California Employment Law: The Sequel Nobody Asked For

By September 9, 2026HR Blog

Just when California employers had finished updating their policies from the last round of new laws, the Legislature wrapped up its session and sent another collection of workplace bills to Governor Newsom.

The Governor has until September 30 to sign or veto them. Most measures that become law will take effect January 1, 2027—giving employers several luxurious months to interpret the requirements, revise their policies, train their managers and hope nothing changes in the meantime.

Here are some highlights.

The Robots May Assist, but They Cannot Be the Boss

SB 947, the “No Robo Bosses Act,” would prohibit employers from relying solely on an automated decision system when disciplining or terminating an employee. If an employer relies primarily on automated output, a human reviewer would need to corroborate the decision and the employee would receive written notice.

In other words, employers may use a robot to recommend firing someone, but a person must still review the recommendation and accept responsibility for the awkward part.

SB 951 would require additional information in California WARN notices when layoffs, relocations or terminations result substantially from AI or other automated technology. Apparently, “the algorithm made us do it” will not be sufficient documentation.

Please Stop Tracking Employees in the Bathroom

AB 1331 would prohibit employers from using workplace-surveillance tools to monitor employees in workplace bathrooms.

You may be thinking, “Surely this is already illegal.” You would be correct—but this bill applies a broader definition of surveillance that includes tools involving time tracking, geolocation and other forms of data collection. Employees would generally have the right to leave wearable or portable tracking tools behind before entering a restroom, with limited exceptions for certain identification and safety devices.

If your organization currently needs a meeting to determine whether it monitors employees in the bathroom, please schedule that meeting immediately.

AB 1883 would prohibit certain AI-enabled surveillance tools from analyzing employees’ emotional states or collecting neural data.

For employers that are not currently monitoring brain activity: excellent work. Please continue not doing that.

A Possible $1,000-Per-Employee Reminder

SB 1237 would increase the maximum penalty for repeatedly failing to submit California’s required annual pay-data report from $200 to $1,000 per employee.

California has apparently concluded that calendar reminders are not sufficiently motivating. Covered employers should identify who owns the reporting process, verify their workforce data and make sure the deadline is not sitting unnoticed in someone’s inbox.

Bereavement Leave May Cover More Relationships

SB 1149 would allow an employee to take up to five days of bereavement leave following the death of a “designated person”—someone related by blood or whose relationship with the employee is equivalent to a family relationship.

Employers may need to update their policies and resist the temptation to create an organizational chart of employees’ personal relationships.

Menopause-Related Protections

AB 1940 would expressly include perimenopause, menopause, postmenopause and related medical conditions within the definition of sex under California’s employment-discrimination law.

The practical message is familiar: take employee concerns seriously, engage HR early and do not allow an untrained manager to improvise their way through a sensitive medical conversation.

What Should Employers Do Now?

These bills are not yet law, so there is no need to rewrite the handbook this afternoon. Instead:

· Determine whether AI or automated systems influence employment decisions.

· Inventory monitoring, tracking and access-control tools.

· Confirm compliance with pay-data reporting requirements.

· Review leave and equal-employment policies.

· Watch for the Governor’s decisions by September 30.

· Attend SDEA’s Employment Law Update in January, 2027.

· Begin preparing for another exciting season of policy updates and manager training.

SDEA will continue tracking these measures and translating the final requirements into something employers can actually use. If you have questions—or simply need someone to confirm that, yes, California really did propose another employment law—contact SDEA at 858-505-0024.