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Workday Faces Lawsuit over Alleged Discriminatory Hiring AI Algorithms

  • Tech firm Workday faces a collective action lawsuit alleging its hire-screening AI caused discriminatory job rejections, announced by a California judge on Friday.
  • The suit follows Derek Mobley's claim that Workday's algorithms rejected him from over 100 jobs in seven years due to age, race, and disability.
  • Four other plaintiffs over 40 joined, stating the AI disproportionately excludes older candidates by rejecting hundreds of applications often within hours.
  • Court documents show Mobley applied at 12:55 a.m. And was rejected less than an hour later, with experts warning AI hiring tools can reinforce existing biases.
  • Judge Rita Lin's order allows the suit to proceed collectively seeking monetary damages and changes to Workday's practices amid concerns over AI hiring discrimination.
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CNN broke the news in Atlanta, United States on Thursday, May 22, 2025.
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