California’s No Robo Bosses Act Pushes Back Against AI-Driven Firings and Promotions

Fired by an AI? California Says No to Pink Slips From Bots

Artificial intelligence is making its way into many workplace functions, but California is pushing back on one critical front. The state has introduced Senate Bill 7, known as the “No Robo Bosses Act,” which limits AI’s role in essential human resources decisions like promotions, discipline, and firing.

This bill prevents companies from relying primarily on automated systems to make these decisions. A human must always review and support any AI-generated recommendation before it affects an employee’s career. The goal is to keep humans involved in managing key workplace outcomes.

Why Human Oversight Matters

Automated decision-making can seem efficient, but HR decisions deeply impact people's lives. Senator Jerry McNerney, who introduced the bill, emphasized that automated systems shouldn’t operate without human oversight, especially on personal matters like employment status.

The bill requires that when AI is used, a human must review the decision and gather supporting evidence to confirm its accuracy. This safeguard helps prevent errors or biases that AI might introduce.

Controversial Uses of AI in HR

Some software on the market, often called “bossware,” tries to assess workers’ mental states using AI. This practice is highly controversial and scientifically questionable. A 2024 report highlighted that such claims often lack solid evidence, and Europe’s AI regulations specifically prohibit AI from determining users’ emotions.

Originally, the bill also sought to ban fully automated hiring processes, but this was removed after opposition from the California Chamber of Commerce. They argued that small companies would struggle to comply with such restrictions.

AI in Hiring: Benefits and Risks

Many large companies now use AI to streamline hiring, such as filtering applicants. While AI can save time, it also carries risks like bias and hallucination—where the AI might generate false information or faulty decisions.

As AI tools become more common in HR, it’s crucial to balance efficiency with fairness and accuracy.

The Future of AI in Human Resources

AI’s presence in HR is set to grow. For instance, Microsoft recently added AI agents to its 365 suite that analyze employee skills and help manage training programs automatically.

This automated approach could improve workforce development but also raises concerns about relying too heavily on AI for decisions that affect employees’ futures.

What HR Professionals Should Take Away

• If you work in California, the “No Robo Bosses Act” could soon change how your company uses AI in HR decisions.
• Even outside California, this bill highlights the importance of keeping humans in the loop for critical decisions to ensure fairness and accuracy.
• Before fully trusting AI to make impactful HR decisions, consider whether there’s adequate human oversight to catch errors or biases.

To stay informed about AI tools and best practices in HR, explore resources like Complete AI Training, which offers courses and insights on AI applications in the workplace.