California Employment Laws 2026: What Kern County Employers Need to Know Before 2027

A practical roundup of the state labor laws that apply in Bakersfield and across Kern County, California, from the $16.90 minimum wage to the AI and surveillance bills Gov. Gavin Newsom signed in September 2026.

California employment laws 2026 give Kern County employers a $16.90 statewide minimum wage, a $70,304 exempt salary floor, five days of paid sick leave, written workplace violence prevention plans, pay scales in job postings and an annual Know Your Rights notice. Bills signed by Sept. 30, 2026 add a $17.40 minimum wage on Jan. 1, 2027 and new limits on AI-driven discipline and workplace surveillance.

California employment law at a glance

ItemDetail
ScopeState laws enacted 2022 to 2026 that apply to private employers in Kern County
2026 minimum wage$16.90 per hour for all employers (since Jan. 1, 2026)
2027 minimum wage$17.40 per hour from Jan. 1, 2027 (announced July 31, 2026)
Exempt salary floor$70,304 in 2026; $72,384 in 2027
Local minimum wagesNone in Kern County cities
Enforced byLabor Commissioner, Cal/OSHA, Civil Rights Department, Labor and Workforce Development Agency (PAGA), CalSavers
New in 2026SB 294 Know Your Rights notice; SB 642 pay scale rules
Signed Sept. 2026SB 947, AB 1331, SB 951, SB 1149, AB 2646, SB 1237, AB 1697
StatusAll listed laws enacted; most 2026 bills take effect Jan. 1, 2027
What to watchCal/OSHA permanent workplace violence standard due by Dec. 31, 2026; agency guidance on 2027 laws

Key takeaways

  • California’s minimum wage is $16.90 an hour in 2026 and rises to $17.40 on Jan. 1, 2027. That lifts the exempt salary floor from $70,304 to $72,384.
  • Since July 1, 2024, SB 553 has required most California employers to keep a written workplace violence prevention plan. SB 616 has required 40 hours or five days of paid sick leave since Jan. 1, 2024.
  • SB 294 required employers to give every employee a Workplace Know Your Rights notice by Feb. 1, 2026, and annually after that.
  • AB 1697, signed Sept. 30, 2026, narrows California’s stay-or-pay ban (AB 692) to contracts entered into on or after Jan. 1, 2027.
  • SB 947, the No Robo Bosses Act (Chapter 859, Statutes of 2026), bars employers from relying solely on automated decision systems to discipline or fire workers. Its operative date is July 1, 2027.

Which California employment laws matter most in Kern County in 2026?

Kern County employers follow the same state labor code as employers in Los Angeles or San Francisco, without local add-ons. The UC Berkeley Labor Center’s inventory of local minimum wage ordinances lists 42 California cities and counties with their own rates, and none of them is in Kern.

The table lists the laws from 2022 through 2026 that most often trip up industrial, agricultural, logistics and retail employers here. Every item is enacted law or an adopted regulation, not a proposal.

Core California employment rules in effect in 2026

LawWhat it requiresEffectiveWho it covers
State minimum wage (Labor Code 1182.12)$16.90 per hour; adjusted yearly for inflation, capped at 3.5%Jan. 1, 2026 rateAll employers
Exempt salary test (Labor Code 515)Salary of at least twice the state minimum wage for full-time work: $70,304Jan. 1, 2026 levelExempt executive, administrative and professional staff
SB 616 paid sick leave40 hours or 5 days a year; accrual cap may be set at 80 hours or 10 daysJan. 1, 2024Nearly all employers
SB 553 (Labor Code 6401.9)Written workplace violence prevention plan, training, violent incident logJuly 1, 2024Most employers; health care has a separate standard
Title 8, section 3396Indoor heat illness prevention plan, cool-down areas, measurements, controlsJuly 23, 2024Indoor workplaces at 82 F or above
SB 1162 and SB 642Pay scale in job postings; annual pay data reportsJan. 1, 2023; SB 642 changes Jan. 1, 2026Postings: 15+ employees; pay data: 100+ employees or 100+ labor contractor workers
AB 1076 and SB 699Noncompetes void; notice to affected workersJan. 1, 2024 (notice by Feb. 14, 2024)All employers
AB 2288 and SB 92 (PAGA reform)Penalty caps for employers that comply; plaintiff standing limitsPAGA notices filed on or after June 19, 2024All employers
CalSaversOffer a qualified retirement plan or register for CalSaversFinal deadline Dec. 31, 2025Employers with 1 or more employees and no plan
SB 294Annual Workplace Know Your Rights noticeFeb. 1, 2026, then annuallyAll employers

What is the California minimum wage in 2026 and 2027?

The statewide minimum wage is $16.90 per hour in 2026 and rises to $17.40 on Jan. 1, 2027. The Labor Commissioner’s minimum wage FAQ states that the $16.90 rate applies to all employers effective Jan. 1, 2026. On July 31, 2026, Department of Finance Director Joe Stephenshaw announced the 2027 rate, a 2.99% inflation adjustment, according to CalChamber.

The exempt salary test moves with it. Labor Code section 515 requires exempt employees to earn at least twice the state minimum wage for full-time work. That makes the floor $70,304 in 2026 and $72,384 ($6,032 a month) in 2027. A salaried supervisor who meets the duties test but earns less is owed overtime.

Some industries have higher floors. Covered fast food chains pay at least $20 an hour under AB 1228, covered in our fast food minimum wage guide, and health care facilities follow SB 525 schedules. Starting Jan. 1, 2027, AB 2646 (Chapter 956, Statutes of 2026) adds Labor Code section 1208. It sets a $19.75 hourly minimum for nonresident temporary or seasonal farmworkers admitted through an approved application process, and for California residents doing the same or substantially similar work for the same employer in the same county. The bill adjusts that wage each January, beginning Jan. 1, 2027, by the Social Security cost-of-living adjustment. The actual 2027 rate may therefore land above $19.75.

Which 2023 to 2025 employment laws still drive compliance?

Paid sick leave, workplace violence plans, pay transparency, noncompete notices, PAGA reform and CalSavers are now routine audit items for the Labor Commissioner, Cal/OSHA and plaintiffs’ lawyers. Each is summarized below.

Paid sick leave (SB 616)

SB 616 raised the annual paid sick leave minimum from three days or 24 hours to five days or 40 hours starting Jan. 1, 2024, per the Labor Commissioner. Employers may cap total accrual at 80 hours or 10 days. Accrual plans must give at least one hour for every 30 hours worked.

Workplace violence prevention plans (SB 553)

Labor Code section 6401.9, added by SB 553 and enforced by Cal/OSHA since July 1, 2024, requires a written workplace violence prevention plan, employee training, a violent incident log kept at least five years, and hazard records. The main exemption covers sites with fewer than 10 employees present at any time that are closed to the public and comply with the general injury and illness prevention program rule. The Standards Board must adopt a permanent general industry standard by Dec. 31, 2026, so 2024 plans may need updating.

Pay transparency and pay data (SB 1162, SB 642)

Employers with 15 or more employees must put a pay scale in every job posting, and the Labor Commissioner reads that to cover any position that may be filled in California. SB 642 defines the pay scale, effective Jan. 1, 2026, as a good faith estimate of the pay range the employer reasonably expects to pay on hire. It also extends the Equal Pay Act filing period from two to three years, with recovery of up to six years, according to CalChamber.

Private employers with 100 or more payroll employees, or 100 or more workers hired through labor contractors, file annual pay data reports with the Civil Rights Department. The 2025 report was due May 13, 2026. SB 464, passed in 2025, expands the job categories from 10 to 23 effective Jan. 1, 2027. SB 1237, signed in September 2026, raises the penalty for repeat failures to file from $200 to $1,000 per employee, per CalChamber.

Noncompete agreements (AB 1076, SB 699)

California has long voided most employee noncompetes. AB 1076 added Business and Professions Code section 16600.1. It required employers to send individualized written notice by Feb. 14, 2024 to current employees, and to former employees employed after Jan. 1, 2022, whose agreements contained a noncompete clause, telling them the clause is void, according to Ogletree Deakins. SB 699 strengthened the ban and expanded employees’ ability to challenge noncompetes in court.

PAGA reform (AB 2288, SB 92)

Newsom signed the PAGA reform package on July 1, 2024, and it applies to cases where the PAGA notice was filed on or after June 19, 2024, according to K&L Gates. Plaintiffs must now have personally experienced the violations they allege. Aggrieved employees receive 35% of penalties instead of 25%. Penalties are capped at 15% for employers that took all reasonable steps to comply before notice, or 30% for those that comply within 60 days after notice, per Liebert Cassidy Whitmore. Employers with fewer than 100 employees can also submit a cure proposal to the state’s Labor and Workforce Development Agency within 33 days of a notice.

CalSavers retirement mandate

Employers with at least one employee that do not offer a qualified retirement plan had to register with CalSavers or certify an exemption by Dec. 31, 2025, the program’s final deadline. Late employers face enforcement action.

What changed for California employers on Jan. 1, 2026?

SB 294, the Workplace Know Your Rights Act, required employers to give each employee a written notice by Feb. 1, 2026, and annually after that, using a template from the Labor Commissioner. The notice covers workers’ compensation, immigration-related protections, rights when dealing with law enforcement and the right to act together on working conditions. Employers must keep compliance records for three years, according to CalChamber.

SB 642’s pay scale changes also took effect, along with SB 513 (training records in personnel files) and SB 617 (more content in CalWARN layoff notices).

The biggest January change turned out to be temporary. AB 692 made it unlawful to require a worker to repay a bonus, training cost or similar sum for leaving before a set period, for contracts entered into on or after Jan. 1, 2026, with limited exceptions. On Sept. 30, 2026, Newsom signed AB 1697 (Kalra). It amends Business and Professions Code section 16608 and Labor Code section 926 so the ban applies only to contracts entered into on or after Jan. 1, 2027.

What new California employment laws take effect Jan. 1, 2027?

Most of the measures signed in 2026 take effect Jan. 1, 2027. The governor’s deadline to act on 2026 bills was Sept. 30, 2026. The signed measures below matter most to Kern employers, drawing on CalChamber’s summary of new 2027 employment laws published Oct. 1, 2026.

Employment changes signed or announced in 2026

LawWhat it doesEffectiveNotes
Minimum wage adjustment$17.40 per hour; exempt salary floor $72,384Jan. 1, 2027Announced July 31, 2026
SB 947 (McNerney)No Robo Bosses Act: no relying solely on an automated decision system to discipline or fire; human review and post-use noticeJuly 1, 2027Labor Commissioner enforces; $500 per violation
AB 1331 (Elhawary)Limits workplace surveillance tools, including monitoring in bathroomsJan. 1, 2027Civil penalties up to $500 per violation
SB 951 (Reyes)Extra CalWARN notice content when layoffs are caused in whole or substantial part by AI or automationJan. 1, 2027Only for WARN-covered events
SB 1149 (Durazo)Bereavement leave covers a designated person, not just listed relativesJan. 1, 2027Amends Gov. Code 12945.7
AB 2646 (Krell), Chapter 956$19.75 minimum for nonresident seasonal farmworkers and corresponding resident workersJan. 1, 2027Annual Social Security COLA increases begin Jan. 1, 2027
SB 1237 (Blakespear)Higher penalty for repeat pay data reporting failuresJan. 1, 2027Amends Gov. Code 12999
SB 464 (2025)Pay data reports expand from 10 to 23 job categoriesJan. 1, 2027Enacted in 2025
AB 1697 (Kalra)Stay-or-pay ban reaches only contracts entered on or after Jan. 1, 2027Signed Sept. 30, 2026Amends AB 692

SB 947 is the most operational change. Under the chaptered text, employers may not rely solely on an automated decision system to discipline or fire, and must give a plain-language notice when one was primarily used. Ogletree Deakins notes the governor vetoed a similar bill in 2025. The chaptered text, as published by LegiScan, makes the new part of the Labor Code operative on July 1, 2027, six months after most of the 2026 measures.

CalChamber’s list also includes AB 1883 (emotion-recognition and neural data limits on surveillance tools), AB 2495 (immigration-related retaliation), AB 2563 (FEHA definition of sex), AB 2155 (arbitration) and AB 1803 (hate speech content in harassment training, effective Jan. 1, 2028).

How do these employment laws affect Kern County’s industrial, ag and logistics employers?

Kern’s employer base leans toward the industries these laws reach hardest. A Q2 2026 Bakersfield industrial brokerage report put metro unemployment at 8.5%, so labor is available, but compliance costs travel with every hire.

  • Warehouses and distribution centers: AB 701’s quota disclosure rules apply to large warehouse distribution centers (see our AB 701 guide). Title 8, section 3396 requires heat controls when indoor temperatures reach 82 F, with engineering controls at 87 F. Our Cal/OSHA indoor heat rule article covers what owners and tenants must do.
  • Trucking and logistics: AB 5’s ABC test decides whether owner-operators are employees or contractors. See AB 5 for trucking.
  • Agriculture: Farm employers face phased-in overtime under AB 1066, card-check rules under AB 2183, and in 2027 the AB 2646 wage floor for nonresident seasonal crews and their resident counterparts. Our farmworker overtime article has the details.
  • Restaurants and retail: The $20 fast food minimum wage under AB 1228 sits above the $16.90 state rate.

What do California employment laws mean for commercial real estate in Kern County?

For most occupiers, operating costs dwarf rent, so a wage or compliance change can move a site decision more than a rent gap of a few cents per square foot. A 2021 brokerage supply chain advisory estimate put transportation at about half of an occupier’s total logistics spend, and up to 70% in some cases, while fixed facility costs including real estate made up only 3% to 6%.

That math helps Kern. Employers here pay the same state minimum wage as coastal metros, but occupancy is cheaper. Brokerage reports put the Bakersfield average industrial asking rent at $0.71 per square foot per month NNN in Q2 2026. The national Q2 2026 brokerage report put the U.S. average at $10.32 per square foot per year, about $0.86 a month. Our guide to why Kern County works for logistics covers the location advantages.

Employment rules also show up in buildings: cool-down areas kept below 82 F, access control and lighting for violence prevention, and enough break rooms and restrooms for quota rules. Tenants should settle who pays for legally required HVAC or ventilation upgrades in the compliance-with-laws clause before signing.

For landlords, the exposure is tenant credit. Rising wage floors squeeze thin-margin tenants such as quick-service restaurants and labor-heavy logistics firms.

Kern County employer checklist for 2026 and 2027

  • Set hourly pay to at least $17.40 and exempt salaries to at least $72,384 for the first payroll period on or after Jan. 1, 2027.
  • Update the workplace violence prevention plan, incident log and training when Cal/OSHA’s permanent standard arrives, due by Dec. 31, 2026.
  • Repeat the Workplace Know Your Rights notice each year and keep proof of distribution for three years.
  • Include a pay scale in every job posting. If you have 100 or more employees, prepare for 23 job categories in pay data reports.
  • Inventory software used for productivity scoring or discipline, and add human review and notices before the SB 947 start date.
  • Audit cameras, tracking apps and monitoring tools under AB 1331, especially anything near restrooms.
  • Revisit retention bonus and training repayment agreements in light of AB 1697’s Jan. 1, 2027 date.
  • Farm employers: budget for AB 2646’s wage floor for nonresident seasonal crews and matching resident workers.

Illustrative example: what the 2027 wage change costs a 60-person Bakersfield warehouse

These numbers are illustrative only. Assume a Bakersfield distribution tenant has 50 full-time hourly workers paid exactly the state minimum and 10 salaried exempt supervisors paid exactly the salary floor, each working 2,080 hours a year. Payroll taxes, benefits and pay compression would add more.

For scale, a 100,000-square-foot building at the Q2 2026 Bakersfield average asking rent of $0.71 per square foot per month NNN would cost about $852,000 a year in base rent. The one-year wage change in this example equals roughly 8.5% of that rent bill.

Illustrative wage cost, 2026 vs. 2027

Item20262027Change
Minimum hourly rate$16.90$17.40+$0.50
Annual wages per full-time hourly worker$35,152$36,192+$1,040
50 hourly workers$1,757,600$1,809,600+$52,000
Exempt salary floor per supervisor$70,304$72,384+$2,080
10 supervisors at the floor$703,040$723,840+$20,800
Total wages (before taxes and benefits)$2,460,640$2,533,440+$72,800

Frequently asked questions

What is the minimum wage in Bakersfield in 2026?

Bakersfield follows the statewide minimum wage of $16.90 per hour, which applies to all employers regardless of size. No Kern County city appears on the UC Berkeley Labor Center’s list of local minimum wage ordinances. The state rate rises to $17.40 on Jan. 1, 2027. Covered fast food chains must pay at least $20, and some health care employers follow higher SB 525 rates.

What is the California exempt salary threshold for 2026 and 2027?

An exempt executive, administrative or professional employee must earn at least twice the state minimum wage for full-time work. That is $70,304 a year in 2026 and $72,384 ($6,032 a month) from Jan. 1, 2027. The employee must also pass the duties test, and a salaried worker paid below the floor is owed overtime.

Does my business need a workplace violence prevention plan?

Most California employers have needed one since July 1, 2024, under Labor Code section 6401.9. The plan covers hazard assessment, reporting, training, emergency response and post-incident review, and employers must keep a violent incident log. A narrow exemption exists for sites with fewer than 10 employees present that are closed to the public. Cal/OSHA enforces the rule.

What is the Workplace Know Your Rights notice?

It is a written notice of workplace rights that SB 294 requires employers to give each employee. Topics include workers’ compensation, immigration-related protections, dealings with law enforcement and the right to act together on working conditions. Employers use the Labor Commissioner’s template, started in February 2026, repeat it each year and keep compliance records for three years.

Can California employers still use training repayment or stay-or-pay agreements?

AB 692 banned most agreements that make workers repay bonuses, training costs or similar sums for leaving early. AB 1697, signed Sept. 30, 2026, moved the ban’s start so it reaches only contracts entered into on or after Jan. 1, 2027. Wage and noncompete rules still limit repayment terms, and a California employment attorney can review any agreement against them.

What is California’s No Robo Bosses Act?

SB 947 (Chapter 859, Statutes of 2026) was signed Sept. 30, 2026. It bars employers from relying solely on an automated decision system to discipline or fire workers. When a system is primarily used, a person must review the decision and the worker must get a plain-language notice. The Labor Commissioner enforces it, with $500 civil penalties per violation. Its operative date is July 1, 2027.

Do small employers have to offer CalSavers?

Yes, if they have at least one employee and offer no qualified retirement plan such as a 401(k). The final registration or exemption deadline, which reached the smallest employers, was Dec. 31, 2025. CalSavers says employers out of compliance must register right away or face enforcement action.

If wage, heat or quota rules are changing what your operation needs from a building, we can help you compare Kern County sites and lease terms with those labor costs in view. Call Kern CRE at 855-KERN-CRE (855-537-6273) or contact us. Get Kern County CRE news monthly: subscribe to the Kern CRE report.

Sources

  1. Minimum Wage Frequently Asked Questions, California Labor Commissioner (DIR), December 2025.
  2. 2027 California Minimum Wage Increasing to $17.40/Hour, CalChamber HRWatchdog, Aug. 3, 2026.
  3. New 2026 Labor and Employment Laws, CalChamber HRWatchdog, Oct. 15, 2025.
  4. New 2027 Employment Laws, CalChamber HRWatchdog, Oct. 1, 2026.
  5. California Paid Sick Leave: Frequently Asked Questions, California Labor Commissioner (DIR), updated Dec. 31, 2025.
  6. Workplace Violence Prevention in General Industry, Cal/OSHA (DIR).
  7. Title 8, California Code of Regulations, Section 3396: Heat Illness Prevention in Indoor Places of Employment, Cal/OSHA (DIR), operative July 23, 2024.
  8. California Equal Pay Act Frequently Asked Questions, California Labor Commissioner (DIR).
  9. Pay Data Reporting, California Civil Rights Department.
  10. Reminder for Employers: February 14 Deadline for California Employers to Notify Employees Noncompete Agreements Are Void, Ogletree Deakins, Feb. 1, 2024.
  11. Private Attorneys General Act (PAGA), California Labor and Workforce Development Agency.
  12. UPDATE: California Legislature Amends PAGA Statute through Assembly Bill 2288 and Senate Bill 92, K&L Gates, July 11, 2024.
  13. AB 2288 and SB 92: Private Attorneys General Act (PAGA) Reform, Liebert Cassidy Whitmore, Oct. 25, 2024.
  14. CalSavers home page: employer registration deadline, CalSavers Retirement Savings Program.
  15. California AB 1697 (2025-2026): Employment contracts: stay-or-pay provisions, LegiScan, chaptered Sept. 30, 2026.
  16. California SB 947 (2025-2026): Employment: automated decision systems, LegiScan, chaptered Sept. 30, 2026.
  17. California AB 1331 (2025-2026): Workplace surveillance, LegiScan, chaptered Sept. 30, 2026.
  18. California SB 951 (2025-2026): Employment: technological displacement: notice, LegiScan, chaptered Sept. 30, 2026.
  19. California SB 1149 (2025-2026): Employees: bereavement leave, LegiScan, chaptered Sept. 2026.
  20. AB 2646: Employment: minimum wages: agricultural workers, CalMatters Digital Democracy, chaptered Sept. 30, 2026.
  21. California SB 1237 (2025-2026): Civil Rights Department, LegiScan, chaptered Sept. 30, 2026.
  22. California Governor Signs 3 Bills Targeting AI and Workplace Surveillance, Ogletree Deakins, Oct. 1, 2026.
  23. Inventory of US City and County Minimum Wage Ordinances, UC Berkeley Labor Center, 2026.
  24. U.S. MarketFlash: Rising Transportation Costs Help Fuel Record Warehouse Leasing Pace, CBRE, Sept. 13, 2021.
  25. Bakersfield Industrial MarketBeat Q2 2026, Cushman & Wakefield, Q2 2026.
  26. U.S. Industrial MarketBeat Q2 2026 (news release), Cushman & Wakefield, July 17, 2026.

About this article

Kern CRE prepared this article with help from AI research and writing tools. An editor reviewed the draft, checked its facts against the sources linked above and edited it for accuracy and clarity. It is general information, not legal, tax, investment or financial advice; talk with a qualified professional about your situation.

Get the Kern CRE Report

One email a month: the economic numbers that move commercial real estate, Kern County market statistics, and the deals and news shaping business here.

Free. Unsubscribe anytime.