Algorithmic Accountability Act of 2025

The Algorithmic Accountability Act of 2025 requires companies that deploy automated decision systems for critical areas like employment, housing, healthcare, and financial services (known as "covered entities") to conduct impact assessments before and after deployment. These assessments must evaluate fairness, privacy, security, and potential negative impacts on consumers, particularly for protected groups like racial minorities, women, and people with disabilities. Covered entities must document these assessments and submit annual summary reports to the Federal Trade Commission, which will make anonymized versions publicly available in a searchable online repository. The law applies to companies with over $50 million in annual revenue or those handling data for over 1 million consumers. The goal is to increase transparency and accountability around automated decision systems that significantly affect people's lives.