Automated Decisions in Public Administration Processes: The Case of The Austrian Public Employment Service Algorithm

This article examines the complex legal issues surrounding the use of artificial intelligence and algorithmic decision-making by public administrations, focusing on the Austrian Public Employment Service’s (AMS) algorithm, the ArbeitsmarktchancenAssistenzsystem (AMAS). The study investigates the growing reliance on automated decision-making systems for enhancing administrative efficiency and objectivity, while highlighting significant risks to individual rights, such as data protection, transparency, and procedural fairness. Through a detailed analysis of the AMS case, the article explores the application of Article 22 of the General Data Protection Regulation (GDPR), which governs automated individual decisionmaking and profiling. Central to this discussion is the interpretation of what constitutes an ‘automated decision’ under the GDPR, particularly in light of the landmark SCHUFA judgment by the Court of Justice of the European Union (CJEU).