Concerns that new bill could lead to increased litigation
The New Jersey Senate has approved bill S. 511, increasing regulations on the staffing industry. This is according to a tweet by the bill’s sponsor, State Sen. Joe Cryan, D-Union.
Amongst other aspects, the bill provides for equal pay between contingent and directly employed workers. However, some believe that the new bill could lead to increased litigation.
The bill was previously approved in June, but the New Jersey Senate had to vote again due to a procedural issue.
Toby Malara, VP government relations at the American Staffing Association, confirmed that no changes were made to the bill in the new vote. With assistance from the ASA, the New Jersey Staffing Alliance led efforts to amend the bill.
Within the next 45 days, New Jersey Gov. Phil Murphy must either sign the bill, veto it or put forward a conditional veto by offering the bill with amendments back to the legislature for consideration. The ASA’s next avenue will be to urge the governor to issue a conditional veto with various changes to the bill.
The bill was opposed by the New Jersey Business and Industry Association.
Alexis Bailey, NJBIA director of government affairs, commented: “While the intent of the bill is to create additional protections for temporary workers, the provisions in it range from concerning to completely unworkable for businesses which are often challenged enough to maintain their workforces.”