California employers know the rule by heart: non-competition agreements are void in this state. Business and Professions Code section 16600 has been on the books for over a century, and the Legislature doubled down in 2024 with SB 699 and AB 1076, making it unlawful even to attempt to enforce a non-compete and requiring employers

This article continues our Friday’s Five series highlighting the major new California employment laws taking effect in 2026. In recent weeks, we’ve covered several significant bills impacting employers — from expanded employee rights and new recordkeeping requirements to pay transparency updates and workplace enforcement changes.

This week, we turn to Assembly Bill 692 (Kalra)