Lawmakers are moving to shine a spotlight on AI layoffs, proposing a federal reporting regime that would capture both the firing and hiring tied to automation.
Senators Josh Hawley and Mark Warner introduced the AI-Related Job Impacts Clarity Act, a bill that would require companies to disclose quarterly how AI is affecting their headcount and hiring decisions, with the Labor Department publishing the results online and reporting trends to Congress.
The legislation mandates disclosure of job losses directly linked to automation, marking one of the first concrete federal efforts to quantify AI-driven workforce shifts as they unfold.
“Not more than 30 days after the last day of each quarter, a covered entity shall… disclose to the Secretary any artificial intelligence-related job impact… including— the number of individuals laid off… substantially due to the replacement or automation by artificial intelligence.”
The proposal also requires companies to reveal cases where AI is driving job creation, giving policymakers visibility into both sides of the labor ledger.
“The number of individuals hired during the quarter… that are substantially due to the incorporation of artificial intelligence.”
Beyond direct layoffs and hires, firms would have to report positions left unfilled because automation made them obsolete, providing a window into quieter workforce reductions that don’t show up in formal separation data.
“The number of positions… that were occupied at any point during the prior quarter for which the covered entity has decided not to fill based on a reason that is substantially due to the replacement or automation by artificial intelligence.”
The bill extends beyond separations to track retraining efforts, signaling congressional interest not just in displacement but in whether employers attempt to transition workers into new roles.
Under the proposal, the Labor Department would compile and release quarterly results and underlying data, creating a new federal dataset that could shape economic policy debates around automation. The bill also empowers regulators to determine which large private companies are covered, extending oversight beyond public firms.
The bill comes as Challenger, Gray & Christmas reported that US employers announced 153,074 job cuts last month amid cooling demand, rising costs and growing integration of artificial intelligence.
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