California Gov. Gavin Newsom (D) signed landmark legislation on Wednesday prohibiting employers across the state from relying solely on artificial intelligence (AI) to fire or discipline workers.
The bill, Senate Bill 947, aka “No Robo Bosses Act,” bars businesses from using “automated decision-making systems” as the primary driver behind adverse worker actions.
Under the law, companies that rely primarily on AI metrics for termination or discipline must ensure a human reviewer corroborates the automated findings using supplementary personnel files, manager evaluations, and peer reviews. Employers are also required to provide affected workers with written notice detailing the AI data used and supply a human contact to explain the decision.
“No worker should ever be fired or disciplined by a machine, AI or not,” said the bill’s author, Democratic California State Sen. Jerry McNerney. “AI must remain a tool controlled by humans, not the other way around.”
The law arrives amid growing public concern over workplace automation.
A July Gallup poll revealed 39% of Americans believe AI does more harm than good, up from 31% in 2025, while Pew Research found that 71% of Americans expect AI to cost people their jobs.
Recent corporate disputes have intensified those anxieties. Meta Platforms Inc. currently faces a lawsuit alleging AI algorithms targeted employees on medical or family leave for layoffs — an assertion Meta denies.
Supported by organized labor, including the California Federation of Labor Unions (AFL-CIO), the measure survived a rocky legislative path. Newsom vetoed an earlier iteration last October over concerns regarding overly broad pre-notification rules. McNerney reintroduced a revised draft in February, removing advance notice requirements and stripping protections for gig workers, which blunted pushback from tech giants like Uber Technologies Inc. and Lyft Inc.
Despite compromises, business groups continued to oppose the measure. The Chamber of Progress argued that the bill fails to clearly define what constitutes “primarily relying” on AI, warning that ambiguity could deter companies from adopting useful technologies.
However, the bill ultimately garnered broad political backing, even earning praise from conservative figures like Republican gubernatorial nominee Steve Hilton, who argued human accountability in management is essential.
California’s new law sets an aggressive legal precedent. While states like Illinois have restricted specific AI uses, California is the first to prohibit automated systems from serving as the sole decision maker for firings and disciplinary actions.
National labor leaders lauded the signing as a decisive victory over corporate lobbying. Similar federal efforts remain stalled in Congress, but California’s framework is expected to spur momentum for similar state-level legislation across the nation.
