Source: Jackson Lewis P.C.

The law firm Jackson Lewis P.C. provides a crucial compliance checklist for employers in preparation for California's new regulations on the use of artificial intelligence in employment, which are set to take effect on October 1, 2025. The regulations focus on the use of automated-decision tools (ADTs) in hiring, promotion, and other key employment decisions. The primary goal is to mitigate the risk of algorithmic bias and ensure fairness and transparency in AI-driven HR processes. The firm warns that non-compliance could lead to significant legal and financial penalties, making proactive preparation essential for all California employers.

The checklist outlines several key steps for compliance. Employers must conduct and document thorough impact assessments for any ADT to identify and mitigate potential discriminatory effects. They are also required to provide pre-deployment notices to employees and job candidates, clearly explaining how the AI tools are used in decision-making processes. Furthermore, the regulations grant employees the right to opt-out of certain AI-driven decisions and request human review. The firm advises employers to begin auditing their current HR technologies immediately, update their policies, and train relevant personnel to ensure they are fully compliant by the fast-approaching deadline.