01.24.2024USDOL Wage-Hour Division Final Rule on Independent Contractor Status Reverts to Pre-Trump Rule and Rejects “Core Factor” TestOn January 9, 2024 the U.S. Department of Labor (DOL) released a final rule that will apply beginning March 11, 2024 in determining whether a worker can be classified as an independent contractor as opposed to an employee under the Fair Labor Standards Act (FLSA). The 2024 Rule modifies Wage and Hour Division regulations by adopting an analysis that the agency claims is more consistent with judicial precedent and the FLSA’s text and purpose than the final rule issued by the agency during the final days of the Trump Administration (2021 Rule).
01.23.2024New Jersey Domestic Workers Gain Added Protections On January 12, 2024, Governor Phil Murphy signed the New Jersey Domestic Workers Bill of Rights Act (S-723/A-822), establishing a broad range of rights and employment protections for domestic workers. Domestic workers were previously excluded from the Law Against Discrimination and the New Jersey State Wage and Hour Law, leaving them without employee rights such as protections against harassment and discrimination, rest and meal breaks. The new law follows the precedent set by other states, including California, Connecticut, New York, and Massachusetts. Similar bills are pending in Philadelphia and Washington, D.C. The law will take effect in July 2024.
02.10.2023What The Temporary Workers' Bill of Rights Means For New Jersey EmployersOn February 6, 2023, Governor Murphy signed Assembly Bill 1474/S511, commonly referred to as the "Temporary Workers' Bill of Rights." The bill's "equal-pay-equal-benefit" provision requires that temporary workers be paid at least the same average rate of pay and equivalent benefits (or cash equivalent) as the third-party client’s permanent employees performing the same or similar work on jobs that require equal skill, effort, and responsibility. The legislation applies to workers in designated classifications, including certain workers in protective service, food preparation and serving, building, and grounds cleaning and maintenance, personal care and service, construction, production, and transportation occupational categories.
09.15.2022Third Circuit Confirms ABC Test Applies in Wage Theft CaseIn a recent decision in Bailey v. Millennium Group of Delaware et al, the U.S. Court of Appeals for the Third Circuit confirmed that the ABC Test – long used by the New Jersey Department of Labor – sets forth the proper analysis for determining whether a worker is an employee or an independent contractor under the State’s wage and hour laws.
08.10.2022ABC Is Not As Easy as 1-2-3: NJ Supreme Court Issues Independent Business Misclassification Decision On August 2, 2022, the New Jersey Supreme Court in East Bay Drywall, LLC. v. Department of Labor and Workforce Development, issued a unanimous opinion holding that workers, hired on a need and availability basis, who used their own equipment and provided certificates of insurance and business entity registration information, were employees of a drywall installation business and not independent contractors as the company claimed. The Court also held that whether or not the workers could “join the ranks of the unemployed” when the relationship with the company ends directly impacts independent contractor status in New Jersey.
09.29.2020All Bark, Even Bigger Bite: New Jersey's New Worker Misclassification ProtectionsOn January 20, 2020, Governor Murphy signed into law a series of legislative packages aimed at combating worker misclassification and exploitation. These bills will bolster an already-aggressive state department of labor that has the independent contractor model squarely in its sights.
09.29.2020Federal Court in Manhattan Vacates Key Part of USDOL’S Final Rule on Joint Employer StatusOn September 8, 2020 U.S. District Court Judge Gregory H. Woods in Manhattan granted partial summary judgment to 17 states and the District of Columbia striking down a major part of the Department of Labor’s Final Rule on vertical joint employer relationships.
09.29.2020The End of the Beginning, or the Beginning of the End?On August 10, 2020, a California judge ordered Uber Technologies, Inc. and Lyft Inc., to reclassify their drivers from independent contractors to employees by August 20, 2020.
07.13.2020To Screen or Not to Screen? Amazon Must Face NJ Wage Class Action for Workers’ Post-Shift Screening On June 29, 2020, the U.S. District Court for the District of New Jersey ruled that Amazon must face a proposed class action alleging violations of New Jersey Wage and Hour Law (NJWHL), which seeks compensation for time spent undergoing mandatory post-shift security screenings and for time spent during meal breaks.
07.01.2020Car Sales Incentives Count Toward Minimum Wage, According to DOL LetterIn a series of opinion letters released Thursday, the U.S. Department of Labor announced that car dealerships may use incentive payments from automakers to help meet their obligation to pay salespeople minimum wage.
04.30.2020Sleepless Nights Ahead For WalMart’s Overnight Assistant Store Managers After Denial of Class Status On April 24, 2020, the District Court for the District of New Jersey in Sundel Quiles, et al. v. Wal-Mart Stores, Inc., d/b/a Wal-Mart, 2:16-cv-09479 (D.N.J. April 24, 2020) recently considered a motion for class certification by a group of Overnight Assistant Store Managers (Overnight ASMs) who were allegedly misclassified as exempt executive and administrative employees.
04.22.2020New Jersey Gives Employers Struggling with the COVID-19 Pandemic a Temporary Break: Delay and Changes to the Amended New Jersey WARN Act In response to growing concerns of employers due to the COVID-19 pandemic, on April 14, 2020, Governor Phil Murphy signed into law new legislation which provides two significant changes to the Millville Dallas Airmotive Plant Job Loss Notification Act (NJ WARN). Pursuant to the January 21st changes, initially scheduled to become effective on July 19, 2020, employers will be required to provide longer notice periods and mandatory severance pay in connection with a large layoff or facility closure.
03.12.2020Key Employer Take-Aways from Long-Awaited Guidance on New Jersey's Equal Pay ActOn March 2, 2020, the New Jersey Division on Civil Rights (DCR) issued Guidance on the Diane B. Allen Equal Pay Act (Equal Pay Act) – the New Jersey law requiring employers to offer equal pay to employees performing substantially similar work.
02.06.2020Automatic Severance and Additional Notice: The Expanding Obligations For Employers Under New Jersey’s New WARN ACT Effective July 19, 2020, pursuant to new legislation signed by New Jersey Governor Phil Murphy on January 21, 2020, New Jersey employers with at least 100 employees over a 3 year period, will have new and expanded obligations to provide their employees with advance notice and severance pay under revisions to the State’s Millville Dallas Airmotive Plant Job Loss Notification Act (NJ WARN). As a result of these revisions, New Jersey will have the most burdensome and expensive reduction-in-force (RIF) legislation in the country.
12.30.2019New Jersey Salary History Ban Takes Effect January 1A reminder to New Jersey employers that the new law prohibiting employers from screening job applicants based on their pay history takes effect on January 1, 2020.
10.15.2019Third Circuit Decision Threatens Rideshare Company’s Right to ArbitrateThe Third Circuit recently opened the door to exempting Uber drivers from the Federal Arbitration Act (“FAA”). In a precedential decision, the Court of Appeals vacated a District Court’s decision compelling arbitration of an Uber driver’s wage claim and remanded the case back to the District Court to determine whether the exemption applies.
This website uses cookies for site operation, security and analytics purposes, as described in our Privacy Notice and Cookie Notice. By clicking Ok, you are agreeing to our use of cookies.
OK
