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AI Catches Up to California Employers: Regulations for Automated-Decision Systems Now in Effect

Dec 1, 2025 | Background Check Compliance, EEOC

California’s new employment regulations, effective Oct. 1, 2025, govern the use of artificial intelligence and automated-decision systems (ADS) in hiring and employment practices. The rules prohibit discrimination through AI tools and hold employers—and their vendors—liable for biased outcomes. Employers must provide reasonable accommodations, retain ADS data for four years, and assess systems for bias. Designed to strengthen Fair Employment and Housing Act protections, the regulations signal continued AI oversight in California workplaces.

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