaser. The XNLP methods we will integrate can be sorted into two basic
approaches toward improving the interpretability of algorithmic decisions: Feature-selection
methods [31, 32, 33] aim to identify which words or phrases in the input data played an
important role in a given model’s output decision. The second category of techniques generate
natural language explanations which should explain the model’s decision in comprehensible,
plain-language terms [34, 35]. In addition, our research will target the detection of text that
is susceptible to unfair discrimination and explore the potential of suggested rewrites as a
technique for avoiding such discrimination, using reinforcement learning-based techniques
in the same vein as Sharma et al. [36]. Both the suggested rewrites and natural language
explanations generated by the Debiaser can be further improved using human feedback to
further train the underlying models with the goal of generating output corresponding to user
preferences [37, 38].</p>
    </sec>
    <sec id="sec-4">
      <title>4. Conclusion</title>
      <p>The growth of the role of AI in HR management is to continue, but its vast potential comes with
various challenges. AI applications are far from being free from bias and discrimination, and
AI developers and HR executives should be prepared to grapple with dificult questions and
ensure that this technology is implemented in a responsible manner. For this purpose, the BIAS
project aims at identifying and mitigating diversity biases in the labor market, by combining
cross-disciplinary fieldwork and designing new technological solutions.</p>
    </sec>
    <sec id="sec-5">
      <title>Acknowledgments</title>
      <p>This work is part of the Europe Horizon project BIAS funded by the European Commission, and
has received funding from the Swiss State Secretariat for Education, Research and Innovation
(SERI).
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