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AB-2027 • 2026

Worker data: prohibitions: artificial intelligence.

Worker data: prohibitions: artificial intelligence.

Labor Technology
Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
Ward
Last action
2026-05-14
Official status
In committee: Held under submission.
Effective date
Not listed

Plain English Breakdown

The official summary does not explicitly state that the bill defines all three terms ('employer,' 'worker data,' and 'personal information'). It only mentions defining 'terms for these provisions, including “employer” and “worker data.”'

Rules for Employers on Using Worker Data with AI

This law sets rules for employers and vendors about collecting worker data and using it with artificial intelligence (AI). It stops them from using this information to replace workers' jobs or share it with others without permission.

What This Bill Does

  • Requires employers and their partners to only collect worker data when strictly necessary for work-related tasks.
  • Prohibits employers or vendors from using worker data to train AI that can replicate, automate, or replace a person's job.
  • Forbids selling or sharing worker data with third parties to create AI systems that could replace workers' jobs.
  • Makes sure contracts between employers and service providers include rules about protecting worker data from misuse.
  • Defines important terms like 'employer,' 'worker data,' and 'personal information.'

Who It Names or Affects

  • Employers who collect or use worker data.
  • Vendors working with employers to manage worker data.

Terms To Know

Worker Data
Information about employees that is collected and used by their employer.
Vendor
A company or person who provides services to an employer, such as managing worker data.

Limits and Unknowns

  • The bill does not specify what happens if employers do not follow the rules.
  • It is unclear how strictly 'strictly necessary' will be interpreted when collecting and using worker data.
  • The penalties for breaking these rules are set at $500 per employee, but it's not clear why this amount was chosen.

Bill History

  1. 2026-05-14 California Legislative Information

    In committee: Held under submission.

  2. 2026-05-06 California Legislative Information

    In committee: Set, first hearing. Referred to APPR. suspense file.

  3. 2026-04-22 California Legislative Information

    From committee: Do pass and re-refer to Com. on APPR. (Ayes 10. Noes 3.) (April 21). Re-referred to Com. on APPR.

  4. 2026-04-16 California Legislative Information

    In committee: Set, first hearing. Hearing canceled at the request of author.

  5. 2026-04-13 California Legislative Information

    Re-referred to Com. on P. & C.P.

  6. 2026-04-09 California Legislative Information

    From committee chair, with author's amendments: Amend, and re-refer to Com. on P. & C.P. Read second time and amended.

  7. 2026-04-09 California Legislative Information

    From committee: Do pass and re-refer to Com. on P. & C.P. (Ayes 5. Noes 0.) (April 8). Re-referred to Com. on P. & C.P.

  8. 2026-03-17 California Legislative Information

    Re-referred to Com. on L. & E.

  9. 2026-03-16 California Legislative Information

    From committee chair, with author's amendments: Amend, and re-refer to Com. on L. & E. Read second time and amended.

  10. 2026-03-16 California Legislative Information

    Referred to Coms. on L. & E., P. & C.P. and JUD.

  11. 2026-02-18 California Legislative Information

    From printer. May be heard in committee March 20.

  12. 2026-02-17 California Legislative Information

    Read first time. To print.

Official Summary Text

AB 2027, as amended, Ward.
Worker data: prohibitions: artificial intelligence.
Existing law establishes the Division of Labor Standards Enforcement within the Department of Industrial Relations. Existing law authorizes the division, which is headed by the Labor Commissioner, to enforce the Labor Code and all labor laws of the state, the enforcement of which is not specifically vested in any other officer, board, or commission.
This bill would
require an employer, or a vendor acting on behalf of an employer, to collect and process worker data only as strictly necessary to administer the employment relationship and fulfill specific obligations. The bill would prohibit an employer or vendor from using a worker data to train or deploy artificial intelligence to, among other things, replicate, automate, or replace a worker’s job, and to prohibit an employer or vendor from deploying artificial intelligence trained with worker
data
prohibit an employer from using a worker’s personal information, as defined, to train an artificial intelligence system
to replicate, automate, or replace a worker’s
job. The bill
job, and
would prohibit an employer from selling, disclosing, or otherwise providing access to
worker data to a third party to train an artificial intelligence system for the purposes of replicating, automating, or replacing
a worker’s personal information to a third party for the purpose of training an artificial intelligence system to replicate, automate, or
replace
a worker’s job. The bill would prohibit a vendor providing services to an employer under a contract from providing access to the
personal information of an
employer’s worker
data
to a third party or using
an
the personal information of an
employer’s worker
data
to train artificial intelligence, as specified. The bill would require a contract between an employer and vendor to include
specific terms, including, among others, a provision that the employer and vendor be jointly liable for a violation of these prohibitions.
a requirement that the vendor implement and maintain reasonable
security procedures to protect the worker’s personal information from, among other things, unauthorized or illegal access.
The bill would define terms for these provisions, including “employer” and
“worker data.”
“personal information.
”
The bill would require the Labor Commissioner and authorize a public prosecutor to enforce these provisions. The bill would authorize a worker, or their exclusive representative, who suffered a violation of these provisions to bring a civil action for damages, injunctive relief, punitive damages, and attorney’s fees and costs. The bill would establish a statutory penalty for a violation of these provisions of up to
$500
per employee
for each violation.
The bill would include findings that changes proposed by this bill address a matter of statewide concern rather than a municipal affair and, therefore, apply to all cities, including charter cities.

Current Bill Text

Read the full stored bill text
Download Bill PDF