Policy

Does Showing Candidates Their Report Raise or Lower Legal Exposure?

Showing candidates the same report the hiring team sees can lower your legal exposure or raise it; the content decides which. Parity lowers your exposure when every finding names an act at a time in the record, because that exhibit already has to exist once a charge is filed. It raises exposure when the report infers a trait or a health condition, ranks one candidate against another, or makes the hiring call itself. Cut those before release. One test: would you send this sentence to its subject?

The takeCalling a report internal is not a risk control; it is a delay, and 29 CFR 1602.14 already says how the delay ends. Once a charge is filed the test papers are preserved and read by people who did not write them. So the private version buys nothing except room to write a sentence you would never say to the person it describes. Disclosure duties keep arriving one at a time, and I would not bet on the next ones stopping at notice rules rather than reaching into the document. A report that only holds up in private is still a draft.

Where Olive fits

Open a role and see what the work shows

Olive was built on the assumption that the candidate reads the report: a human reviewer writes all six findings, each one anchored to a timestamped excerpt from the session, and a release is refused until that reviewer has confirmed the report says nothing the candidate should not read about themselves. The candidate is granted the identical document, free, on every tier, and there is no composite number and no automated decision anywhere in it.

Rank your shortlist

Does Parity Raise or Lower Exposure?

Both, depending on what is in the document. Sharing lowers exposure when the report is a record of observable acts, because that record already has to exist: once a charge is filed, an employer preserves the test papers completed by the unsuccessful applicant and by every other candidate for the same position until final disposition 3. Parity does not create the exhibit. It decides whether the candidate saw it before opposing counsel did.

The raise case is real, and it is about content rather than disclosure. A report saying a candidate "lacks rigor" or "seems overconfident" is a written conclusion about a person, produced by your process, now held by the person it describes. Keeping it internal does not improve that sentence; it delays the day someone reads it aloud. The version of a report that raises exposure was raising it already.

So the question in the room is not whether to share. It is whether the document survives being read by its subject, and a document that does not survive that will not survive a deposition either. Write every finding as though the candidate has it, because in a charge they will.

Parity also buys something an internal-only file cannot: evidence of consistent treatment. Everyone assessed gets the same document, in the same form, on the same schedule. That is one sentence to an investigator, and it is a much harder sentence to say about a process where reports move by request. The file your legal team will ask for starts with a stated, dated rule of exactly that kind.

What Makes a Report Safe to Send?

Every sentence names something that happened, at a time, in the record. Nothing else. A finding reading "asked the assistant for sources on the fee assumption at 00:41, opened two, and cut the third claim from the memo" is checkable by its subject. A finding reading "shows low intellectual curiosity" is a conclusion about a person that no timestamp supports.

The standard underneath that instinct is job-relatedness. Where a selection procedure produces adverse impact, the employer has to show the procedure is job-related and consistent with business necessity 1, and the documentation the employer must be able to produce runs to the job analysis, the map from each item to a work behavior, and the derivation of any cutoff used 2. Evidence of an act on the job's own material walks straight into that file. An inference about the person has nothing to attach to.

What the evidence looks like changes by occupation. For a software role the artifact is a diff and the sequence of commits; for financial analysis it is whether the source packet was opened before the figure reached the memo; for legal operations it is which of three conflicting documents the candidate treated as controlling. Those are acts. None of them describes character, which is why the same finding means the same thing to a hiring manager and to the candidate.

The inverse holds in every occupation, and this is the part people get wrong. A trait score is not safer in a sales role than in a clinical one, because the trait was never observed in either. It was inferred from behavior and then written down as a property of a person. Changing the job does not change what that sentence is, and no occupation makes it checkable.

What Should Come Out Before You Share It?

Four things: any inferred trait or disposition, anything reading as a health or disability inference, any comparison to another named candidate, and any hiring recommendation the report makes on its own. The first two carry statutory risk. The last two convert evidence into a decision you then have to defend, and a decision is exactly the thing a report should hand to a person rather than make.

1. Inferred traits and dispositions. "Detail-oriented," "low ownership," "strong communicator": none of these was observed. Each is a summary judgment wearing the clothes of an observation, and each is unfalsifiable by the person it describes, which is precisely why it reads badly when they receive it. Replace it with the act that prompted it. 2. Anything reading as a health, disability or neurological inference. Psychological tests that assess mental health are treated as medical examinations 1, and before an offer a covered entity may not conduct a medical examination of an applicant or ask whether an applicant has a disability, or about its nature or severity 4. A sentence speculating about attention, anxiety or processing speed sits near that line even when no test was given. Cut it, and keep the accommodation route separate and written, which is the ground covered in accommodations on an AI-open assessment. 3. Comparisons to another candidate. A finding saying someone "did less than the other finalist" is a ranking statement in a document you are handing to one of the two people in it. Rank in your own decision if you must; do not write it into the record you release. 4. A recommendation the report makes itself. "Do not advance" belongs to the human making the call, in the decision file, with a reason. Once it is inside the assessment report, the report has stopped being an input and started being the decision, and every obligation that attaches to a decision now attaches to it.

Run the cut before release rather than on request. A report edited because a candidate asked for it is two documents, and the difference between them is what you will be asked about.

Where Are You Already Required to Disclose?

In New York City, and under federal credit-reporting law when a third party produced the report. Where Local Law 144 applies, the employer publishes a summary of the most recent bias audit on its own site before use and notifies candidates at least ten business days ahead, with instructions for requesting an alternative process or an accommodation 5. Parity is a smaller step than the notice you already owe.

The credit-reporting path is the one most search results conflate with this question. Before taking adverse action based in whole or in part on a consumer report for employment purposes, the employer provides the consumer a copy of the report and a written description of their rights under the statute 6. Whether a given assessment vendor is acting as a consumer reporting agency is a question for your counsel and not for the vendor's marketing page. If the answer is yes, the candidate copy is not optional and the timing is fixed.

Neither obligation is satisfied by parity, and parity is not satisfied by either. Notice is about the tool; the report is about the person; adverse-action process is about the act of rejecting. A policy treating those as one thing does none of them properly, which is the argument for writing them down as three separate paragraphs in an AI hiring policy.

Write the Parity Rule Into Your Process

Decide once, in writing, that every candidate assessed receives the same document the reviewer released, and put the release behind one person's confirmation. A rule applied to everyone is defensible; a report shared with the candidates who ask and withheld from the ones who do not is a pattern somebody will chart later. Name the sender, the channel, the timing, and what a disputed finding triggers.

Five decisions cover it. Who releases, and whether that person can release a report still missing a finding. When it goes out: the same day as the internal copy, or on a fixed delay applied to everyone. What channel, so delivery is provable. What retention applies, given that a personnel record is preserved for one year from the making of the record or the personnel action, whichever is later, and every record relevant to a filed charge until final disposition 3. And what happens when someone disagrees.

A dispute is free quality control on your own evidence. If a candidate says a finding misreads what they did, the reviewer opens the excerpt the finding cites and answers on that excerpt. Either the record supports the finding, and you say so and point at it, or it does not, and you have found a defect in your process before it cost you a hire. Log both outcomes with dates; a dispute log is the cheapest validity evidence you will ever collect.

If a vendor's report is the document you are sharing, settle one question before signing: is the report written to be read by its subject, or written for you and merely available to them. The two produce very different sentences, and only one of them is safe to forward. The rest of that procurement list is in what to demand from a vendor.

Read the evidence

Common questions

Can a candidate use the report against you?

Yes, and they can use it whether or not you shared it. Once a charge is filed, the employer preserves all personnel records relevant to it until final disposition, expressly including test papers completed by the unsuccessful applicant and by all other candidates for the same position 3. The document becomes an exhibit either way. What parity changes is that it was written knowing its subject would read it, and that constraint is what keeps the indefensible sentences out of it in the first place.

Should rejected candidates get the report too?

Everyone assessed, or nobody. A rule that turns on the outcome creates the comparison you least want drawn: two candidates, one assessment, different treatment, and no stated basis for the difference. Send on a fixed schedule that does not wait for the decision, so the report leaves before the outcome is known. The sentence explaining a rejection is a separate act with its own timing and its own wording, and it does not belong inside the assessment report.

What if a candidate disputes a finding?

Answer on the excerpt the finding cites, not on the conclusion. The reviewer reopens the moment in the record, confirms whether it supports what was written, and replies in one or two sentences either way. Correct the report where the record does not support it, keep a dated log of both corrections and confirmations, and do not renegotiate the finding in a conversation. A finding you cannot defend by pointing at its own evidence was never a finding.

Does report parity satisfy Local Law 144?

No. Where Local Law 144 applies, the duties are separate and sit on the employer: publish a summary of the most recent bias audit on your own site before using the tool, and notify candidates at least ten business days ahead with instructions for requesting an alternative process or an accommodation 5. Sharing a report afterwards does none of that. Parity is a discipline on what the report may say, not a compliance step for the notice regime.

Is a trait score ever safe to put in a candidate-facing report?

No, and the internal copy is not a safe home for one either. A trait is inferred rather than observed, so its subject cannot check it and your reviewer cannot point at where it came from. It also drifts toward ground you are not allowed to stand on: psychological tests that assess mental health are treated as medical examinations 1, and pre-offer medical examinations and disability-related inquiries are prohibited 4. Write the act, the time and the artifact, and let the reader draw the conclusion.

References

  1. 1. Employment Tests and Selection Procedures U.S. Equal Employment Opportunity Commission, 2007. eeoc.gov The job-related and consistent with business necessity standard for a procedure with adverse impact, the treatment of psychological tests as medical examinations under the ADA, and the duty to make reasonable accommodations in the administration of tests.
  2. 2. 29 CFR 1607.15 - Documentation of impact and validity evidence Uniform Guidelines on Employee Selection Procedures, eCFR, 1978. ecfr.gov What the employer must be able to produce for a selection procedure: the job analysis, the map from each item to a work behavior, and the derivation of any cutoff used.
  3. 3. 29 CFR 1602.14 - Preservation of records made or kept EEOC recordkeeping regulations, eCFR, 2024. ecfr.gov One year from the making of the record or the personnel action, whichever is later; and once a charge is filed, all relevant personnel records until final disposition, expressly including test papers completed by the unsuccessful applicant and by all other candidates for the same position.
  4. 4. 29 CFR 1630.13 - Prohibited medical examinations and inquiries ADA Title I regulations, eCFR, 2011. ecfr.gov Before an offer, a covered entity may not conduct a medical examination of an applicant or ask whether an applicant is an individual with a disability, or about the nature or severity of a disability.
  5. 5. Notice of Adoption of Final Rule: Automated Employment Decision Tools (6 RCNY 5-300 to 5-304) NYC Department of Consumer and Worker Protection, 2023. rules.cityofnewyork.us The employer's own duties under Local Law 144: publish the summary of results of the most recent bias audit before use, and notify candidates at least ten business days ahead with instructions for requesting an alternative process or an accommodation.
  6. 6. 15 U.S. Code 1681b - Permissible purposes of consumer reports Legal Information Institute, Cornell Law School, 2024. law.cornell.edu Section (b)(3)(A): before taking adverse action based in whole or in part on a consumer report for employment purposes, the person provides the consumer a copy of the report and a written description of the consumer's rights.

6 sources, numbered by first appearance. How Olive sources claims

General guidance, not legal advice. Hiring rules differ by state and country and change often; check anything here against your own counsel before you act on it.

Olive assesses how a person works with AI. It does not detect AI-written documents, and it never produces a score, a ranking, or a match percentage for a person. Candidates read the same report the employer reads.

Back to answers

Open your first role Ten attempts a month against a live item bank, with a human-written report on every one.