California Legislative Update: Legislature's Pens Down, Governor Gets to Work
Briefly

California Legislative Update: Legislature's Pens Down, Governor Gets to Work
"The California Legislature concluded its 2024-2025 session in the wee hours of September 13, 2025, and sent the last of its approved bills to Governor Newsom for consideration. The Governor has until October 13 to approve or veto a variety of bills impacting employers in California. The California Legislature put pencils down on September 13, 2025, and sent the last of its approved bills to Governor Newsom, who has until October 13 to decide which employment bills will become laws effective January 1, 2026."
"According to Chris Micheli, about 1/3 of the almost 2,400 bills introduced this Session between the Senate and Assembly passed the Legislature and made their way to the Governor's desk. The most significant bills for his consideration impacting employers address regulation of employers' use of automated decision systems, extensions of meal and rest period exemptions for certain industries, policing tip theft, pay equity, and immigration rights."
"AB 751, signed into law on July 14, 2025, indefinitely extends the exemption from rest period requirements for safety-sensitive positions at a petroleum facility and specifies that the exemption also applies to employees who hold a safety-sensitive position at a refinery that produces fuel through the processing of alternative feedstock. The exemption was previously slated to sunset on January 1, 2026."
Legislative action concluded on September 13, 2025, and approved bills were transmitted to Governor Newsom, who has until October 13 to approve or veto them. Bills that become law will generally be effective January 1, 2026. About one-third of the nearly 2,400 bills introduced during the session passed the Legislature and reached the Governor's desk. Key employer-related measures address regulation of automated decision systems, extensions of meal and rest period exemptions for certain industries, enforcement against tip theft, pay equity, and immigration rights. AB 751, signed July 14, 2025, indefinitely extends rest period exemptions for safety-sensitive petroleum facility positions. SB 648, signed July 30, 2025, authorizes the Labor Commissioner to investigate and pursue action for gratuities taken or withheld.
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