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EU AI Office Issues First Batch of AI Act Penalties, €45M Fine Issued Against
HR AI Platform for Unlawful Candidate Profiling Content: In May 2026, the EU AI Office handed down the first major enforcement fines under the EU AI Act. A European SaaS provider offering AI recruitment screening tools received a €45 million penalty. Regulators confirmed the platform operated a high-risk AI system without mandatory third-party audits, hid negative algorithm bias against female and disabled applicants, and failed to provide human oversight for automated resume rejection. The ruling requires all HR tech firms operating in the EU to rebuild bias testing frameworks and store full candidate data audit trails for a minimum of 10 years.
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