NEW JERSEY TEMPorary WORKERS' Bill OF RIGHTS
New Jersey has always had a registration/license requirement for temporary help service firms (temp firms) defined as:
any person or entity who operates a business which consists of employing individuals directly or indirectly for the purpose of assigning the employed individuals to assist the firm's customers in the handling of the customers' temporary, excess or special workloads, and who, in addition to the payment of wages or salaries to the employed individuals, pays federal social security taxes and State and federal unemployment insurance; carries workers' compensation insurance as required by State law; and sustains responsibility for the actions of the employed individuals while they render services to the firm's customers
The new law now adds requirements for temp firms that place workers into the following job categories:
33-90000 Other Protective Service Workers; 35-0000 Food Preparation and Serving Related Occupations; 37-0000 Building and Grounds Cleaning and Maintenance Occupations; 39-0000 Personal Care and Service Occupations; 47-2060 Construction Laborers; 47-30000 Helpers, Construction Trades; 49-0000 Installation, Maintenance, and Repair Occupations; 51-0000 Production Occupations; 53-0000 Transportation and Material Moving Occupations. Note that production occupations includes many sub categories including: food processing workers and production workers.
The main new requirements are:
• Assignment notice to be given to each worker at start of assignment with numerous pieces of information including but not limited to wages and schedule. Any changes to schedule, shift or location must have 48 hours prior notice when possible.
• Temp firm must keep various pieces of information for each worker and applicant including but not limited to race, ethnicity and gender and must give each applicant a signed notice at the time the applicant requests employment with the date, time and location.
• Temp firm must provide a worker upon request with the number of hours billed to the client for that worker.
• Temp firm cannot charge a fee to a worker for transportation provided by temp firm and cannot refer worker to a transportation option that charges a fee (other than mass public transportation) and temp firm is liable for performance of any transportation it provides or refers. Temp firm can refer workers to a carpool driven by another worker but must not mention fees.
• Driver of any vehicle owned, operated or referred to by temp firm (without a fee) must have license for correct class of vehicle and vehicle must have seat and seatbelt for all passengers.
• Paystubs must have numerous pieces of information including but not limited to
o the max placement fee which the temp firm may charge the client to convert the worker and
o the total of all charges to the client for the worker over the pay period compared to the total comp to the worker (including the costs of benefits) over the pay period.
• Minimum of 4 hours of pay for a worker who is contracted for a day but not utilized.
• Placement fee for a conversion of a worker is capped at the temp firm’s daily commission multiplied by 60 less the daily commission actually received for the number of days worked in the prior 12 months.
• Worker must be paid average rate of pay and average cost of benefits (or cash equivalent) paid to client employees for same job.
• Registration/license requirements are more onerous.
• Workers are protected from retaliation for raising any concern regarding the protections of this new law.
• Workers are given a private right of action to bring claims on behalf of themselves and others for violations.
• There are significant per violation penalties for violations of this new law.
The new law takes effect on August 6, 2023 except that the assignment notice and non retaliation protections take effect on May 6, 2023.
To see the full law, please click here.