Proposed Regulations Might Affect Family Owned Businesses' Employment Practices

California's Fair Employment and Housing Council (FEHC) has proposed draft regulations that incorporate the use of automated-decision systems (ADS) such as artificial intelligence and machine learning into existing rules regulating employment and hiring practices in California.

Family businesses—including family owned employment agencies—that use ADS technology or plan to use it to recruit and hire employees, filter through applicants, and fill positions quickly need to prepare for the potential implications that the FEHC's proposed regulations will have on their businesses' use of ADS technology.

For an in-depth discussion of the California FEHC's proposed draft regulations regarding the use of AI and machine learning in connection with employment decision-making, we offer this DWT article.