QuestionQ228

State Privacy Laws

A company plans to use an algorithm to screen job applications by assigning suitability scores and automatically sending rejection letters when the score falls below a specified threshold.

What would the company need to include in its plans to comply with requirements in both Virginia’s and Colorado’s privacy laws?

  • A A notification to the state authority
  • B A third-party algorithm validation
  • C A human oversight component
  • D A formal risk assessment
Explanation

Automated scoring that determines whether an applicant receives an employment opportunity is profiling with a significant effect on the individual. Both Virginia and Colorado require controllers to conduct and document data protection assessments for covered high-risk profiling activities, including profiling that can create unfair or discriminatory outcomes or other heightened risks of harm.

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