California Governor Gavin Newsom has signed new legislation to regulate the use of artificial intelligence in the workplace. The laws, specifically SB 947 and SB 951, establish transparency requirements for companies using automated systems for disciplinary actions, terminations, and mass layoffs.
The 'No Robo Bosses Act' (SB 947) prohibits employers from relying solely on AI for firing or punishing employees. Starting July 1, 2027, any AI-driven decision must be verified by human oversight using additional data. Employees must also be provided with written notice regarding the use of AI and the specific data involved.
The SB 951 amendment to the Cal/WARN Act requires companies to disclose if mass layoffs or facility closures are linked to AI implementation. Employers must notify staff and state authorities 60 days in advance, with these provisions taking effect on January 1, 2027. The state will track these cases and report on AI's impact by 2028.
These regulations follow broader concerns regarding algorithmic surveillance and automation. While the laws do not ban the use of technology to replace human labor, they mandate transparency and specific procedural standards. California joins states like Colorado, Illinois, and Texas in implementing AI-related workplace rules.
