Release Date: October 13, 2025

Media Contact: Shubhangi Domokos, [email protected], (916) 934-6963

California Labor Federation Celebrates New Bills Signed into Law, Massively Expanding Workers' Rights in California

Amidst onslaught of federal attacks, California Labor Unions are leading the nation with new advances in workers' rights and decry the Governor's veto of bill regulating AI at work

Sacramento, CA - (Monday, October 13, 2025)- The California Federation of Labor Unions, AFL-CIO is celebrating a banner year with all key priority bills being signed into law by Governor Gavin Newsom, with the exception of Senate Bill 7, model legislation to establish first-ever regulations on artificial intelligence (AI) in the workplace.

While the Trump Administration continues to wreak havoc on workers' right to organize and bargain collectively, the California Federation of Labor Unions, AFL-CIO is leading the nation by driving key legislation that fights back against federal attacks and expands workers' rights across California.

"While President Trump is waging an all-out assault on working people, the California Labor Movement is leading the nation in the fight back against federal attacks with legislation that strengthens workers' right to organize and expands rights for California workers," said Lorena Gonzalez, President of the California Federation of Labor Unions, AFL-CIO, representing 1,300 unions with 2.3 million union members."With this year's bill signings, Governor Newsom recognizes that California is stronger when it's easier for workers to organize and bargain collectively, know their rights at work, and can enforce labor laws against bad employers."

SB 7, the No Robo Bosses Act, is a first-in-the-nation billthat would have prohibited employers from using AI to discipline or fire employees without human oversight. The bill had the backing of both the national labor movementand more than 100 leading academics, including from UC Berkeley, UCLA, Cornell University, Columbia University and the Massachusetts Institute of Technology (MIT).

"As Big Tech companies continue to push employers to adopt AI in the workplace, we're disappointed that California will operate yet another year with absolutely no guardrails for most workers," said Gonzalez, in regards to the veto on SB 7."Vetoing this legislation is out of touch with what the overwhelming majority of working class Americans agree on: We need AI regulations, now. Bosses should have souls."

"We will bring this legislation back every year until all California workers can benefit from strong guardrails on AI in their workplaces," Gonzalez added."We are not backing down to corporate lobbyists or deceptive misinformation campaigns from Big Tech, there is too much at stake for working class Californians."

Governor Gavin Newsom signed other key labor legislation sponsored by the Federation this legislative session, including:

Historic Labor Law Reform to Strengthen the Right to Organize

AB 288, sponsored by the California Federation of Labor Unions, AFL-CIO and the California Teamsters, is a landmark piece of legislation that guarantees a real right to a union for California workers, marking the single biggest victory for the labor movement since the National Labor Relations Act of 1935.

Banning Exploitative Employer Debt Traps in California

AB 692finally bans the exploitative practice of "Employer Debt TRAPS (Training Repayment Agreement Provision)" where a worker is required to pay an alleged debt to their employer or other financial penalty if the worker leaves their job before a period of time designated by the employer. This is a pervasive issue that impacts one in 12 workers who are stuck in exploitative stay-or-pay contracts.

Mandatory Know-Your-Rights Notice to all California Workers

SB 294requires employers to provide workers with a notice of their state and federal labor and civil rights once a year and will require employers to notify a worker's emergency contact should the worker be detained as part of a law enforcement action.

Stronger Enforcement against Employers Committing Wage Theft

SB 261strengthens labor law enforcement by providing tools to enforce wage claim judgments and tripling penalties for employers who persistently refuse to pay workers what they are owed.

Saving Hospitality Jobs

The Legislature passed and the Governor signed into law, SB 93 (2021), which gave recall rights to hospitality, airport service providers, building service, and event center workersto ensure that workers could get their jobs back as businesses reopened after the pandemic shutdowns. AB 858 (Lee) extends hospitality worker recall rights by lifting the sunset to ensure that all workers can get their jobs back as the hospitality and tourism industry slowly recovers.

Limiting Contracting out of Taxpayer-funded Public Services

AB 339adds greater transparency to prevent reckless contracting out by requiring local governments to give the union advance notice of a request for proposals (RFP) or contract renewal for private contractors.

For more information, or to set up an interview with Lorena Gonzalez to discuss the California Federation of Labor Unions' 2025 legislative agenda and what it means for California workers, please contact Shubhangi Domokos, [email protected].

The California Federation of Labor Unions, AFL-CIO represents over 1,300 affiliated unions in California with over 2.3 million union members in trucking, retail, hospitality, janitorial, construction, health care, local and state government, education, arts and entertainment, warehousing and logistics, manufacturing, and a variety of other sectors.

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