California Employment Law Updates for 2026

Author, Jadyn Brandt, Client Communications Coordinator, Rancho Mesa Insurance Services, Inc.

As California’s 2025 legislative session comes to a close, changes are coming to the state’s employment law landscape.

Governor Gavin Newsom has made his final decisions on a number of bills which introduce changes to workers’ rights, paid family leave, and recovery of lost wages, among others.

Some of the changes employers should be aware of for 2026 include:

Workplace Rights (SB 294)

Beginning February 1, 2026, Senate Bill 294 requires employers to provide an annual written notice informing employees of their rights, and requires an employer to notify the employee’s emergency contact if they are arrested or detained while at work.

Paid Family Leave (SB 590)

Beginning July 1, 2028, employees will be eligible to receive paid family leave benefits to care for a seriously ill “designated person” which can refer to any blood relative or someone who is deemed the equivalent of family although not related by blood.

Wages and Equal Pay Act (SB 642)

Senate Bill 642 updates the definition of “pay scale” in job postings, redefining it to mean “a good faith estimate of the salary or hourly wage range that the employer reasonably expects to pay for the position upon hire.”

This law also extends the statute of limitations for pay discrimination claims to three years and allows potential recovery of lost wages for up to six years.

Personnel Records (SB 513)

Senate Bill 513 expands the definition of personnel records to include training details. This includes certifications obtained from training, the name of the training provider, and the skills covered in the training.

Before these new laws take effect, California employers should begin reviewing workplace policies and procedures to stay compliant. Employers can take advantage of Rancho Mesa’s RM365 HRAdvantage™ to build and update a compliant employee handbook, create policies using sample documents, and receive alerts as laws change.

The laws in this article are only some of the changes employers will need to be aware of in 2026. For a comprehensive discussion of the most important changes to California’s employment laws, register for Rancho Mesa’s 2026 Employment Law Update workshop, happening on Friday, November 21st, 2025 from 10:30 A.M. to 12:00 P.M. at the Mission Valley Library.