California SB 700: Pioneering Protection for Job Applicants with Cannabis Backgrounds

In a significant update out of California, Governor Newsom recently signed Senate Bill (SB) 700 into law. Signed on October 7, 2023, this new statute inherently modifies the Fair Employment and Housing Act (FEHA) in a way that pertains to job applicants with a history of cannabis use. The law sets a precedent by making it illegal for employers to discriminate against potential employees based on information about their past cannabis usage. The information in question is typically gleaned from a criminal history background check. This disclosure was made by Jackson Lewis P.C.

SB 700 represents an essential shift in California’s employment law landscape. The previous legal status quo allowed employers to make hiring decisions based on an individual’s criminal record, including minor offenses related to cannabis. Now, this sort of discrimination is expressly prohibited. This new law also is indicative of the progressively changing attitude towards cannabis use, not only in California, but across the country. It remains to be seen how other states will respond to this legislative action, but it can be reasonably concluded that amendments of this nature have potential to spread across the country.

While SB 700 is a stride forward for individuals with a cannabis usage history, it also brings new compliance challenges for employers. Going forward, they will need to ensure their hiring processes comply with this regulation to avoid potential legal repercussions. For legal professionals advising these companies, it may be necessary to reevaluate hiring policies, and revise any language or practices that don’t align with the new law.

For the complete details, please refer to the original disclosure here.