The record

Where automated decisions went wrong

Incidents gathered from public reporting around the world. Each one links to the articles it came from. None of it is a finding that anyone broke the law.

Reports people file about their own experience are not shown here and never will be without their agreement. Tell us what happened to you.

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46 incidents closest to “Income Verification” · matched on meaning · public reporting

Amazon uses algorithms to automatically fire Flex delivery drivers

Amazon's Flex delivery program uses automated algorithms with minimal human intervention to manage drivers, including rating their performance and terminating accounts. Drivers report being fired for reasons such as locked gates, bad weather, or failed selfie verifications, often without clear explanation. The system is opaque, and appeals are frequently unsuccessful, leaving drivers without income. Amazon acknowledges the system but denies unfair treatment.

Company involved
Amazon

5 source articles · read the reporting →

WF-9RCQRJ18 Mar 2021

French welfare services' algorithm wrongly demands €542 repayment from single woman

A French welfare recipient was automatically notified of a €542 debt after the welfare office's fraud detection algorithm misinterpreted her dual employment status as a freelance and salaried worker. The algorithm considered only her freelance income, leading to an erroneous overpayment calculation and automatic deductions from future benefits. After she contacted the welfare office, a caseworker confirmed the software had made an error and canceled the debt. The incident highlights the risks of automated decision-making in welfare systems, where algorithms may flag cases without human verification.

Company involved
French welfare services

1 source article · read the reporting →

$3.75M HireVue Illinois BIPA class action settlement - Top Class Actions

Collected voice and facial biometrics from job applicants during video interviews without consent

Company involved
HireVue Inc.
AI system involved
HireVue

1 source article · read the reporting →

WF-24VFAO27 Jan 2017

Illinois job applicants may get about $150 from HireVue biometric privacy settlement - The Cool Down

Job applicants were subjected to biometric data collection during video interviews without proper consent.

Company involved
HireVue
AI system involved
HireVue

1 source article · read the reporting →

Resume prompt injection tricks AI hiring - moneywise.com

AI screening system determined which job applicants to advance to the next stage of recruitment.

1 source article · read the reporting →

Class action claims Checkr misreported criminal records in background checks

Checkr's system misreported criminal records belonging to someone else on Natasha Davis's consumer report, impeding her ability to gain employment.

Company involved
Checkr Inc.

1 source article · read the reporting →

WF-8PNW6723 Dec 2025

Single mom loses six-figure job after alleged background check errors

The background check system flagged discrepancies in employment history, causing the employer to rescind a job offer to Krishan Tucker.

Company involved
HireRight
AI system involved
HireRight

1 source article · read the reporting →

SafeRent Settles Class Action Over Tenant Screening for Voucher Holders

Mary Louis and Monica Douglas filed a class action lawsuit in 2022 alleging that SafeRent Solutions' SafeRent Score product discriminated against rental applicants in Massachusetts who held public housing vouchers, violating fair housing and consumer protection laws. SafeRent denied wrongdoing. The court approved a settlement in November 2024, and payments were distributed to eligible class members in 2025 and 2026.

Company involved
SafeRent Solutions, LLC
AI system involved
SafeRent Score

5 source articles · read the reporting →

WF-ATS7E1Russian

South Africa's Supreme Court of Appeal Considers Sassa Algorithm Case

Верховный апелляционный суд ЮАР рассмотрел дело об алгоритмах Sassa - UA.NEWS

The Supreme Court of Appeal heard an appeal on 25 August about Sassa's digital application system for the SRD grant. The system only accepts online applications and uses automated bank account checks that may deny grants to people whose accounts receive deposits that are not regular income. The Global Center on AI Governance submitted that automated decisions must uphold constitutional rights and be fair, non-discriminatory, and suited to South Africa's informal economy.

Company involved
South African Social Security Agency (Sassa)
AI system involved
Sassa digital application system

1 source article · read the reporting →

WF-FPFUBS1 Jun 2021

How Your Shadow Credit Score Could Decide Whether You Get an Apartment - ProPublica

Tenant screening companies assign renters a score drawn from data far wider than credit history, an industry subject to less regulation than credit scoring agencies. ProPublica reports that experts warn these algorithms can decide who gets an apartment on the basis of information applicants cannot see or correct. Kim Fuller was denied a rental application on such a score.

Company involved
Habitat America
AI system involved
RentGrow

1 source article · read the reporting →

WF-855ZWA1 Oct 2013

Michigan's MiDAS system falsely accused 34,000 of unemployment fraud

Michigan's Unemployment Insurance Agency (UIA) deployed the Michigan Integrated Data Automated System (MiDAS) to automate fraud detection. The system algorithmically adjudicated over 40,000 fraud cases between October 2013 and September 2015, with 85 percent of those resulting in incorrect fraud determinations. The false accusations led to severe financial penalties, ruined credit, and homelessness for many victims. A class-action lawsuit was filed, and while the state has apologised and returned fines, it has fought against compensation claims, though legislators have promised to seek at least $30 million for those affected.

Company involved
Michigan Unemployment Insurance Agency
AI system involved
Michigan Integrated Data Automated System (MiDAS)

10 source articles · read the reporting →

WF-BXPRD51 Jan 2014

IRS Audit Selection Algorithm Disproportionately Audits Black Taxpayers

A Stanford study found that the IRS's secret audit selection algorithm causes Black taxpayers to be audited at 2.9 to 4.7 times the rate of non-Black taxpayers. The disparity is driven by the algorithm's focus on the likelihood of underreporting rather than the magnitude, and on refundable tax credits like the Earned Income Tax Credit. Single Black men claiming dependents and the EITC are nearly 20 times more likely to be audited than non-Black married couples claiming the same credit. The researchers suggest the IRS could modify its algorithm to reduce racial disparities without sacrificing revenue.

Company involved
Internal Revenue Service

4 source articles · read the reporting →

WF-EAXKQ219 May 2017

HSBC voice ID breached by customer's twin brother

BBC reporter Dan Simmons set up an HSBC voice-ID authenticated account. His non-identical twin brother Joe was able to mimic his voice and gain access after eight attempts, viewing balances and transactions and being offered the chance to transfer money. HSBC acknowledged the breach and reduced the number of allowed attempts from seven to three. The bank stated that the system remains secure and that the scenario was not typical of fraud.

Company involved
HSBC
AI system involved
Voice ID

3 source articles · read the reporting →

WF-MTDPWE17 Jul 2025

AI-generated Centrelink phishing emails target 270,000 Australians

More than 270,000 fake emails impersonating Services Australia and Centrelink were detected over four months in a broad phishing campaign. Cybersecurity firm Mimecast reports that cybercriminals are using artificial intelligence to create highly convincing clones of legitimate government communications about benefits. The attack targets vulnerable people and can lead to identity theft, data theft, malware, or ransomware.

Company involved
Services Australia

4 source articles · read the reporting →

WF-DG870X13 Oct 2025

Hassan v ABC International Bank (Employment Tribunals): AI-hallucinated content in court filing, Costs Order

The AI generated fabricated legal citations that the claimant submitted to the tribunal, resulting in a costs order against the claimant.

1 source article · read the reporting →

WF-RMG9SS1 Jan 2022

Jordan's National Aid Fund Algorithm Denies Cash Assistance to Vulnerable Households

Human Rights Watch reported that Jordan’s Takaful cash transfer programme, run by the National Aid Fund and financed by the World Bank, uses an algorithm to rank households by estimated economic vulnerability and select recipients. The report found that the algorithm relies on inaccurate self-reported income and questionable indicators such as car ownership and utility use, causing eligible poor families to be denied benefits or receive reduced payments. The World Bank and NAF defended the programme and its targeting approach.

Company involved
National Aid Fund (NAF)
AI system involved
Takaful (Unified Cash Transfer Program)

3 source articles · read the reporting →

Idaho Medicaid used secret formula to cut assistance for disabled adults

The Idaho Department of Health and Welfare used a secret formula to drastically cut Medicaid assistance for adults with developmental disabilities, claiming the formula was a trade secret. The ACLU of Idaho filed a class action lawsuit, K.W. v. Armstrong, in 2012, alleging the cuts violated due process. A federal court struck down the formula in 2016 and ordered a new system, but as of 2024, a fair system has not yet been implemented.

Company involved
Idaho Department of Health and Welfare

10 source articles · read the reporting →

INSS AI Denies Rural Worker's Pension After Misidentifying Her as a Man

A rural worker in Brazil, Josélia de Brito, had her pension application through the Meu INSS app automatically denied after the AI system misidentified her as a man. The INSS deployed the system to speed up benefit decisions, but experts say it struggles with complex rural cases. The case is cited as evidence that automation may exclude vulnerable people with limited digital access.

Company involved
Instituto Nacional do Seguro Social (INSS)
AI system involved
Meu INSS

4 source articles · read the reporting →

WF-YFC2FF29 Oct 2015

CFPB fines General Information Services for inaccurate background checks

The Consumer Financial Protection Bureau took action against General Information Services and its affiliate e-Background-checks.com for failing to ensure the accuracy of employment background screening reports. The companies allegedly provided inaccurate criminal history information to employers, potentially affecting job applicants' eligibility and causing reputational harm. The CFPB ordered the companies to provide $10.5 million in relief to harmed consumers and pay a $2.5 million penalty.

Company involved
General Information Services

10 source articles · read the reporting →

Inland Revenue warns of AI scam using commissioner's image

Scammers used AI-generated images and messaging to impersonate New Zealand's Commissioner of Inland Revenue, Peter Mersi, in social media ads inviting people to a fake crypto tax webinar. The ads aimed to trick people into giving personal information for identity theft or account access. Inland Revenue received over 3000 scam reports in three months and worked to have the ads removed, but they kept reappearing. The department warned the public about the increasing use of AI in investment scams.

2 source articles · read the reporting →

WF-XHTPKC15 Oct 2024

France: CNAF's discriminatory risk-scoring algorithm must be stopped

Amnesty International and coalition partners filed a complaint with the Council of State against CNAF's risk-scoring algorithm used to detect benefit overpayments. The algorithm assigns risk scores based on criteria that discriminate against vulnerable groups, including those with disabilities, single parents, and low-income households. The complaint alleges the system violates human rights to equality and privacy. The EU AI Act's social scoring ban may apply, but its definition remains unclear.

Company involved
CNAF

2 source articles · read the reporting →

UDR Sued Over Alleged Use of RealPage Algorithm to Set Rents in San Diego

A class action lawsuit alleges that UDR, Inc. used RealPage's YieldStar algorithmic pricing software to set rental rates and occupancy levels for its San Diego properties, in violation of a local ordinance. The suit claims the software relied on nonpublic competitor data, contributing to inflated rents and making housing less affordable. The lawsuit, filed in July 2026, seeks to represent all affected tenants. UDR has previously acknowledged using YieldStar as one tool among others in its decision-making.

Company involved
UDR, Inc.
AI system involved
RealPage YieldStar

1 source article · read the reporting →

WF-PZC5LA1 Jan 2020

EEOC sues iTutorGroup for automated rejection of older tutor applicants

The US Equal Employment Opportunity Commission (EEOC) alleges that tutoring provider iTutorGroup programmed its recruitment software automatically to reject female applicants aged 55 or older and male applicants aged 60 or older. More than 200 qualified US-based applicants were denied work in 2020. The EEOC has filed a lawsuit in the Eastern District of New York seeking back pay and damages.

Company involved
iTutorGroup

10 source articles · read the reporting →

WF-2GUL3Q23 Dec 2025

Kalala v. Coopérative d'habitation La Fraternité Micheloise (CS Québec): AI-hallucinated content in court filing, Monetary Sanction

The AI generated fabricated case law that was included in a court filing, misleading the court and resulting in sanctions against the litigant.

1 source article · read the reporting →

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