Duane Morris LLP – California State Agencies Ordered to Study the Impact of AI in Employment
Duane Morris LLP – California State Agencies Ordered to Study the Impact of AI in Employment
Publish Date: 2026-05-28 16:09:00
Source Domain: www.duanemorris.com
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Executive Order N-6-26: California Governor Gavin Newsom signed the executive order on May 21, 2026, focusing on studying, managing, and mitigating the workforce impacts of artificial intelligence (AI) and other emerging technologies.
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Future Legislative Impact: The studies and recommendations under the executive order will likely inform future legislation and rulemaking, potentially affecting employer obligations despite not imposing direct mandates currently.
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Key Components and Timelines:
- EDD Reporting: Launch a public dashboard by August 19, 2026, to report on AI’s impact on employment, especially in hiring and workforce decisions.
- Research Studies: Conduct reviews on AI’s labor market impacts and collect data by August 19, 2026, on potential workforce disruptions.
- Collective Bargaining Review: Assess how collective bargaining incorporates technology adoption, with results expected by October 15, 2026.
- WARN Act Review: Evaluate and recommend revisions to the California Worker Adjustment and Retraining Notification (WARN) Act by November 17, 2026.
- Workforce Displacement Study: Review safety net policies for displaced workers by November 17, 2026.
- Workforce Training: Review and enhance programs to fit growing industries, with an “AI playbook” development.
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Pending Legislation (SB 951): This bill might require advanced notice for technological displacement and written notice of AI-induced hiring cessation.
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Implications for Employers: Future changes may include revised WARN notice requirements, scrutiny of AI-related hiring decisions, and evolving expectations around severance and displacement benefits.
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Best Practices: Employers should document AI-related workforce decisions, conduct adverse impact analyses, and ensure compliance with current laws in their AI tools and vendors.
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Continued Monitoring: The effects of this executive order and related studies will be closely watched for further updates and implications.
