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Workday Loses Bid to Drop AI Bias Lawsuit — and the Ruling Could Set a Major Precedent
HR Dive·Thursday, 25 June 2026
A federal judge ruled that California's anti-discrimination law applies to a lawsuit against Workday, the HR software giant, even for users outside the state, because Workday is headquartered in California. The case alleges that Workday's AI-powered hiring tools discriminate against job applicants. Workday's attempt to have the case thrown out has failed.
Why It Matters
Workday's software is used by thousands of companies worldwide to screen job applicants, so a ruling on AI bias here could affect how employers everywhere are held accountable for automated hiring decisions.
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