SB-1032 • 2026

Staffing agencies: registration.

Crime Education Healthcare Labor

Passed Legislature

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

Sponsor: Reyes
Last action: 2026-04-23
Official status: Read second time and amended. Re-referred to Com. on APPR.
Effective date: Not listed

Plain English Breakdown

The official summary and digest do not specify penalties for businesses that use unregistered staffing agencies, only that registered agencies can take legal action against them.

Staffing Agencies Must Register

The bill requires staffing agencies to register with the Labor Commissioner before doing business in California and sets conditions they must meet.

What This Bill Does

Requires staffing agencies to register with the Labor Commissioner before starting any business activities in California.
Prohibits registration or renewal unless the agency provides proof of workers' compensation insurance for all employees.
Allows the commissioner to deny, suspend, or revoke a registration if an agency does not have proper insurance.
Requires the Labor Commissioner to post a list of registered staffing agencies on their website.

Who It Names or Affects

Staffing agencies operating in California
Businesses that use temporary workers through staffing agencies

Terms To Know

Workers' compensation insurance: Insurance that covers medical expenses and lost wages for employees who get hurt or sick from work.
Labor Commissioner: An official in the Department of Industrial Relations who enforces labor laws.

Limits and Unknowns

Does not specify what happens if a business uses an unregistered staffing agency.
The bill has passed both chambers but its final status is pending executive action.
It does not provide details on how the registration process will work or what information must be included in the application.

Bill History

2026-04-23 California Legislative Information
Read second time and amended. Re-referred to Com. on APPR.
2026-04-22 California Legislative Information
From committee: Do pass as amended and re-refer to Com. on APPR. (Ayes 11. Noes 2.) (April 21).
2026-04-14 California Legislative Information
Set for hearing April 21.
2026-04-08 California Legislative Information
From committee: Do pass and re-refer to Com. on JUD. (Ayes 3. Noes 1.) (April 8). Re-referred to Com. on JUD.
2026-04-06 California Legislative Information
From committee with author's amendments. Read second time and amended. Re-referred to Com. on L., P.E. & R.
2026-03-26 California Legislative Information
Set for hearing April 8.
2026-02-18 California Legislative Information
Referred to Coms. on L., P.E. & R. and JUD.
2026-02-11 California Legislative Information
From printer. May be acted upon on or after March 13.
2026-02-10 California Legislative Information
Introduced. Read first time. To Com. on RLS. for assignment. To print.

Official Summary Text

SB 1032, as amended, Reyes.
Staffing agencies: registration.
Existing law requires a person engaged in certain businesses to register with the Labor Commissioner, as provided.
This bill would require a staffing agency to register, as prescribed, with the commissioner before conducting any business in this state and annually thereafter. The bill would prohibit the commissioner from registering or renewing a registration, unless the staffing agency satisfies certain conditions, including submitting an application that is certified under penalty of perjury to the commissioner for registration or renewal of registration and providing the commissioner proof of a current
workers
workers’
compensation policy in effect for all employees, as provided. By expanding the scope of the crime of perjury, this bill would impose a state-mandated local program.
If the commissioner, at any time, finds that the staffing agency does not have the current
worker’s
workers’
compensation insurance policy in effect for all employees, this bill would require the commissioner to deny, suspend, or revoke the registration, after a hearing, and notify the Director of Industrial Relations of that matter. The bill would also require the commissioner to post a specified list of registered staffing agencies on the internet website of the Department of Industrial Relations. The bill would prohibit a business from using the services of a staffing agency without
verifying that the staffing agency is registered
a registration
pursuant to these provisions. The bill would authorize a registered staffing agency to bring an action against an unregistered staffing agency or a business that uses the services of a staffing agency without
verifying that the staffing agency is registered,
a registration,
as provided, and would authorize the court to enter into an order to enjoin the defendant from engaging in any business as a staffing agency without a registration or using the services of a staffing agency without
verifying that the staffing agency is registered.
a registration.
The bill would authorize the commissioner to promulgate regulations and rules necessary to carry out these provisions.
The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that no reimbursement is required by this act for a specified reason.

Current Bill Text

Read the full stored bill text

Download Bill PDF