| Update Applicable to: | Effective Date |
| All Employers Whose Employees are covered under the NLRA | January 1, 2026 |
What happened?
On September 30, 2025, California Governor Gavin Newsom signed Assembly Bill (AB) 288 into law, granting the state’s Public Employment Relations Board (PERB) authority to enforce rights under the National Labor Relations Act (NLRA) when the National Labor Relations Board (NLRB) cannot act due to shutdowns, lack of quorum, or other legal challenges.
This measure ensures workers’ organizing rights remain protected even if federal enforcement stalls.
Overview:
AB 288 positions California as a national leader in labor rights, closing gaps caused by federal inaction. For employers, this means state-level enforcement of union rights and bargaining obligations starting January 1, 2026.
Summary of Provisions
- Expanded PERB Authority
- Conduct union elections, certify representatives, and order employers to bargain.
- Impose civil penalties and mandate binding arbitration if negotiations exceed six months.
- Trigger Conditions: PERB steps in when NLRB jurisdiction is ceded, including lack of quorum, injunctions, or prolonged delays (equal to or more than 6 months without action).
- Enforcement Tools
- Civil penalties up to $1,000 per worker per violation for patterns of unfair labor practices.
- Injunctive relief and court enforcement; violations may be treated as contempt.
- Phased Rollout: Priority cases begin January 1, 2026; full implementation by January 1, 2027.
Employer Impact: Private-sector employers in California face stricter state-level enforcement of NLRA rights. Delays or refusal to bargain will no longer be shielded by federal inaction.
- Binding arbitration imposed after six months of stalled bargaining.
- Civil penalties of $1,000 per worker per violation for systemic misconduct.
- Increased litigation and reputational risk for non-compliance.
Employer Considerations
- Immediate Compliance: Review labor policies to avoid interference with organizing rights.
- Recordkeeping: Maintain accurate records and respond promptly to union requests.
- Plan for Arbitration: Prepare for PERB’s authority to order binding arbitration.
- Budget for Penalties: Allocate funds for potential fines.
Source References
- Governor Newsom – AB 288 Press Release
- Tina Mckinnor Assemblymember – Press Release
- California AB 288 – Employment: labor organization and unfair practices
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