New California Artificial Intelligence regulations (AI Regulations) adopted by the Civil Rights Council (Council) will be effective October 1, 2025. These regulations, which you can find here, are intended to protect candidates and employees against potential employment discrimination as a result of the use of AI, algorithms and other automated-decision systems. In adopting these regulations, the Council amended protections already afforded to candidates and employees under the California Fair Employment and Housing Act (FEHA) to define terms (discussed below) such as “automated-decision system,” “agent,” “employment agency,” “algorithm,” “artificial intelligence” and “machine learning.”

By way of background, the FEHA applies to employers with five or more employees. Employees located inside and outside of California are counted in determining whether employers are covered under the FEHA. If an employer engages in an unlawful employment practice that violates the FEHA, including a violation of the new AI Regulations as of October 1, 2025, then the complainant(s) or class of complainants are entitled to individual or personal relief, including, but not limited to, hiring, reinstatement or upgrading, back pay, or other relief in furtherance of the FEHA.

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