California's updated regulations regarding the use of artificial intelligence-based (AI) Automated-Decision Systems in employment took effect on October 1, 2025.
California's updated regulations regarding the use of artificial intelligence-based (AI) Automated-Decision Systems in employment took effect on October 1, 2025. These regulations address the use of "Automated-Decision Systems," which the regulations define as computational processes that make decisions or facilitate human decision-making regarding an employment benefit. According to the regulations, "Automated-Decision Systems may be derived from and/or use artificial intelligence, machine-learning, algorithms, statistics, and/or other data processing techniques."
The regulations make it unlawful to use an Automated-Decision System that discriminates against an applicant or employee based on a protected category under California's Fair Employment and Housing Act (FEHA). The regulations are aimed at scenarios such as: an employer uses an Automated-Decision System to take an initial pass at applicants' resumes, and the Automated-Decision System eliminates all applicants with disabilities (or in any other protected class such as based on age, gender, etc.). One example provided by the regulations involves an Automated-Decision System that "analyzes an applicant's tone of voice, facial expressions or other physical characteristics or behavior [which] may discriminate against individuals based on race, national...
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