Plain English Breakdown
The official text contains repetitive and fragmented phrasing (e.g., 'worker data to train... prohibit an employer from using'), which was smoothed for readability while retaining the core prohibitions.
AB-2027: Rules on Using Worker Data for Artificial Intelligence
This law requires employers and vendors to limit worker data use to what is strictly necessary and bans using that data to train or deploy AI systems designed to replicate, automate, or replace a worker's job.
What This Bill Does
- Requires employers and vendors acting on their behalf to collect and process worker data only as strictly needed for the employment relationship.
- Prohibits employers and vendors from using worker data to train or deploy artificial intelligence systems that replicate, automate, or replace a worker's job.
- Bans employers from selling, disclosing, or providing access to worker personal information to third parties if it will be used to train AI for replicating, automating, or replacing jobs.
- Prohibits vendors under contract with an employer from sharing worker data with third parties or using it to train artificial intelligence systems as specified in the bill.
- Requires contracts between employers and vendors to include terms stating that both are jointly liable for violations of these rules.
- Mandates that vendor contracts require reasonable security procedures to protect worker personal information from unauthorized access.
- Authorizes workers or their representatives to sue for damages, injunctive relief, punitive damages, and legal fees if the law is violated.
- Establishes a statutory penalty of up to $500 per employee for each violation.
Who It Names or Affects
- Employers
- Vendors providing services to employers under contract
- Workers whose personal information or data is collected or used
- The Labor Commissioner and public prosecutors
Terms To Know
- Worker data
- Personal information about a worker as defined by the bill.
- Vendor
- A company or person providing services to an employer under a contract.
- Joint liability
- Both the employer and vendor can be held responsible together for breaking these rules.
Limits and Unknowns
- The bill states it applies to all cities, including charter cities, but no effective date is listed in the provided source material.
- While penalties are set at up to $500 per employee per violation, the specific frequency or calculation method for multiple violations is not detailed beyond 'per each violation'.