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Friday, October 9, 2026

California’s Latest Employment Laws: AI, Surveillance and Compliance Changes Employers Should Know - The National Law Review

On Sept. 30, 2026, Gov. Gavin Newsom signed several new employment laws affecting artificial intelligence, workplace surveillance, pay data reporting, workplace safety and employment agreements. Most take effect Jan. 1, 2027, with important exceptions noted below.

Key Highlights

  • AI assisted employment decisions will require greater human oversight. SB 947 limits employers’ reliance on automated systems for discipline and termination, while SB 951 adds disclosure requirements when AI or other automated technology substantially contributes to a covered workforce reduction.
  • Workplace surveillance technologies face new restrictions. AB 1331 limits surveillance in workplace bathrooms, and AB 1883 limits AI-enabled tools that collect neural data or infer workers’ emotional states.
  • Several existing compliance obligations now carry new requirements or greater consequences. The new laws affect stay or pay agreements, Cal/OSHA investigations, pay data reporting, discrimination protections, workplace violence response and wages for certain agricultural workers.

AI and Automated Employment Decisions

SB 947 Automated Decision Systems

Beginning July 1, 2027, employers may not rely solely on an automated decision system (ADS) to discipline or terminate an employee. If an employer primarily relies on an ADS, a human reviewer must corroborate the recommendation using underlying data or other supporting information. Employers must also provide written notice when an ADS is primarily...



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