Broad Coalition Unites to Address Algorithmic Discrimination in California

Legislation to be Introduced to Protect Californians from AI-Driven Discrimination

Sacramento, CA – Today, Assemblymember Rebecca Bauer-Kahan (D-Orinda) was joined by a coalition of labor, tech accountability, and consumer protection advocates to announce their partnership to address the growing need for safeguards against algorithmic discrimination. With automated decisionmaking systems (ADS) increasingly influencing decisions in housing, employment, and lending, the coalition is calling for greater transparency and accountability to ensure these systems do not reinforce systemic inequities. 

The need for action is clear. Research highlights the real-world consequences of algorithmic bias across industries. An estimated 99% of Fortune 500 companies use automated systems in hiring, yet past cases reveal how these technologies can reinforce discrimination. A study published in Science revealed racial bias in a clinical algorithm used across hospitals to determine patient care. The algorithm relied on healthcare spending as a proxy for health needs, falsely concluding that Black patients were healthier than equally sick white patients. As a result, Black patients were denied access to high-risk care. This bias stemmed from the fact that Black patients, who disproportionately face poverty, often spend less on health care, leading to systemic disparities in treatment. Similarly, an algorithm designed to determine the number of in-home care hours for Arkansas residents with disabilities received criticism after making drastic cuts to essential aid. Some residents reported extreme disruptions to their lives, including hospitalization, due to these sudden reductions. A lawsuit later revealed that errors in the algorithm—specifically, how it assessed the medical needs of people with certain disabilities—were directly responsible for inappropriate cuts. Despite these failures, the group responsible for the flawed algorithm continues to develop tools used in healthcare settings across nearly half of U.S. states and internationally. 

“Algorithms are shaping critical aspects of our lives, from the jobs we get to the housing we can access,” said Assemblymember Bauer-Kahan. “Without proper safeguards, these systems can create invisible barriers that shut people out of opportunities. By coming together now, we can ensure technology is working for all Californians—not just a select few.” 

The effort is backed by a coalition including the Service Employees International Union (SEIU) California and TechEquity Collaborative. Together, they are committed to ensuring that automated systems are subject to fair and transparent standards. 

“Algorithms decide who gets access to benefits, housing, and healthcare every day. These algorithms, left unchecked, leave people vulnerable to automated discrimination—without them even knowing about it. People deserve transparency into the tools that are making decisions about their lives and the opportunity to change these decisions if they’re wrong.” said Catherine Bracy, Founder and CEO of TechEquity 

“AI and Automated decision-making technology can have huge benefits to workers and our communities, but the outcomes vary greatly often when there is little to no engagement from those tasked with using this new technology. Bad technology can mean delays or worse loss of crucial safety net services. Worker input can make the difference in successful utilization. Workers must have meaningful opportunities to speak out and be heard when algorithms do more harm than good without fear of retaliation,” said Kimberly Rosenberger, Senior Government Advocate of SEIU California, which represents more than 750,000 workers throughout the state. “Sunshine and accountability is crucial to ensuring best practices. Everyone has a role in ensuring that this technology is responsibly incorporated into workplaces and our democracy because it touches all of our lives.” 

“This coalition is a testament to the strength of collaboration across sectors,” said Assemblymember Bauer-Kahan. “Some tech companies have been resistant to common-sense regulation to protect our most vulnerable communities. This partnership is crucial to delivering meaningful guardrails to automated decision systems, ensuring that these technologies work for, not against, Californians. Together, we are setting the stage for a future where fairness and transparency are guaranteed for all.”

About TechEquity

TechEquity raises public consciousness about economic equity issues that result from the tech industry’s products and practices, and advocates for change that ensures tech’s evolution benefits everyone. The organization conducts original research grounded by the stories of the people impacted by inequitable systems, develops policy and industry recommendations, and focuses on the implementation of policies and industry standards to ensure meaningful impact for generations to come.