On September 30, 2026, Governor Gavin Newsom signed legislation (Senate Bill (SB) 951) that requires employers giving notice of a mass layoff, relocation, or termination caused in whole or in substantial part by artificial intelligence (AI) or other automated technology to include additional information in their California Worker Adjustment and Retraining Act (Cal/WARN) notices. The law takes effect on January 1, 2027.

Quick Hits

• Under SB 951, Cal/WARN notices for job losses caused in whole or in substantial part by AI or other automated technology must include four additional items: (1) the number of affected layoffs (with classifications or occupations and work locations); (2) the job functions that will be automated; (3) the category or type of technology involved; and (4) at the top of each covered notice, the following technology-displacement statement: “This notice is for a technology displacement.”
• The Employment Development Department will publish a summary of the notices it receives on its website, along with a quarterly statewide summary of reported technological displacements.
• SB 951 takes effect on January 1, 2027.

Background: The Existing Cal/WARN Act

The Cal/WARN Act already requires employers to provide sixty days’ notice of: (a) cessations or substantial cessations of operations at covered establishments; (b) mass layoffs affecting fifty or more employees at covered establishments; and (c) relocations of all or substantially all employer operations at a...

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