As California employers head into another year of compliance planning, the Golden State legislature has not slowed down. From higher wage thresholds and expanded pay-equity rules to sweeping changes affecting AI use, layoffs, and worker mobility, the coming year brings a slate of employment law updates that HR, legal, and business leaders may want to pay close attention to. Here’s a summary of notable changes coming in 2026 (and some that have already gone into effect).¹