California has enacted Assembly Bill 2563, a broad civil rights measure that clarifies how sex-discrimination protections are to be interpreted throughout California law. Effective January 1, 2027, the legislation establishes a statewide rule that provisions prohibiting discrimination based on sex, gender, or similar characteristics must be interpreted to prohibit sex discrimination as defined by the statute.
Background
AB 2563 amends numerous California codes and establishes a statewide interpretive framework for anti-discrimination laws.
The Legislature stated that the bill is intended to reflect and effectuate existing protections under the California Constitution, including constitutional guarantees of equal protection, privacy, reproductive freedom, and protection against discrimination in employment, business, and other areas.
New Statewide Definition of Sex Discrimination
AB 2563 provides that whenever a California law prohibits:
- Discrimination based on sex;
- Discrimination based on gender; or
- Similar forms of discrimination,
- those provisions must be interpreted as prohibiting sex discrimination.
The law specifies that sex discrimination includes discrimination based on actual or perceived characteristics, traits, actions, or circumstances related to sex, including discrimination based on an individual’s degree of conformity or nonconformity with sex- or gender-based stereotypes.
The statute further directs that these protections be liberally construed to advance the purposes of California’s constitutional anti-discrimination protections.
Impact on FEHA
AB 2563 amends the definition of “sex” within the California Fair Employment and Housing Act (FEHA).
Because FEHA governs California employment discrimination, harassment, and retaliation claims, the revised definition will apply to workplace discrimination claims involving sex-based protected characteristics.
The amendment reinforces California’s broad interpretation of sex-based protections under FEHA and may influence how courts and the Civil Rights Department analyze discrimination claims.
Impact on the Unruh Civil Rights Act
The legislation also amends the Unruh Civil Rights Act.
For purposes of California’s public-accommodations law, “sex” now includes the characteristics encompassed within the statute’s definition of sex discrimination. Businesses subject to the Unruh Act should therefore expect sex-discrimination protections to be interpreted consistently with the broader definition established by AB 2563.
Covered Employers
AB 2563 itself is a statewide interpretive statute, but in the employment context its most significant impact is through FEHA.
FEHA generally applies to employers with five or more employees for discrimination claims, although certain harassment protections apply more broadly.
Employer Takeaway
Effective January 1, 2027, California employers should review anti-discrimination, equal employment opportunity, and harassment policies to ensure they reflect the expanded statutory interpretation of sex discrimination under California law. Although AB 2563 does not create a new protected category, it broadens and clarifies how existing protections based on sex and gender are to be interpreted, including protections relating to actual or perceived sex-related characteristics and conformity to sex- or gender-based stereotypes.