Archive · 22 Jan 2026
Eightfold AI Faces US Lawsuit Over Job Scoring
Eightfold AI is a company that helps employers hire people using artificial intelligence.
Some job seekers, Erin Kistler and Sruti Bhaumik, have sued Eightfold because they say the company secretly rates job candidates without telling them.
The job seekers say this is unfair because they can't see or fix any mistakes in their ratings.
Eightfold says they follow the rules and only use data that candidates or their customers share.
The lawsuit is important because it's about how companies should use AI to make decisions about people's jobs.
Eightfold AI, a Silicon Valley-based AI recruitment platform, faces a proposed class-action lawsuit for allegedly secretly scoring job candidates without their knowledge.
The lawsuit, filed on January 21 in California, claims Eightfold violates the Fair Credit Reporting Act (FCRA) by not notifying candidates or allowing them to review and challenge their profiles.
Eightfold's assessments are alleged to influence hiring decisions at large employers, placing the company in the role of a credit reporting agency without regulatory obligations.
Eightfold's co-founders, Ashutosh Garg and Varun Kacholia, are alumni of the Indian Institute of Technology and have backgrounds at Google, IBM, and Facebook.
Eightfold maintains a significant presence in India, with a major hub in Noida and collaborations with companies like TCS and Wipro.
- Who
- Eightfold AI, co-founded by Ashutosh Garg and Varun Kacholia, and job seekers Erin Kistler and Sruti Bhaumik
- What
- A proposed class-action lawsuit alleging Eightfold secretly scores job candidates without their knowledge, potentially violating US consumer protection laws
- When
- Filed on January 21, 2024
- Where
- California, USA
- Why
- Alleged violation of the Fair Credit Reporting Act (FCRA) by not notifying candidates or giving them access to their profiles
- Company
- Eightfold AI
- Founders
- Ashutosh Garg, Varun Kacholia
- Backers
- SoftBank Vision Fund, General Catalyst
- Plaintiffs
- Erin Kistler, Sruti Bhaumik
- Alleged Violation
- Fair Credit Reporting Act (FCRA)
- Filing Date
- January 21, 2024
- Location
- California, USA
- Company's Response
- Denies operating covertly, claims compliance with laws