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Law Office of Arthur Karadzhyan · Westlake Village, California · Responsible attorney: Arthur Karadzhyan · California Bar #353639

THE RECORD / THE LAW
Discrimination

Racial Discrimination in the Workplace: What California Law Covers

Revised August 2026

Race discrimination in employment is rarely announced. It operates through patterns — in who gets hired, who gets promoted, who gets disciplined, and who gets let go. California law addresses those patterns with protections that are broader, in several important respects, than federal law.

An employer does not typically fire someone and cite their race as the reason. What happens instead is more familiar and more difficult to name in the moment: the employee is passed over for a promotion that goes to a less qualified colleague. Disciplinary standards are applied unevenly, with harsher consequences for employees of certain backgrounds. Performance reviews contain subjective criticisms — “attitude,” “communication style,” “cultural fit” — that are applied disproportionately. The employee is isolated, excluded from decision-making, or assigned to less visible work. And eventually, the employee is terminated for reasons that sound neutral but do not survive scrutiny.

California’s Fair Employment and Housing Act prohibits discrimination in employment on the basis of race, color, national origin, and ancestry. Government Code section 12940. These protections are not aspirational. They are enforceable through civil litigation, with remedies that include compensatory damages, punitive damages, injunctive relief, and attorney’s fees — and without the damages caps that limit recovery under federal Title VII.

What the statute covers

FEHA’s prohibition on race discrimination covers every aspect of the employment relationship: hiring, firing, promotion, demotion, compensation, job assignments, training opportunities, disciplinary actions, and the terms and conditions of employment generally. An employer that makes any of these decisions based on the employee’s race — in whole or in part — has violated the statute.

The protected categories are deliberately broad. “Race” under FEHA encompasses not only racial identity as traditionally understood but also color, ancestry, and national origin. The CROWN Act, enacted in 2019 as SB 188, amended FEHA to explicitly include traits historically associated with race — specifically, hair texture and protective hairstyles including braids, locs, twists, and knots — within the definition of race for purposes of the anti-discrimination statute. An employer that enforces a grooming policy that prohibits natural hairstyles associated with a particular race is engaging in race discrimination, regardless of whether the policy is facially neutral.

How race discrimination is proved

Most race discrimination cases rest on circumstantial evidence. The employee did not receive an email from HR saying “you are being terminated because of your race.” The case is built from the pattern of decisions, the comparative treatment of other employees, and the gap between the employer’s stated reasons and the observable facts.

California courts evaluate race discrimination claims under a burden-shifting framework derived from McDonnell Douglas Corp. v. Green (1973) 411 U.S. 792. The employee first establishes a prima facie case by showing that they belong to a protected class, that they were qualified for the position or performing their job satisfactorily, that they suffered an adverse employment action, and that the circumstances suggest a discriminatory motive — most commonly, that they were treated less favorably than a similarly situated employee outside the protected class, or that the position was filled by someone of a different race.

The burden then shifts to the employer to articulate a legitimate, non-discriminatory reason for the action. This burden is one of production, not persuasion — the employer must state a reason, not prove it.

The burden then returns to the employee to show that the stated reason is pretextual — that it is not the real reason, or that it is insufficient to explain the decision. Pretext can be established through direct evidence (discriminatory comments, admissions, documented bias), comparative evidence (disparate treatment of similarly situated employees), procedural evidence (departures from established policies, inconsistent application of standards), or any other evidence suggesting that the employer’s stated reason is a cover for racial bias.

Under FEHA, the employee need not prove that race was the sole cause or even the primary cause of the adverse action. It is sufficient to prove that race was a “substantial motivating factor” — meaning it contributed to the decision in a meaningful way, even if other factors were also present.

Disparate treatment and disparate impact

Race discrimination claims take two primary forms, each with a distinct analytical framework.

Disparate treatment is intentional discrimination: the employer treats an employee less favorably because of their race. The evidence is typically circumstantial — the pattern of decisions, the comparative treatment of colleagues, the pretextual nature of the stated reasons. The employee must show that race was a motivating factor in the adverse action.

Disparate impact does not require proof of intent. It challenges a facially neutral policy or practice — a hiring criterion, a performance metric, a disciplinary standard — that has a disproportionate adverse effect on employees of a particular race. The employee establishes a prima facie case by showing the statistical disparity. The employer must then demonstrate that the policy is justified by business necessity. Even if the employer meets that burden, the employee can still prevail by showing that an alternative practice with less disparate impact would serve the employer’s legitimate needs.

Disparate impact claims are particularly relevant in cases involving hiring algorithms, standardized tests, neutral-sounding selection criteria (“culture fit,” “executive presence”), and policies that, while not discriminatory on their face, systematically disadvantage workers of certain racial backgrounds.

The workplace environment

Race discrimination is not limited to discrete adverse actions. FEHA also prohibits racial harassment — conduct that creates a hostile work environment based on race. Racial slurs, racially derogatory comments, stereotyping, mockery related to speech patterns or cultural practices, and the display of racially offensive material can all contribute to a hostile environment.

The standard is the same as for other forms of harassment: the conduct must be severe or pervasive enough that a reasonable person in the employee’s position would consider the work environment hostile, intimidating, or abusive. Under California law, a single severe incident can suffice, and the Legislature has made clear that harassment cases should rarely be resolved on summary judgment.

A particular dynamic in racial harassment cases is the accumulation of individually ambiguous incidents — comments that could be interpreted as innocent, exclusions that could be explained by convenience, scrutiny that could be attributed to management style — that together establish a pattern recognizable to the person experiencing it and invisible to those who are not. The law evaluates the totality of the circumstances, not each incident in isolation.

Intersectional discrimination

Discrimination does not always operate along a single axis. An employee may experience adverse treatment not because of race alone, or gender alone, but because of the specific intersection of both — treatment that would not have occurred but for the combination of characteristics. A Black woman may face discrimination that differs from what a Black man or a white woman in the same workplace experiences.

California law recognizes intersectional claims. An employee is not required to prove that race alone caused the adverse action, or that gender alone caused it. If the combination of the employee’s race and another protected characteristic was a substantial motivating factor in the employer’s conduct, the claim is viable.

Retaliation

An employee who opposes race discrimination — by filing a complaint, by objecting to discriminatory treatment, by participating in an investigation — is protected against retaliation under Government Code section 12940, subdivision (h). The retaliation protections apply regardless of whether the underlying discrimination claim is ultimately proved, so long as the employee had a good-faith, reasonable belief that the conduct they opposed was unlawful.

Retaliation claims in the race discrimination context follow the same framework as other FEHA retaliation claims: protected activity, adverse action, and a causal connection between the two. As with the substantive discrimination claim, the employer’s stated reason for the adverse action is subject to scrutiny for pretext.


If you believe you were fired, passed over, disciplined, or subjected to a hostile work environment because of your race, the law does not require you to produce a document in which the employer admits to racial bias. It requires a pattern — in decisions, in comparisons, in the gap between what the employer says and what the evidence shows. That pattern is what the case is built on.

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This article is general information about California law and is not legal advice. Every situation turns on its particular facts.