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Committee advances UCLA‑led study bill to assess AI’s impact on California jobs and tax revenues

3169850 · April 30, 2025
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Summary

SB 366 would direct the UCLA Labor Center to study how artificial intelligence will affect California’s labor demand, job quality, and state and local revenues; committee recorded a 3–1 vote to send the bill to Appropriations.

A committee hearing advanced SB 366, which would direct the UCLA Labor Center to conduct a mixed‑methods study on how artificial intelligence (AI) will affect California’s sectors, labor demand, job quality, and the state and local revenue base. The author told the committee that AI’s adoption could reduce labor demand in key sectors and exacerbate California’s revenue volatility.

Brian Justy of the UCLA Labor Center testified that the bill will produce primary data tying AI adoption to fiscal outcomes and said the center’s expertise and prior work make it an appropriate contractor. Justy said the study seeks to reframe debates about technology by producing data on which sectors and workers are most vulnerable and how job quality changes.

Committee members questioned whether UCLA was the appropriate contractor; the author and witnesses defended UCLA’s track record in labor research and emphasized the bill’s narrow research mandate. The committee voted to pass SB 366 to Appropriations (recorded vote 3–1). Supporters said the study is intended to inform policy decisions and budget planning as AI integrates into California workplaces.