Press Release

Senator Reyes Calls for 90-Day Notice and Data Collection on AI-Related Layoffs

Senator Reyes Calls for 90-Day Notice and Data Collection on AI-Related Layoffs

Measure introduced by Inland Empire representative envisions long-term policy solutions to technology-related wage and employment gap

Sacramento, CA — Senator Eloise Gómez Reyes (D–Colton), today introduced legislation requiring employers to provide at least 90 days’ notice to workers and the California Department of Employment Development (EDD) before conducting mass layoffs driven by the development of artificial intelligence (AI). SB 951 is modeled on the California Worker Adjustment and Retraining Notification (WARN) Act and is designed to address the growing economic disruption caused by rapid advances in workplace automation.  

Data collected through the implementation of SB 951 will inform future policymaking on the role of technology in California’s widening wage and opportunity gap. 

“The reach and speed at which AI is transforming our economy is astounding,” said Senator Reyes. “Recent announcements that tens of thousands of jobs will once again be sacrificed to automation is a stark reminder that we cannot rely on CEOs of the richest and most powerful companies in the world to protect workers and communities. Lawmakers must step in to do that work.”

“Billionaire CEOs using technology to replace their workers is nothing new. NAFTA and unchecked deindustrialization devastated working class communities, leading to mass unemployment. Artificial intelligence threatens to do worse. Every passing month, more employers are using AI to automate, erode, and eliminate jobs with zero oversight,” said Lorena Gonzalez, President of California Federation of Labor Unions, AFL-CIO. “We need data on which jobs and industries are impacted by AI layoffs and hiring freezes and what tools are being used to replace workers. SB 951 will track the real impact AI is having on workers’ livelihoods and help rein in automation before it devastates another generation of workers.” 

SB 951 would require employers to provide written notice at least 90 days in advance to affected workers, local governments, and EDD when AI-related layoffs or hiring reductions impact 25 or more workers – or 25 percent of the workforce, whichever is less. While the existing WARN Act requires 60 days’ notice for industry-related layoffs, SB 951 modernizes these protections for the AI era by extending the notice period and granting affected employees right to bid on available positions within the company to help mitigate job loss. 

The bill also requires EDD to submit quarterly reports to the Legislature detailing data collected under SB 951, ensuring transparency and accountability as AI adoption accelerates. 

SB 951 was introduced on February 2 and will be assigned to policy committees for analysis and hearing dates in the coming days. To learn more about Reyes, visit https://sd29.senate.ca.gov/.