Council authorizes rulemaking on automated decision systems in hiring and recordkeeping

The California Civil Rights Council voted to initiate the rulemaking process for revised regulations addressing automated decision systems (ADS) in employment, a set of changes council members said are intended to make explicit how artificial intelligence is covered under California's employment civil‑rights laws.

Council Members Kim Iglesias and Helen Hong, who led the presentation, said the proposed revisions do not create new liability standards but clarify definitions, restructure ADS as a dedicated subsection, and integrate ADS coverage across existing employment rules. The draft also revises recordkeeping provisions in Section 11013 to implement recently passed SB 807 and clarifies that ADS can give rise to claims under either disparate treatment or disparate impact theories.

"We tried to make it because people oftentimes don't think about how it's being deployed," Council Member Hong said, noting examples where an ADS might be embedded in applications or testing platforms that appear unrelated to traditional application forms.

Council members raised technical drafting concerns — inserting missing words for clarity (for example adding "is" in several sentences), whether to use "can show" or "may be able to show" for defenses, how 'agent' and 'seller' should be defined, and record‑retention triggers tied to complaint filing or the last use of a system. Council Member Schur emphasized tying each subsection clearly to the activity being regulated (applications, screening, interviews) so the premise appears before examples.

After discussion, the council moved to begin the formal rulemaking steps — drafting the initial statement of reasons, posting notice in the California Register and opening the required 45‑day public comment period — with the narrow amendment to add the missing "is" language in specified places; the motion passed on a unanimous roll‑call vote among members present.

What happens next: The department will post notice, publish the initial statement of reasons, and solicit public comment in a 45‑day window. Council and staff said they will continue to refine definitions and technical drafting in preparation for formal notice and public hearings.