California’s statewide minimum wage increases from $16.50 to $16.90 per hour, a 40-cent increase adjusted for inflation based on the Consumer Price Index.

Employers cannot deduct credit card processing fees from employee tips. Tips paid by credit card must be paid to employees no later than the next regular payday.

Employers ordering mass layoffs, relocations, or terminations must include in their notice whether they plan to coordinate services through the local workforce development board.

California completely eliminates plastic checkout bags at grocery stores, pharmacies, and retail stores. This closes the loophole that allowed thicker “reusable” plastic bags.

Apps like DoorDash, Uber Eats, and Grubhub must provide full refunds to customers when orders are not delivered or are delivered incorrectly.

Businesses must notify California residents of data breaches within 30 calendar days of discovery. Previously, there was no specific deadline.

Streaming platforms like Netflix, YouTube, and Peacock cannot play commercials at a louder volume than the content being watched—a digital version of the federal CALM Act.

Credit unions must cap overdraft fees at $14, protecting consumers from excessive penalties when account balances dip too low.

Large group health insurers must cap insulin copays at $35 for a 30-day supply, providing significant relief for the approximately 4 million Californians with diabetes.

California becomes the first state to require restaurants to list major food allergens on their menus, including milk, eggs, fish, shellfish, tree nuts, peanuts, wheat, soybeans, and sesame.

The Community Assistance, Recovery, and Empowerment Act expands eligibility to include individuals with bipolar I disorder with psychotic features, providing access to behavioral health care and housing services.

Possessing key programming devices, key duplicating devices, or signal extenders with intent to commit burglary becomes a misdemeanor punishable by up to 6 months in jail and/or a $1,000 fine.

Electric bicycles must have a red reflector or solid/flashing red light with built-in reflector on the rear during all hours of operation, not just during darkness.

Local authorities can lower school zone speed limits from 25 mph to 20 mph by ordinance. After January 1, 2031, the limit automatically decreases to 20 mph when proper signage is posted.

The “slow down and move over” law now includes highway maintenance vehicles and any stationary vehicle using flashing hazard lights or warning devices like cones and road flares.

The program requiring DUI offenders to install an ignition interlock device has been extended through January 2033. Installing the device allows offenders to apply for a restricted driver’s license.

Law enforcement can issue noncompliance notices to autonomous vehicle manufacturers for traffic violations. AVs must include two-way communication devices for interaction with first responders.

Landlords must provide and maintain working appliances in rental units, including adequate heating and hot water systems. Stoves and refrigerators must be in good working condition for new or amended leases.

New provisions allow homes to be built near major transportation stops, supporting California’s efforts to increase housing density and accessibility.

Eligible high school seniors with a minimum 2.5 GPA will automatically receive admission to California State University schools without submitting applications, receiving direct admission letters based on coursework and grades.

Courts must provide verbatim immigration advisement before a guilty or no contest plea, informing non-citizens that their plea may result in deportation or other immigration consequences.

The state must provide legal counsel to unaccompanied undocumented minors in federal or related state immigration proceedings through qualified nonprofit organizations or public defender offices.

Large AI providers (1+ million monthly users) like Meta, Google, and OpenAI must offer free AI-detection tools so users can verify if content is AI-generated. AI-created images, videos, and audio must have optional labeling.

Companies operating AI-powered companion chatbots must notify users they’re talking to AI, not a human, and report safety protocols for detecting and responding to user expressions of self-harm to the Office of Suicide Prevention.

Strengthens legal protections against deepfake pornography by adding a cause of action against anyone who knows or should know that an individual depicted in AI-generated explicit material was a minor.

Defendants cannot use AI as a defense, claiming that artificial intelligence they developed, modified, or used is responsible for harm caused.

Diwali becomes an official California state holiday. Public schools, community colleges may close, and state employees can take the day off. In 2026, Diwali falls on November 8 (observed November 9).

Declawing cats becomes illegal in California except when medically necessary for the cat’s health as determined by a licensed veterinarian. The procedure amputates bones and reduces quality of life.

Manufacturers must add folic acid to masa flour used in corn tortillas to help prevent birth defects, similar to existing requirements for breads and cereals.

Adult victims of sexual assault have a two-year window (January 1, 2026 through December 31, 2027) to file civil lawsuits in cases where the statute of limitations has passed, if a cover-up is alleged.

Most law enforcement agencies are prohibited from covering their faces while on duty, with limited exceptions. This issue is currently facing litigation.

Law enforcement officers operating in California must display their agency name and either a name or badge number to the public, with some exceptions.