Abstract

This article examines the complex legal issues surrounding the use of artificial intelligence and algorithmic decision-making by public administrations, with a specific focus on the Austrian Public Employment Service’s (AMS) algorithm, the Arbeitsmarktchancen-Assistenzsystem (AMAS). The study investigates the increasing reliance on automated decision-making systems to enhance administrative efficiency and objectivity while also highlighting significant risks to individual rights, particularly concerning data protection, transparency, and procedural fairness.

Through a detailed analysis of the AMS case, this article explores the application of Article 22 of the General Data Protection Regulation (GDPR), which governs automated individual decision-making and profiling. A central aspect of this discussion is the interpretation of what qualifies as an automated decision under the GDPR, particularly in light of the landmark SCHUFA judgment by the Court of Justice of the European Union (CJEU).

Table of Contents

1. Introduction
2. Public Administrations and Algorithms
3. The AMS Case: The Facts
   • The Decision of the Federal Administrative Court
   • The Decision of the Supreme Administrative Court
4. Automated Decision-Making and Profiling Under Article 22 GDPR
5. The SCHUFA Judgment
6. The AMAS Algorithm: A Decision Under Article 22 GDPR?
7. Conclusions