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As we previously reported, on September 19, 2025, the California legislature sent SB 7, the "No Robo Bosses Act" to Governor Newsom for signature. On October 13, 2025, Governor Newsom vetoed the Act, explaining in a press release that while he shared concerns about the use of AI by employers, the bill "proposes overly broad restrictions on how employers may use [automated decision systems] tools." Governor Newsom also explained that he believed certain uses of AI by employers were already "partially covered" by the forthcoming California Privacy Protection Agency regulations but did not elaborate further on the scope of potential coverage. While SB 7 is now off the table, it is possible that California lawmakers will go back to the drawing board to try and revise the bill to align with some of the reservations noted by the Governor. We will continue to follow this and other AI-related legislation.
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