The new year brings new laws, and 2026 is no exception. Starting January 1, several California laws went into effect that directly impact small businesses, from how much you pay employees to how you protect customer data.
Here’s a straightforward breakdown of what changed and what you should be paying attention to as a Ventura County business owner.
Higher Minimum Wage
California’s minimum wage increased again and is now $16.90 per hour for all employers, no matter your business size. This also affects salaried employees, since exempt salaries are tied to the minimum wage.
What to do:
If you haven’t already, review your payroll and employee classifications to make sure everything lines up.
Changes to Employee Contracts & Training Repayment
Employers can no longer require workers to repay training costs or pay “quit fees” if they leave a job. Any new contracts signed in 2026 must follow this rule.
What to do:
Take a look at your offer letters, employment agreements, and training policies, especially if you’ve used repayment clauses in the past.
Faster Data Breach Notifications
If your business experiences a data breach involving personal information, you now have 30 days to notify affected customers. Larger breaches also require notifying the California Department of Justice.
What to do:
Make sure you know who to contact and what steps to take if a breach happens. Having a basic response plan can save time and stress.
New Rules for Food Delivery Platforms
If your business works with food delivery apps, those platforms must now issue refunds for missing or incorrect orders and offer real customer support when automated systems fail.
What to do:
You don’t need to change how you cook, but it’s worth understanding how refunds and disputes are handled on the platforms you use.
Plastic Bag Rules at Checkout
Retailers and grocery stores may now only offer recycled paper bags at checkout, no plastic alternatives.
What to do:
Check your bag supplies and make sure you’re compliant to avoid fines.
Insurance & Wildfire Protections
New rules expand insurance protections for businesses in wildfire-affected areas, helping commercial properties maintain coverage after disasters.
What to do:
If your business has commercial property insurance, it may be a good time to check in with your insurance agent about coverage and protections.
AI & Online Transparency
Businesses using AI tools or chatbots must be upfront about it and those tools can’t pretend to be licensed professionals.
What to do:
If you use AI for customer service, marketing, or content, make sure disclosures are clear and honest.
Why This Matters
You don’t need to be a lawyer to run a business, but staying aware of rule changes can help you avoid fines, protect your customers, and run a smoother operation. Even small updates, like adjusting contracts or payroll, can make a big difference down the line.
Business Forward is here to help Ventura County businesses stay informed, supported, and ready for what’s next.