U.S. Senate Bill Seeks Mandatory Reporting of AI-Linked Layoffs

A bipartisan bill introduced in the U.S. Senate by Mark Warner (D-Va.) and Josh Hawley (R-Mo.) aims to make it mandatory for American companies and federal agencies to report job losses and workforce changes caused by artificial intelligence.

Titled the AI-Related Job Impacts Clarity Act, the legislation would require organisations to file quarterly disclosureswith the U.S. Department of Labor detailing AI-driven layoffs, new AI-related hires, reskilling initiatives, and positions left vacant due to automation. The Bureau of Labor Statistics would then publish this data within 60 days of each quarter, ensuring transparency into AI’s real impact on employment.

The bill reflects growing concern among U.S. lawmakers over the disruptive effects of automation and generative AI on the workforce. Analysts estimate that unchecked AI adoption could fuel a 10–20% increase in unemployment over the next five years, underscoring the urgency for better tracking and policy response.

For companies, the measure introduces new compliance and reporting responsibilities, with publicly traded entities automatically covered. Lawmakers are also considering extending the mandate to large private firms depending on their size and sectoral footprint.

While critics warn the rule could add administrative burdens for businesses already managing digital transitions, supporters believe it will help shape smarter labour and retraining policies, ensuring that the benefits of AI adoption are broadly shared.

Crucially, the proposal focuses not just on layoffs but on net employment changes, allowing regulators to assess how AI is reshaping—not merely replacing—human labour.

If passed, the Act could become a global benchmark for monitoring AI’s socioeconomic effects, setting a precedent for transparency and accountability in the age of intelligent automation.