California SB1446 Bill Proposal Aims to Restrict Self-Checkout Counters to Prevent Theft

California Senate is considering a proposal that prohibits grocery stores and pharmacies from setting up self-checkout counters without an adequate number of staff present. This proposal has garnered support from labor organizations but faced opposition from business groups.

The Senate Bill 1446 (SB1446) was introduced by Democratic State Senator Lola Smallwood-Cuevas from Los Angeles. The bill mandates that grocery stores and pharmacies in California must have at least one checkout counter operated by a cashier and limits the number of self-checkout counters a supervisor can oversee to a maximum of two, without being assigned any other tasks.

Furthermore, the proposal stipulates that customers using self-checkout counters may only have a maximum of 10 items.

The bill also requires stores intending to replace employees with technology to conduct research before implementation. Stores must provide at least a 60-day notice to and solicit feedback from employees before drafting the study, and submit the research report to employees or collective bargaining representatives at least 60 days before implementing the new technology.

SB1446 was jointly initiated by the California Labor Federation, Prosecutors Alliance of California, and the United Food and Commercial Workers, Western States Council.

According to The Sacramento Bee, Senator Smallwood-Cuevas, the sponsor of the proposal, stated that the bill aims to reduce retail theft and ensure worker safety. “While adapting to technology is crucial, it must be balanced with protecting job opportunities and ensuring worker safety,” she said. She pointed out that many legislators focus on “getting tough on crime,” but this proposal won’t increase the burden on prisons; instead, it prompts everyone, including retailers, to consider how machines have replaced workers, leading to an increasingly unsafe environment. “One worker overseeing 12 machines is unacceptable,” she emphasized.

Lorena Gonzalez Fletcher, Chair of the California Labor Federation, expressed that members have called for increased store personnel to reduce theft and risky incidents. Christine Soto DeBerry, Founder and Executive Director of the Prosecutors Alliance of California, emphasized that deterrence comes from the fear of being caught, not the severity of punishment. She believed, “When stores have more employees, theft decreases.”

However, the California Chamber of Commerce, California Retailers Association, and California Grocers Association opposed the proposal. In a letter submitted to the Senate Labor, Public Employment and Retirement Committee, they mentioned that the bill might stifle business growth, innovation, and competitiveness in an increasingly digital economy.

They argued that the proposal would not effectively deter theft and stated, “Retail theft occurs openly regardless of whether a cashier is working at the checkout or if self-checkout lanes exist. Many retailers have policies to prevent staff involvement in theft cases to protect their safety.”

Regarding the limitation on self-checkout stations to process only 10 items or fewer, they wrote, “Incorporating such restrictions into law could lead to frivolous lawsuits and compel retailers to monitor the quantity of items going through self-checkout lanes, potentially causing friction between customers and retail staff, something retailers seek to avoid.”

The California Retailers Association, in its separate submission, argued against claims that self-checkout stations lead to job losses, stating that “this is not true.” They explained that grocery store operators ensure that employees originally working at checkout counters are transferred to other departments to enhance customer experience.

SB1446 was scheduled for review by the Senate Appropriations Committee on Monday, May 6.