Senate Bill S8706B

2025-2026 Legislative Session

Requires covered businesses to annually report to the department of labor regarding the impact of artificial intelligence on hiring and the nature of artificial intelligence use

download bill text pdf

Current Bill Status - In Senate Committee Labor Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

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Actions

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Date of Action	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Apr 22, 2026	print number 8706b
Apr 22, 2026	amend and recommit to labor
Jan 15, 2026	print number 8706a
Jan 15, 2026	amend (t) and recommit to labor
Jan 07, 2026	referred to labor

Bill Amendments

Original

B (Active)

2025-S8706 - Details

See Assembly Version of this Bill:: A9581
Current Committee:: Senate Labor
Law Section:: Labor Law
Laws Affected:: Add §201-j, Lab L

2025-S8706 - Summary

Requires covered businesses to annually report to the department of labor regarding the impact of artificial intelligence on hiring and the nature of artificial intelligence use for the previous year; requires the department of labor to file an annual report on the impact of artificial intelligence on hiring and the nature of artificial intelligence use in the state; establishes penalties for covered business that fail to submit such reports.

2025-S8706 - Sponsor Memo

                                 
BILL NUMBER: S8706

SPONSOR: HINCHEY
 
TITLE OF BILL:

An act to amend the labor law, in relation to requiring covered busi-
nesses to submit annual reports on the impact of artificial intelligence
on hiring and business practices

 
PURPOSE:

To require large companies and publicly traded companies to report annu-
ally to the Department of Labor on the impact of artificial intelligence
(AI) on their hiring and business practices; and to require the Depart-
ment produce an annual report on the basis of such information.

 
SUMMARY OF PROVISIONS:

Section one creates a new Labor Law section 201-j, including:

Subdivision 1: Defines "covered business."

Subdivision 2: Sets out reporting requirements for covered businesses to
the Department of Labor, including that covered businesses shall
provide:

(a) employment data (such as hiring, layoffs, attrition, or work hour
changes) related to AI use.

(b) information on the nature of AI use (such as objectives, human over-
sight, and protections.)

Subdivision 3: Sets out responsibilities of the Department, including
that they shall develop standard reporting forms and procedures and may
develop additional reporting requirements related to AI use.

Subdivision 4: Requires the Department produce an annual report on the
basis of the information provided by covered businesses, including pres-
entation of aggregate data analyzed by employment sector, geographic
location, and business size.

Subdivision 5: Sets out penalties for failure to report by covered busi-
nesses.

Section 2. Effective date.

 
JUSTIFICATION:

The capabilities of AI have improved rapidly in recent years, promising
to fundamentally alter many industries in New York and across the world.
Improvements to generative AI, for example, which can generate texts,
images, and other products in response to text prompts, will reshape how
communications, marketing, graphic design, and countless other indus-
tries do business.

Data on AI's impact in the labor market is emerging, varied, and
complex. Some research suggests AI adoption was responsible for almost
55,000 layoffs in 2025, or almost 5% of all layoffs nationally,' while
others argue that AI will create jobs or allow workers to focus on more
productive tasks. There are also questions about the nature of AI job
replacement, such as whether it will lead directly to layoffs versus
discouraging future hiring through attrition. Finally, AI adoption and
labor market impact will vary by sector, and potentially hit certain
types of employment harder than others. The RAND Corporation recently
concluded, summarizing the literature generally, that "more data
collection is necessary" to understand the impact of AI on labor
markets. 2

With this in mind, and given the rapid pace of AI development and
adoption, it is critical that New York investigate these questions in as
close to real time as possible. This bill does so by requiring large
companies and publicly traded companies to annually report to the
Department of Labor on the labor impact of AI use. This includes both
quantitative data (such as numbers of jobs lost, added, or not filled,)
and descriptive information (such as what forms of human oversight they
use and how they protect private data.) The Department is then directed
to report annually to the legislature and the public, using aggregate
data, on Al impacts by sector, business size, and geography.

AI development is a rapid, disruptive, and international trend. In addi-
tion to this bill there is similar pending legislation in Congress with
bipartisan support as of December, 2025. 3 New York can and must be a
national leader in understanding the impact of Al on our labor market in
order to ensure worker protection, business sustainability, and informed
policymaking in this emerging sector.

 
LEGISLATIVE HISTORY:

New Bill.

 
FISCAL IMPLICATIONS:

To be determined.

 
EFFECTIVE DATE:
This act shall take effect immediately
1 https://www.cnbc.com/2025/12/21/ai-job-cuts-amazon-
microsoft-and-more-cite-ai-for-2024-laysoffs.html
2 htttps://www.rand.org/content/dam/rand/pubs/
perspectives/PEA3800/PEA3888-3/RAND-PEA388-3.pdf
3 https://www.hawley.senate.gov/hawley-warner-to- introduce-bipartisan-
legislation-revealing-number-of-jobs-lost-to-ai/

2025-S8706 - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   8706
 
                             I N  S E N A T E
 
                              January 7, 2026
                                ___________
 
 Introduced  by  Sen. HINCHEY -- read twice and ordered printed, and when
   printed to be committed to the Committee on Labor
 
 AN ACT to amend the labor law, in relation to  requiring  covered  busi-
   nesses  to  submit annual reports on the impact of artificial intelli-
   gence on hiring and business practices
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  The labor law is amended by adding a new section 201-j to
 read as follows:
   § 201-J. ARTIFICIAL INTELLIGENCE IMPACT  ASSESSMENTS.  1.  DEFINITION.
 FOR  PURPOSES  OF THIS SECTION, "COVERED BUSINESS" SHALL MEAN A BUSINESS
 ENTITY THAT IS RESIDENT IN THE STATE AND:  (A)  EMPLOYS  MORE  THAN  ONE
 HUNDRED PEOPLE; OR (B) IS A PUBLICLY TRADED ENTITY.
   2.  REPORTING  REQUIREMENT.  ON OR BEFORE MARCH FIRST OF EVERY YEAR, A
 COVERED BUSINESS SHALL REPORT TO THE DEPARTMENT REGARDING THE IMPACT  OF
 ARTIFICIAL  INTELLIGENCE  ON  ITS  HIRING  AND BUSINESS PRACTICES IN THE
 CALENDAR YEAR ENDING THE PRECEDING DECEMBER  THIRTY-FIRST.  SUCH  REPORT
 SHALL INCLUDE:
   (A) EMPLOYMENT DATA, INCLUDING BUT NOT LIMITED TO:
   (I)  AN  ESTIMATE OF THE NUMBER OF EMPLOYEES DISPLACED, OR WHOSE HOURS
 HAVE BEEN REDUCED, DUE IN FULL OR IN PART TO INCREASED USE OF ARTIFICIAL
 INTELLIGENCE;
   (II) AN ESTIMATE OF THE NUMBER OF EMPLOYEES HIRED, OR WHOSE HOURS HAVE
 BEEN INCREASED, DUE IN FULL OR IN PART TO INCREASED  USE  OF  ARTIFICIAL
 INTELLIGENCE; AND
   (III)  AN  ESTIMATE  OF THE NUMBER OF POSITIONS PREVIOUSLY FILLED THAT
 THE COVERED BUSINESS HAS DECIDED NOT TO FILL DUE IN FULL OR IN  PART  TO
 USE OF ARTIFICIAL INTELLIGENCE; AND
   (B)  INFORMATION  ON  THE  NATURE  OF  ARTIFICIAL  INTELLIGENCE USAGE,
 INCLUDING BUT NOT LIMITED TO:
   (I) DESCRIPTIONS OF THE OBJECTIVES OF THE USE OF  ARTIFICIAL  INTELLI-
 GENCE;
   (II)  INFORMATION REGARDING ANY HUMAN OVERSIGHT OF ARTIFICIAL INTELLI-
 GENCE;
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.

                                                            LBD14332-01-6
 S. 8706                             2
 
   (III) INFORMATION ON THE FREQUENCY AND LENGTH  OF  USE  OF  ARTIFICIAL
 INTELLIGENCE;
   (IV)  INFORMATION ON ANY USE OF ARTIFICIAL INTELLIGENCE IN RELATION TO
 SENSITIVE  PERSONAL  DATA,  INCLUDING  STORAGE  AND  ACCESS  PROTECTIONS
 RELATED  TO  USE OF ARTIFICIAL INTELLIGENCE IN RELATION TO SUCH PERSONAL
 DATA; AND
   (V)  MEASURES  IN  PLACE  FOR  OVERSIGHT,  RISK  REDUCTION,  OR  OTHER
 PROTECTIONS RELATED TO USE OF ARTIFICIAL INTELLIGENCE.
   3.  RESPONSIBILITIES  OF  THE DEPARTMENT. THE DEPARTMENT SHALL DEVELOP
 STANDARD REPORTING FORMS AND PROCESSES FOR COVERED BUSINESSES TO  SUBMIT
 THE  REPORTS  REQUIRED  PURSUANT TO SUBDIVISION TWO OF THIS SECTION. THE
 DEPARTMENT MAY DEVELOP ADDITIONAL REPORTING REQUIREMENTS RELATED TO  THE
 HIRING AND BUSINESS IMPACTS OF UTILIZATION OF ARTIFICIAL INTELLIGENCE BY
 COVERED BUSINESSES.
   4.  ANNUAL REPORT. (A) THE DEPARTMENT SHALL REVIEW THE REPORTS SUBMIT-
 TED BY COVERED BUSINESSES PURSUANT TO SUBDIVISION TWO  OF  THIS  SECTION
 AND  SHALL PREPARE AN ANNUAL REPORT ON THE IMPACT OF ARTIFICIAL INTELLI-
 GENCE ON HIRING AND BUSINESS PRACTICES IN THE STATE BASED ON THE DEPART-
 MENT'S REVIEW OF SUCH REPORTS SUBMITTED PURSUANT TO SUBDIVISION  TWO  OF
 THIS SECTION.
   (B)  THE DEPARTMENT SHALL SUBMIT THE REPORT REQUIRED PURSUANT TO PARA-
 GRAPH (A) OF THIS SUBDIVISION TO THE GOVERNOR, THE  TEMPORARY  PRESIDENT
 OF  THE  SENATE,  THE  MINORITY LEADER OF THE SENATE, THE SPEAKER OF THE
 ASSEMBLY, AND THE MINORITY LEADER OF THE  ASSEMBLY  WITHIN  ONE  HUNDRED
 TWENTY  DAYS  OF  THE  COVERED  BUSINESS  REPORTING DEADLINE ESTABLISHED
 PURSUANT TO SUBDIVISION TWO OF THIS SECTION. SUCH REPORT SHALL  BE  MADE
 PUBLICLY  AVAILABLE ON THE DEPARTMENT'S WEBSITE AT THE SAME TIME AS SUCH
 REPORT IS SUBMITTED TO THE GOVERNOR AND LEGISLATURE.
   (C) THE REPORT REQUIRED PURSUANT TO PARAGRAPH (A) OF THIS  SUBDIVISION
 SHALL  INCLUDE,  BUT  NOT  BE LIMITED TO, PRESENTATION OF AGGREGATE DATA
 REGARDING EMPLOYMENT IMPACTS, OBJECTIVES, AND IMPLEMENTATION OF  ARTIFI-
 CIAL  INTELLIGENCE  BY  COVERED  BUSINESSES,  INCLUDING ANALYSIS OF SUCH
 IMPACTS BY EMPLOYMENT SECTOR, GEOGRAPHIC LOCATION, AND BUSINESS SIZE.
   5. ENFORCEMENT. A COVERED BUSINESS WHO FAILS TO REPORT PURSUANT TO THE
 REQUIREMENTS OF THIS SECTION SHALL BE SUBJECT TO A CIVIL PENALTY OF  NOT
 MORE  THAN  FIVE  HUNDRED  DOLLARS  FOR  EACH  DAY SUCH COVERED BUSINESS
 REMAINS IN VIOLATION OF SUCH REPORTING REQUIREMENTS; PROVIDED,  HOWEVER,
 THAT  THE COMMISSIONER MAY, IN THE COMMISSIONER'S DISCRETION, REDUCE THE
 AMOUNT OF THE PENALTY IF A COVERED BUSINESS PROVES TO  THE  SATISFACTION
 OF THE COMMISSIONER THAT THE FAILURE TO REPORT WAS IN GOOD FAITH.
   § 2. This act shall take effect immediately.

2025-S8706A - Details

See Assembly Version of this Bill:: A9581
Current Committee:: Senate Labor
Law Section:: Labor Law
Laws Affected:: Add §201-j, Lab L

2025-S8706A - Summary

2025-S8706A - Sponsor Memo

                                 
BILL NUMBER: S8706A

SPONSOR: HINCHEY
 
TITLE OF BILL:

An act to amend the labor law, in relation to requiring covered busi-
nesses to submit annual reports on the impact of artificial intelligence
on hiring and the nature of artificial intelligence use

 
PURPOSE:

To require large companies and publiclytraded companies to report
annuallyto the Department of Labor on the impact of artificial intelli-
gence (Al) on their hiring and business practices; and to require the
Department produce an annual report on the basis of such information.

 
SUMMARY OF PROVISIONS:

Section one creates a new Labor Law section 201-j, including:

Subdivision 1: Defines "covered business."

Subdivision 2: Sets out reporting requirements for covered businesses to
the Department of Labor, including that covered businesses shall
provide:

(a) employment data (such as hiring, layoffs, attrition, or work hour
changes) related to Al use.

(b) information on the nature of Al use (such as objectives, human over-
sight, and protections.)

Subdivision 3: Sets out responsibilities of the Department, including
that they shall develop standard reporting forms and procedures and may
develop additional reporting requirements related to Al use.

Subdivision 4: Requires the Department produce an annual report on the
basis of the information provided by covered businesses, including pres-
entation of aggregate data analyzed by employment sector, geographic
location, and business size.  Subdivision 5: Sets out penalties for
failure to report by covered businesses, including a 90-day cure period.

Section 2. Effective date.

 
JUSTIFICATION:

The capabilities of AI have improved rapidly in recent years, promising
to fundamentally alter many industries in New York and across the world.
Improvements to generative AI, for example, which can generate texts,
images, and other products in response to text prompts, will reshape how
communications, marketing, graphic design, and countless other indus-
tries do business.

Data on AI's impact in the labor market is emerging, varied, and
complex. Some research suggests AI adoption was responsible for almost
55,000 layoffs in 2025, or almost 5% of all layoffs nationally (1),
while others argue that AI will create jobs or allow workers to focus on
more productive tasks. There are also questions about the nature of AI
job replacement, such as whether it will lead directly to layoffs versus
discouraging future hiring through attrition.  Finally, AI adoption and
labor market impact will vary by sector, and potentially hit certain
types of employment harder than others. The RAND Corporation recently
concluded, summarizing the literature generally, that "more data
collection is necessary" to understand the impact of AI on tabor
markets. (2)

With this in mind, and given the rapid pace of AI development and
adoption, it is critical that New York investigate these questions in as
close to real time as possible. This bill does so by requiring large
companies and publicly traded companies to annually report to the
Department of Labor on the labor impact of AI use. This includes both
quantitative data (such as numbers of jobs lost, added, or not filled,)
and descriptive information (such as what forms of human oversight they
use and how they protect private data.) The Department is then directed
to report annually to the legislature and the public, using aggregate
data, on AI impacts by sector, business size, and geography.

AI development is a rapid, disruptive, and international trend. In addi-
tion to this bill there is similar pending legislation in Congress with
bipartisan support as of December, 2025 (3). New York can and must be a
national leader in understanding the impact of AI on our labor market in
order to ensure worker protection, business sustainability, and informed
policymaking in this emerging sector.

 
LEGISLATIVE HISTORY:

New Bill.

 
FISCAL IMPLICATIONS:

To be determined.

 
EFFECTIVE DATE:
This act shall take effect immediately
1 - https://www.cnbc.com/2025/12/21/ai-job-cuts-amazon-microsoft- and-
more-cite-a ifor-2024-laysoffs.html
2 - htttps://www.rand.org/content/dam/rand/pubs/perspectives/
PEA3800/PEA3888- 3/RAND-PEA388-3.pdf
3 - https://www.hawley.senate.gov/hawley-warner-to- introduce-biparti-
san-legislationrevealing- number-of-jobs-lost-to-ai/

2025-S8706A - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  8706--A
 
                             I N  S E N A T E
 
                              January 7, 2026
                                ___________
 
 Introduced  by  Sen. HINCHEY -- read twice and ordered printed, and when
   printed to be  committed  to  the  Committee  on  Labor  --  committee
   discharged, bill amended, ordered reprinted as amended and recommitted
   to said committee
 
 AN  ACT  to  amend the labor law, in relation to requiring covered busi-
   nesses to submit annual reports on the impact of  artificial  intelli-
   gence on hiring and the nature of artificial intelligence use
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. The labor law is amended by adding a new section  201-j  to
 read as follows:
   §  201-J.  ARTIFICIAL  INTELLIGENCE IMPACT ASSESSMENTS. 1. DEFINITION.
 FOR PURPOSES OF THIS SECTION, "COVERED BUSINESS" SHALL MEAN  A  BUSINESS
 ENTITY  DOING  BUSINESS  IN  THE  STATE  AND:  (A) EMPLOYS MORE THAN ONE
 HUNDRED PEOPLE; OR (B) IS A PUBLICLY TRADED ENTITY.
   2. REPORTING REQUIREMENT. ON OR BEFORE MARCH FIRST OF  EVERY  YEAR,  A
 COVERED  BUSINESS SHALL REPORT TO THE DEPARTMENT REGARDING THE IMPACT OF
 ARTIFICIAL INTELLIGENCE ON ITS HIRING AND THE NATURE OF  ITS  ARTIFICIAL
 INTELLIGENCE  USE  IN  THE  CALENDAR  YEAR ENDING THE PRECEDING DECEMBER
 THIRTY-FIRST. SUCH REPORT SHALL INCLUDE:
   (A) EMPLOYMENT DATA, INCLUDING BUT NOT LIMITED TO:
   (I) AN ESTIMATE OF THE NUMBER OF EMPLOYEES DISPLACED, OR  WHOSE  HOURS
 HAVE  BEEN REDUCED, DUE IN FULL OR IN PART TO USE OF ARTIFICIAL INTELLI-
 GENCE;
   (II) AN ESTIMATE OF THE NUMBER OF EMPLOYEES HIRED, OR WHOSE HOURS HAVE
 BEEN INCREASED, DUE IN FULL OR IN PART TO  USE  OF  ARTIFICIAL  INTELLI-
 GENCE; AND
   (III)  AN  ESTIMATE  OF THE NUMBER OF POSITIONS PREVIOUSLY FILLED THAT
 THE COVERED BUSINESS HAS DECIDED NOT TO FILL DUE IN FULL OR IN  PART  TO
 USE OF ARTIFICIAL INTELLIGENCE; AND
   (B)  INFORMATION  ON  THE  NATURE  OF  ARTIFICIAL  INTELLIGENCE USAGE,
 INCLUDING BUT NOT LIMITED TO:
   (I) DESCRIPTIONS OF THE OBJECTIVES OF THE USE OF  ARTIFICIAL  INTELLI-
 GENCE;
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.

                                                            LBD14332-02-6
 S. 8706--A                          2
 
   (II)  INFORMATION REGARDING ANY HUMAN OVERSIGHT OF ARTIFICIAL INTELLI-
 GENCE;
   (III)  INFORMATION  ON  THE  FREQUENCY AND LENGTH OF USE OF ARTIFICIAL
 INTELLIGENCE;
   (IV) INFORMATION ON ANY USE OF ARTIFICIAL INTELLIGENCE IN RELATION  TO
 SENSITIVE  PERSONAL  DATA,  INCLUDING  STORAGE  AND  ACCESS  PROTECTIONS
 RELATED TO USE OF ARTIFICIAL INTELLIGENCE IN RELATION TO  SUCH  PERSONAL
 DATA; AND
   (V)  MEASURES  IN  PLACE  FOR  OVERSIGHT,  RISK  REDUCTION,  OR  OTHER
 PROTECTIONS RELATED TO USE OF ARTIFICIAL INTELLIGENCE.
   3. RESPONSIBILITIES OF THE DEPARTMENT. THE  DEPARTMENT  SHALL  DEVELOP
 STANDARD  REPORTING FORMS AND PROCESSES FOR COVERED BUSINESSES TO SUBMIT
 THE REPORTS REQUIRED PURSUANT TO SUBDIVISION TWO OF  THIS  SECTION.  THE
 DEPARTMENT  MAY DEVELOP ADDITIONAL REPORTING REQUIREMENTS RELATED TO THE
 HIRING AND BUSINESS IMPACTS OF UTILIZATION OF ARTIFICIAL INTELLIGENCE BY
 COVERED BUSINESSES.
   4. ANNUAL REPORT. (A) THE DEPARTMENT SHALL REVIEW THE REPORTS  SUBMIT-
 TED  BY  COVERED  BUSINESSES PURSUANT TO SUBDIVISION TWO OF THIS SECTION
 AND SHALL PREPARE AN ANNUAL REPORT ON THE IMPACT OF ARTIFICIAL  INTELLI-
 GENCE  ON  HIRING AND THE NATURE OF ARTIFICIAL INTELLIGENCE USAGE IN THE
 STATE BASED ON THE DEPARTMENT'S REVIEW OF SUCH REPORTS SUBMITTED  PURSU-
 ANT TO SUBDIVISION TWO OF THIS SECTION.
   (B)  THE DEPARTMENT SHALL SUBMIT THE REPORT REQUIRED PURSUANT TO PARA-
 GRAPH (A) OF THIS SUBDIVISION TO THE GOVERNOR, THE  TEMPORARY  PRESIDENT
 OF  THE  SENATE,  THE  MINORITY LEADER OF THE SENATE, THE SPEAKER OF THE
 ASSEMBLY, AND THE MINORITY LEADER OF THE  ASSEMBLY  WITHIN  ONE  HUNDRED
 TWENTY  DAYS  OF  THE  COVERED  BUSINESS  REPORTING DEADLINE ESTABLISHED
 PURSUANT TO SUBDIVISION TWO OF THIS SECTION. SUCH REPORT SHALL  BE  MADE
 PUBLICLY  AVAILABLE ON THE DEPARTMENT'S WEBSITE AT THE SAME TIME AS SUCH
 REPORT IS SUBMITTED TO THE GOVERNOR AND LEGISLATURE.
   (C) THE REPORT REQUIRED PURSUANT TO PARAGRAPH (A) OF THIS  SUBDIVISION
 SHALL  INCLUDE,  BUT  NOT  BE LIMITED TO, PRESENTATION OF AGGREGATE DATA
 REGARDING EMPLOYMENT IMPACTS, OBJECTIVES, AND IMPLEMENTATION OF  ARTIFI-
 CIAL  INTELLIGENCE  BY  COVERED  BUSINESSES,  INCLUDING ANALYSIS OF SUCH
 IMPACTS BY EMPLOYMENT SECTOR, GEOGRAPHIC LOCATION, AND BUSINESS SIZE.
   5. ENFORCEMENT. (A) A COVERED BUSINESS WHO FAILS TO REPORT PURSUANT TO
 THE REQUIREMENTS OF THIS SECTION SHALL BE SUBJECT TO A CIVIL PENALTY  OF
 NOT  MORE  THAN  FIVE HUNDRED DOLLARS FOR EACH DAY SUCH COVERED BUSINESS
 REMAINS IN VIOLATION OF SUCH REPORTING REQUIREMENTS.
   (B) UPON NOTICE OF A VIOLATION OF THIS  SECTION,  A  COVERED  BUSINESS
 SHALL  HAVE NINETY DAYS TO RESOLVE SUCH VIOLATION TO THE SATISFACTION OF
 THE COMMISSIONER. IF THE COMMISSIONER IS SATISFIED  THAT  THE  VIOLATION
 HAS  BEEN  CURED  WITHIN  THE  NINETY-DAY PERIOD, THE COMMISSIONER SHALL
 WAIVE OR REDUCE THE APPLICABLE PENALTIES UNDER THIS SUBDIVISION.
   § 2. This act shall take effect immediately.

2025-S8706B (ACTIVE) - Details

See Assembly Version of this Bill:: A9581
Current Committee:: Senate Labor
Law Section:: Labor Law
Laws Affected:: Add §201-j, Lab L

2025-S8706B (ACTIVE) - Summary

2025-S8706B (ACTIVE) - Sponsor Memo

                                 
BILL NUMBER: S8706B

SPONSOR: HINCHEY
 
TITLE OF BILL:

An act to amend the labor law, in relation to requiring covered busi-
nesses to submit annual reports on the impact of artificial intelligence
on hiring and the nature of artificial intelligence use

 
PURPOSE:ò

To require large companies and publicly traded companies to report annu-
ally to the Department of Labor on the impact of artificial intelligence
(Al) on their hiring and business practices; and to require the Depart-
ment produce an annual report on the basis of such information.

 
SUMMARY OF PROVISIONS:

Section one creates a new Labor Law section 201-j, including:

Subdivision 1: Defines "covered business."

Subdivision 2: Sets out reporting requirements for covered businesses to
the Department of Labor, including that covered businesses shall
provide:

(a) employment data (such as hiring, layoffs, attrition, or work hour
changes) related to Al use.

(b) information on the nature of Al use (such as objectives, human over-
sight, and protections.)

Subdivision 3: Sets out responsibilities of the Department, including
that they shall develop standard reporting forms and procedures and may
develop additional reporting requirements related to Al use.

Subdivision 4: Requires the Department produce an annual report on the
basis of the information provided by covered businesses, including pres-
entation of aggregate data analyzed by employment sector, geographic
location, and business size.

Subdivision 5: Sets out penalties for failure to report by covered busi-
nesses, including a 90-day cure period.

Section 2. Effective date.

 
JUSTIFICATION:

The capabilities of Al have improved rapidly in recent years, promising
to fundamentally alter many industries in New York and across the world.
Improvements to generative AI, for example, which can generate texts,
images, and other products in response to text prompts, will reshape how
communications, marketing, graphic design, and countless other indus-
tries do business.

Data on AI's impact in the labor market is emerging, varied, and
complex. Some research suggests AI adoption was responsible for almost
55,000 layoffs in 2025, or almost 5% of all layoffs nationally (1),
while others argue that Al will create jobs or allow workers to focus on
more productive tasks. There are also questions about the nature of Al
job replacement, such as whether it will lead directly to layoffs versus
discouraging future hiring through attrition.  Finally, AI adoption and
labor market impact will vary by sector, and potentially hit certain
types of employment harder than others. The RAND Corporation recently
concluded, summarizing the literature generally, that "more data
collection is necessary" to understand the impact of AI on labor
markets. (2)

With this in mind, and given the rapid pace of AI development and
adoption, it is critical that New York investigate these questions in as
close to real time as possible. This bill does so by requiring large
companies and publicly traded companies to annually report to the
Department of Labor on the labor impact of AI use. This includes both
quantitative data (such as numbers of jobs lost, added, or not filled,)
and descriptive information (such as what forms of human oversight they
use and how they protect private data.) The Department is then directed
to report annually to the legislature and the public, using aggregate
data, on AI impacts by sector, business size, and geography.

AI development is a rapid, disruptive, and international trend. In addi-
tion to this bill there is similar pending legislation in Congress with
bipartisan support as of December, 2025 (3). New York can and must be a
national leader in understanding the impact of AI on our labor market in
order to ensure worker protection, business sustainability, and informed
policymaking in this emerging sector.

 
LEGISLATIVE HISTORY:

New Bill.

 
FISCAL IMPLICATIONS:

To be determined.

 
EFFECTIVE DATE:
This act shall take effect immediately.
1 -  
HTTPS://VINVW.CNBC.COM/2025/12/21/AI-JOB-CUTS-
AMAZON-MICROSOFT-AND-MORE-CITE-A IFOR-2024-LAYSOFFS.HTML
2 - htttps://www.rand.org/content/dam/rand/pubs/
perspectives/PEA3800/PEA3888-3/RANDPEA388-3.pdf
3 -  
HTTPS://WWW.HAWTEY.SENATE.GOV/HAWLEY- WARNER-TO-INTRODUCE-BIPARTI-
SAN-LEGISLATION-REVEALING NUMBER-OF-JOBS-LOST-TO-AI/

2025-S8706B (ACTIVE) - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  8706--B
 
                             I N  S E N A T E
 
                              January 7, 2026
                                ___________
 
 Introduced  by  Sen. HINCHEY -- read twice and ordered printed, and when
   printed to be  committed  to  the  Committee  on  Labor  --  committee
   discharged, bill amended, ordered reprinted as amended and recommitted
   to  said  committee  --  committee  discharged,  bill amended, ordered
   reprinted as amended and recommitted to said committee

 AN ACT to amend the labor law, in relation to  requiring  covered  busi-
   nesses  to  submit annual reports on the impact of artificial intelli-
   gence on hiring and the nature of artificial intelligence use
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  The labor law is amended by adding a new section 201-j to
 read as follows:
   § 201-J. ARTIFICIAL INTELLIGENCE IMPACT  ASSESSMENTS.  1.  DEFINITION.
 FOR  PURPOSES  OF THIS SECTION, "COVERED BUSINESS" SHALL MEAN A BUSINESS
 ENTITY DOING BUSINESS IN THE STATE AND:  (A)  EMPLOYS  MORE  THAN  FIFTY
 PEOPLE; OR (B) IS A PUBLICLY TRADED ENTITY.
   2.  REPORTING  REQUIREMENT.  ON OR BEFORE MARCH FIRST OF EVERY YEAR, A
 COVERED BUSINESS SHALL REPORT TO THE DEPARTMENT REGARDING THE IMPACT  OF
 ARTIFICIAL  INTELLIGENCE  ON ITS HIRING AND THE NATURE OF ITS ARTIFICIAL
 INTELLIGENCE USE IN THE CALENDAR  YEAR  ENDING  THE  PRECEDING  DECEMBER
 THIRTY-FIRST. SUCH REPORT SHALL INCLUDE:
   (A) EMPLOYMENT DATA, INCLUDING BUT NOT LIMITED TO:
   (I)  AN  ESTIMATE OF THE NUMBER OF EMPLOYEES DISPLACED, OR WHOSE HOURS
 HAVE BEEN REDUCED, DUE IN FULL OR IN PART TO USE OF ARTIFICIAL  INTELLI-
 GENCE;
   (II) AN ESTIMATE OF THE NUMBER OF EMPLOYEES HIRED, OR WHOSE HOURS HAVE
 BEEN  INCREASED,  DUE  IN  FULL OR IN PART TO USE OF ARTIFICIAL INTELLI-
 GENCE; AND
   (III) AN ESTIMATE OF THE NUMBER OF POSITIONS  PREVIOUSLY  FILLED  THAT
 THE  COVERED  BUSINESS HAS DECIDED NOT TO FILL DUE IN FULL OR IN PART TO
 USE OF ARTIFICIAL INTELLIGENCE; AND
   (B) INFORMATION  ON  THE  NATURE  OF  ARTIFICIAL  INTELLIGENCE  USAGE,
 INCLUDING BUT NOT LIMITED TO:
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD14332-05-6

 S. 8706--B                          2
 
   (I)  DESCRIPTIONS  OF THE OBJECTIVES OF THE USE OF ARTIFICIAL INTELLI-
 GENCE;
   (II)  INFORMATION REGARDING ANY HUMAN OVERSIGHT OF ARTIFICIAL INTELLI-
 GENCE;
   (III) INFORMATION ON THE FREQUENCY AND LENGTH  OF  USE  OF  ARTIFICIAL
 INTELLIGENCE;
   (IV)  INFORMATION ON ANY USE OF ARTIFICIAL INTELLIGENCE IN RELATION TO
 SENSITIVE  PERSONAL  DATA,  INCLUDING  STORAGE  AND  ACCESS  PROTECTIONS
 RELATED  TO  USE OF ARTIFICIAL INTELLIGENCE IN RELATION TO SUCH PERSONAL
 DATA; AND
   (V)  MEASURES  IN  PLACE  FOR  OVERSIGHT,  RISK  REDUCTION,  OR  OTHER
 PROTECTIONS RELATED TO USE OF ARTIFICIAL INTELLIGENCE.
   3.  RESPONSIBILITIES  OF  THE DEPARTMENT. THE DEPARTMENT SHALL DEVELOP
 STANDARD REPORTING FORMS AND PROCESSES FOR COVERED BUSINESSES TO  SUBMIT
 THE  REPORTS  REQUIRED  PURSUANT TO SUBDIVISION TWO OF THIS SECTION. THE
 DEPARTMENT MAY DEVELOP ADDITIONAL REPORTING REQUIREMENTS RELATED TO  THE
 HIRING AND BUSINESS IMPACTS OF UTILIZATION OF ARTIFICIAL INTELLIGENCE BY
 COVERED BUSINESSES.
   4.  ANNUAL REPORT. (A) THE DEPARTMENT SHALL REVIEW THE REPORTS SUBMIT-
 TED BY COVERED BUSINESSES PURSUANT TO SUBDIVISION TWO  OF  THIS  SECTION
 AND  SHALL PREPARE AN ANNUAL REPORT ON THE IMPACT OF ARTIFICIAL INTELLI-
 GENCE ON HIRING AND THE NATURE OF ARTIFICIAL INTELLIGENCE USAGE  IN  THE
 STATE  BASED ON THE DEPARTMENT'S REVIEW OF SUCH REPORTS SUBMITTED PURSU-
 ANT TO SUBDIVISION TWO OF THIS SECTION.
   (B) THE DEPARTMENT SHALL SUBMIT THE REPORT REQUIRED PURSUANT TO  PARA-
 GRAPH  (A)  OF THIS SUBDIVISION TO THE GOVERNOR, THE TEMPORARY PRESIDENT
 OF THE SENATE, THE MINORITY LEADER OF THE SENATE,  THE  SPEAKER  OF  THE
 ASSEMBLY,  AND  THE  MINORITY  LEADER OF THE ASSEMBLY WITHIN ONE HUNDRED
 TWENTY DAYS OF  THE  COVERED  BUSINESS  REPORTING  DEADLINE  ESTABLISHED
 PURSUANT  TO  SUBDIVISION TWO OF THIS SECTION. SUCH REPORT SHALL BE MADE
 PUBLICLY AVAILABLE ON THE DEPARTMENT'S WEBSITE AT THE SAME TIME AS  SUCH
 REPORT IS SUBMITTED TO THE GOVERNOR AND LEGISLATURE.
   (C)  THE REPORT REQUIRED PURSUANT TO PARAGRAPH (A) OF THIS SUBDIVISION
 SHALL INCLUDE, BUT NOT BE LIMITED TO,  PRESENTATION  OF  AGGREGATE  DATA
 REGARDING  EMPLOYMENT IMPACTS, OBJECTIVES, AND IMPLEMENTATION OF ARTIFI-
 CIAL INTELLIGENCE BY COVERED  BUSINESSES,  INCLUDING  ANALYSIS  OF  SUCH
 IMPACTS BY EMPLOYMENT SECTOR, GEOGRAPHIC LOCATION, AND BUSINESS SIZE.
   5. ENFORCEMENT. (A) A COVERED BUSINESS WHO FAILS TO REPORT PURSUANT TO
 THE  REQUIREMENTS OF THIS SECTION SHALL BE SUBJECT TO A CIVIL PENALTY OF
 NOT MORE THAN FIVE HUNDRED DOLLARS FOR EACH DAY  SUCH  COVERED  BUSINESS
 REMAINS IN VIOLATION OF SUCH REPORTING REQUIREMENTS.
   (B)  UPON  NOTICE  OF  A VIOLATION OF THIS SECTION, A COVERED BUSINESS
 SHALL HAVE NINETY DAYS TO RESOLVE SUCH VIOLATION TO THE SATISFACTION  OF
 THE  COMMISSIONER.  IF  THE COMMISSIONER IS SATISFIED THAT THE VIOLATION
 HAS BEEN CURED WITHIN THE  NINETY-DAY  PERIOD,  THE  COMMISSIONER  SHALL
 WAIVE OR REDUCE THE APPLICABLE PENALTIES UNDER THIS SUBDIVISION.
   § 2. This act shall take effect immediately.

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Sponsored By

Michelle Hinchey

Current Bill Status - In Senate Committee Labor Committee

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