05.22.2025Independent Contractor Relationships Under Renewed Scrutiny by NJDOL On May 5, 2025, the New Jersey Department of Labor and Workforce Development opened a 60-day comment period on a proposed regulation that would make it harder for independent contractors to contract their services as non-employees in New Jersey since the proposed regulation, if implemented, would classify more workers as employees of their service recipient. Classification as an employee rather than independent contractor would mean a host of state laws will apply to both the worker and the business for wage-hour laws, unemployment compensation, insurance benefits, tax purposes, workers’ compensation, and exposure to union organizing. This effort comes as the federal government is moving in the opposite direction – to allow more independent contractor arrangements.
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