California bans AI-only decisions to fire employees

California Governor Gavin Newsom signed SB 947, which bars employers from relying solely on automated decision systems, including AI, to fire or discipline workers. The first law of its kind in the US requires disclosure of AI use to the employee and a human reviewer for AI-driven termination decisions.

• SB 947 bans AI as the sole tool for firing or disciplining workers
• Employers must disclose AI use and personal data given to the model
• AI-driven termination decisions require a human reviewer with corroborating evidence
• The law covers all California employers; gig workers are excluded