Here's what Houston employers need to know about using artificial intelligence in the hiring process

guest column

In a guest column, these lawyers explain the pros and cons of using AI for hiring. Photo via Getty Images

Workplace automation has entered the human resource department. Companies rely increasingly on artificial intelligence to source, interview, and hire job applicants. These AI tools are marketed to save time, improve the quality of a workforce, and eliminate unlawful hiring biases. But is AI incapable of hiring discrimination? Can a company escape liability for discriminatory hiring because, "the computer did it?"

Ultimately, whether AI is a solution or a landmine depends on how carefully companies implement the technology. AI is not immune from discrimination and federal law holds companies accountable for their hiring decisions, even if those decisions were made in a black server cabinet. The technology can mitigate bias, but only if used properly and monitored closely.

Available AI tools

The landscape of AI technology is continually growing and covers all portions of the hiring process — recruiting, interviewing, selection, and onboarding. Some companies use automated candidate sourcing technology to search social media profiles to determine which job postings should be advertised to particular candidates. Others use complex algorithms to determine which candidates' resumes best match the requirements of open positions. And some employers use video interview software to analyze facial expressions, body language, and tone to assess whether a candidate exhibits preferred traits.

Federal anti-discrimination law

Although AI tools likely have no intent to unlawfully discriminate, that does not absolve them from liability. This is because the law contemplates both intentional discrimination (disparate treatment) as well as unintentional discrimination (disparate impact). The larger risk for AI lies with disparate impact claims. In such lawsuits, intent is irrelevant. The question is whether a facially neutral policy or practice (e.g., use of an AI tool) has a disparate impact on a particular protected group, such as on one's race, color, national origin, gender, or religion.

The Equal Employment Opportunity Commission, the federal agency in charge of enforcing workplace anti-discrimination laws, has demonstrated an interest in AI and has indicated that such technology is not an excuse for discriminatory impacts.

Discrimination associated with AI tools

The diversity of AI tools means that each type of technology presents unique potential for discrimination. One common thread, however, is the potential for input data to create a discriminatory impact. Many algorithms rely on a set of inputs to understand search parameters. For example, a resume screening tool is often set up by uploading sample resumes of high-performing employees. If those resumes favor a particular race or gender, and the tool is instructed to find comparable resumes, then the technology will likely reinforce the existing homogeneity.

Some examples are less obvious. Sample resumes may include employees from certain zip codes that are home to predominately one race or color. An AI tool may favor those zip codes, disfavoring applicants from other zip codes of different racial composition. Older candidates may be disfavored by an algorithm's preference for ".edu" email addresses. In short, if a workforce is largely comprised of one race or one gender, having the tool rely on past hiring decisions could negatively impact applicants of another race or gender.

Steps to mitigate risk

There are a handful of steps that employers can take to use these technologies and remain compliant with anti-discrimination laws.

First, companies should demand that AI vendors disclose as much as possible about how their products work. Vendors may be reticent to disclose details about proprietary information, but employers will ultimately be responsible for discriminatory impacts. Thus, as part of contract negotiations, a company should consider seeking indemnification from the vendor for discrimination claims.

Second, companies should consider auditing the tool to ensure it does not yield a disparate impact on protected individuals. Along the same lines, companies should be careful in selecting input data. If the inputs reflect a diverse workforce, a properly functioning algorithm should, in theory, replicate that diversity.

Third, employers should stay abreast of developments in the law. This is an emerging field and state legislators have taken notice. Illinois recently passed regulation governing the use of AI in the workplace and other states, including New York, have introduced similar bills.

AI can solve many hiring challenges and help cultivate a more diverse and qualified workforce. But the tools are often only as unbiased as the creators and users of that technology. Careful implementation will ensure AI becomes a discrimination solution — not a landmine.

------

Kevin White is a partner and Dan Butler is an associate with Hunton Andrews Kurth LLP, which has an office in Houston.

Ad Placement 300x100
Ad Placement 300x600

CultureMap Emails are Awesome

Property Showcase

Texas-based energy startup raises $1 billion on heels of Houston expansion

Powering Up

Austin-based startup Base Power, which offers battery-supported energy in the Houston area and other regions, has raised $1 billion in series C funding—making it one of the largest venture capital deals this year in the U.S.

VC firm Addition led the $1 billion round. All of Base Power’s existing major investors also participated, including Trust Ventures, Valor Equity Partners, Thrive Capital, Lightspeed Venture Partners, Andreessen Horowitz (a16z), Altimeter, StepStone Group, 137 Ventures, Terrain, Waybury Capital, and entrepreneur Elad Gil. New investors include Ribbit Capital, Google-backed CapitalG, Spark Capital, Bond, Lowercarbon Capital, Avenir Growth Capital, Glade Brook Capital Partners, Positive Sum and 1789 Capital Management.

Coupled with the new $1 billion round, Base Power has hauled in more than $1.27 billion in funding since it was founded in 2023.

Base Power supplies power to homeowners and the electric grid through a distributed storage network.

“The chance to reinvent our power system comes once in a generation,” Zach Dell, co-founder and CEO of Base Power, said in a news release. “The challenge ahead requires the best engineers and operators to solve it, and we’re scaling the team to make our abundant energy future a reality.”

Zach Dell is the son of Austin billionaire and Houston native Michael Dell, chairman and CEO of Round Rock-based Dell Technologies.

In less than two years, Base Power has developed more than 100 megawatt-hours of battery-enabled storage capacity. One megawatt-hour represents one hour of energy use at a rate of one million watts.

Base Power recently expanded its service to the city of Houston. It already was delivering energy to several other communities in the Houston area. To serve the Houston region, the startup has opened an office in Katy.

The startup also serves the Dallas-Fort Worth and Austin markets. At some point, Base Power plans to launch a nationwide expansion.

To meet current and future demand, Base Power is building its first energy storage and power electronics factory at the former downtown Austin site of the Austin American-Statesman’s printing presses.

“We’re building domestic manufacturing capacity for fixing the grid,” Justin Lopas, co-founder and chief operating officer of Base Power, added in the release. “The only way to add capacity to the grid is [by] physically deploying hardware, and we need to make that here in the U.S. ... This factory in Austin is our first, and we’re already planning for our second.”

---

This article originally appeared on EnergyCapitalHTX.com.

Expert on Houston’s energy advantage: Building affordability, reliability for all

Guest Column

As the energy capital of the world, Houston has been at the forefront of innovation, powering industries and communities for generations. Many Houston families, however, are facing a reality that undermines our leadership: high energy bills and ongoing concerns about grid reliability.

Affordability and reliability are not just technical issues; they’re equity issues. To remain the world leader in energy, we must ensure that every household has access to affordable and dependable power.

Affordability: The First Step Toward Equity

According to the recent 2025 study by The Texas Energy Poverty Research Institute, nearly 80% of low- to moderate-income Houstonians scaled back on basic needs to cover electric bills. Rising costs mean some Houstonians are forced to choose between paying their utility bill or paying for groceries.

Additionally, Houston now has the highest poverty rate among America’s most populous cities. Energy should not be a privilege for only half of our city’s population. That’s why affordability needs to be at the center of Houston’s energy conversation.

Several practical solutions exist to help address this inequity:

  • We can increase transparency in electricity pricing and help families better understand their electricity facts labels to make smarter choices.
  • We can expand energy efficiency programs, like weatherizing homes and apartments, swapping out old light bulbs for LEDs, and adopting smart thermostats.
  • Incentives to help families invest in these changes can deliver long-term benefits for both them and apartment complex owners.

Many small changes, when combined, can add up to significant savings for families while reducing overall demand on the grid.

Reliability: A Shared Community Priority

The memories of Hurricane Beryl, Derecho, and Winter Storm Uri are still fresh in the minds of Texans. We saw firsthand the fragility of our grid and how devastating outages are to families, especially those without resources to handle extreme weather. Reliability of the grid is an issue of public health, economic stability, and community safety.

Houston has an opportunity to lead by embracing innovation. Grid modernization, from deploying microgrids to expanding battery storage, can provide stability when the system is under stress. Partnerships between utilities, businesses, and community organizations are key to building resilience. With Houston’s innovation ecosystem, we can pilot solutions here that other regions will look to replicate.

Energy Equity in Action

Reliable, affordable energy strengthens equity in tangible ways. When households spend less on utilities, they have more to invest in their children’s education or save for the future. When power is stable, schools remain open, businesses continue to operate, and communities thrive. Extending energy efficiency programs across all neighborhoods creates a fairer, more balanced system, breaking down inequities tied to income and geography.

Studies show that expanding urban green spaces such as community gardens and tree-planting programs can lower neighborhood temperatures, reduce energy use for cooling, and improve air quality in disadvantaged areas, directly reducing household utility burdens.

In Houston, for example, the median energy burden for low-income households is 7.1% of income, more than twice that of the general population, with over 20% of households having energy burdens above 6%.

Research also demonstrates that community solar programs and urban cooling investments deliver clean, affordable power, helping to mitigate heat stress and making them high-impact strategies for energy equity and climate resilience in vulnerable neighborhoods.

Public-Private Partnerships Make the Difference

The solutions to affordability and reliability challenges must come from cross-sector collaboration. For example, CenterPoint Energy offers incentives through its Residential and Hard-to-Reach Programs, which support contractors and community agencies in delivering energy efficiency upgrades, including weatherization, to low-income households in the greater Houston area.

Nonprofits like the Houston Advanced Research Center (HARC) received a $1.9 million Department of Energy grant to lead a weatherization program tailored for underserved communities in Harris County, helping to lower bills and improve housing safety

Meanwhile, the City of Houston’s Green Office Challenge and Better Buildings Initiative bring private-sector sponsors, nonprofits, and city leadership together to drive energy reductions across millions of square feet of commercial buildings, backed by training and financial incentives. Together, these partnerships can result in real impact that brings more equity and access to affordable energy.

BKV Energy is committed to being part of the solution by promoting practical, consumer-focused strategies that help families save money and use energy more efficiently. We offer a suite of programs designed to provide customers with financial benefits and alleviate the burden of rising electricity bills. Programs like BKV Energy’s demonstrate how utilities can ease financial strain for families while building stronger customer loyalty and trust. Expanding similar initiatives across Houston would not only lower household energy burdens but also set a new standard for how energy companies can invest directly in their communities.

By proactively addressing affordability, energy companies can help ensure that rising costs don’t disproportionately impact vulnerable households. These efforts also contribute to a more resilient and equitable energy future for Houston, where all residents can access reliable power without sacrificing financial stability.

Houston as a Blueprint

Houston has always been a city of leadership and innovation, whether pioneering the space race, driving advancements in medical research at the Texas Medical Center, or anchoring the global energy industry. Today, our challenge is just as urgent: affordability and reliability must become the cornerstones of our energy future. Houston has the expertise and the collaborative spirit to show how it can be done.

By scaling innovative solutions, Houston can make energy more equitable, strengthening our own community while setting a blueprint for the nation. As the energy capital of the world, it is both our responsibility and our opportunity to lead the way to a more equitable future for all.

---

Sam Luna is director at BKV Energy, where he oversees brand and go-to-market strategy, customer experience, marketing execution, and more.

Houston professor awarded $2.6M grant for retina, neurological research

seeing green

University of Houston College of Optometry Professor John O’Brien has received a $2.6 million grant from the National Eye Institute to continue his research on the retina and neurological functions.

O’Brien is considered a leading expert in retinal neuroscience with more than 20 years of research in the field. The new funding will allow O’Brien and his team to continue to study the dense assembly of proteins associated with electrical synapses, or gap junctions, in the retina.

Gap junctions transfer electrical signals between neurons. And the plasticity of gap junctions changes the strength of a synapse, in turn changing how visual information is processed. Previous research has shown that reduced functions of electrical synapses could be linked to autism, while their hyperfunction may lead to seizures.

“The research we propose will significantly advance our understanding of the molecular complexes that control the function of electrical synapses,” O’Brien said in a news release.

The team at UH will work to identify the proteins and examine how they impact electrical synapses. It is particularly interested in the Connexin 36, or Cx36, protein. According to O’Brien, phosphorylation of Cx36, a short-term chemical modification of the protein, serves as a key driver of plasticity. And the protein has been linked to refractive error development, which is one of the largest vision problems in the world today.

Additionally, OBrien’s research has shown that plasticity is essential for all-day vision, allowing the retina to adjust sensitivity and sharpen images. He has also built a catalog of the core set of proteins surrounding electrical synapses that are conserved across species. His research has been funded by the NEI since 2000.

View All Listings