On May 21, 2026, Governor Newsom signed a first of its kind Executive Order N-6-26, effective immediately, mandating various California agencies, departments and industry partners to report on artificial intelligence (AI) labor market research statistics, best practices, employment policies/procedures, and recommendations on California Worker Adjustment and Retraining Notification (WARN) Act mass-layoff updates.

The mandates include the following:

1. Within 90 days:

• The Labor and Workforce Development Agency (LWDA), the Governor’s Office for Business and Economic Development (GO-Biz), and the Department of Finance, with industry partners and state agencies, shall provide a review of research identifying the potential workforce impacts of technological shifts, including AI’s impact on the labor market and potential disproportionate impacts on demographic groups including best practices analysis on early economic warning signals of labor disruptions.

2. Within 180 days:

• The LWDA shall provide recommendations on revisions to the California WARN Act and submit a review of policies and practices that provide displaced workers with a safety net (i.e., severance or other type of compensation). Additionally, the LWDA will provide recommendations for policies on strengthening existing programs.

3. By October 15, 2026:

• The LWDA, along with labor organizations, employer groups and experts, shall review how the collective bargaining process is incorporating and addressing new...

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