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Casar Introduces Federal Ban on AI-Driven Personalized Pricing and Wages

The measure bans data-driven individual pricing and wage-setting by AI with enforcement authority granted to the FTC

Overview

  • Rep. Greg Casar formally filed the Stop AI Price Gouging and Wage Fixing Act on July 23 as the first federal effort to prohibit surveillance-based price and wage algorithms.
  • The bill bars companies from using personal data—such as browsing history, location or device information—to tailor individual prices or wages.
  • It gives the Federal Trade Commission sole power to enforce the ban, permits state and private lawsuits and prevents arbitration clauses from blocking legal action.
  • Consumer advocates and privacy groups have endorsed the proposal, warning that AI-driven pricing could exploit users’ financial vulnerability without their knowledge.
  • Delta Air Lines has denied that its planned AI fare models target customers with personal data as lawmakers prepare to scrutinize the company’s practices after the August recess.