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hcamag.com2026-10-05

California forces employers to disclose AI-driven layoffs under new law | Human Resources Director

PolicyLabour

California has enacted SB 951, a law that adds AI-specific disclosure requirements for employers on top of the Cal/WARN Act, according to an article published by Human Resources Director under the headline "California forces employers to disclose AI-driven layoffs under new law." The article states that SB 951 stacks a new AI-specific layer on top of what the Cal/WARN Act already requires, meaning the new obligations sit alongside existing requirements rather than replacing them.

The law introduces the term "technological cessation in hiring." As the article defines it, the term applies when an employer permanently stops hiring for a role because of AI or automation. Under the measure, the state Employment Development Department must publish summaries of AI-displacement notices, and it must deliver a report to the Legislature by January 1, 2028.

The reporting mandate sunsets on January 1, 2029, roughly a year after the report to the Legislature is due. The article identifies the Employment Development Department as the agency responsible for publishing summaries of AI-displacement notices and for the report to the Legislature. The article's headline characterises the law as forcing employers to disclose AI-driven layoffs. The excerpt does not specify penalties for non-compliance, the number of employers covered, when the law takes effect, or the volume of notices the state expects to receive.

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● REC · 2026