New Jersey Legislative Update

On Tuesday, April 24, 2018, New Jersey Governor Phil Murphy signed into law the Diane B. Allen Equal Pay Act (the “Act”), which amends the New Jersey Law Against Discrimination (“NJLAD”) to provide enhanced equal pay protections for New Jersey employees. The Act, which becomes effective on July 1, 2018, prohibits pay disparities based upon characteristics protected by the NJLAD, such as race, creed, color, national origin, nationality, ancestry, age, sex, etc. Specifically, the Act makes it an unlawful employment practice “[f]or an employer to pay any of its employees who is a member of a protected class at a rate of compensation, including benefits, which is less than the rate paid by the employer to employees who are not members of the protected class for substantially similar work, when viewed as a composite of skill, effort and responsibility.”
Continue Reading New Jersey Equal Pay Act Signed Into Law

Last month, the New Jersey State Senate introduced Senate Bill 3518 (the “Bill”), which, if passed, will severely restrict the use and enforceability of employee non-compete agreements in the state of New Jersey. Most significantly, the Bill would: (1) prohibit entering or enforcing non-compete agreements with certain groups of employees; (2) require employers to pay full wages, salary, and benefits to employees during their non-compete period: (3) prohibit applying an arbitration provision or other such restriction to non-compete provisions; and (4) allow employees a private right of action for any statutory violation. The passage of the Bill would be a significant departure from current New Jersey law which generally enforces non-compete agreements and other restrictive covenants provided that they are reasonable in scope, protect legitimate business interests, and are not unduly burdensome on the employee or against public policy.
Continue Reading New Jersey Proposes to Drastically Restrict the Use of Non-Compete Agreements

On February 11, 2016, the New Jersey Senate passed a new bill (S992) (the “Bill”) in an effort to undo the often-discussed gender pay gap.  The Bill would enhance unequal pay claims under the New Jersey Law Against Discrimination (the “LAD”) and extend the statute of limitations for those claims.  The vote was 28-to-4 in the Senate despite strong opposition from many New Jersey business groups.  The bill was received in the New Jersey Assembly on February 16, and immediately referred to the Assembly Labor Committee.  Last Thursday, March 3, the bill was transferred to the Assembly State and Local Government Committee.
Continue Reading New Jersey’s Equal Pay Bill Could Increase Liability for Employers

This past year New Jersey state and local legislatures implemented several employment laws that are set to take effect at the end of 2015 or in early 2016. This update summarizes these new legal requirements to help New Jersey employers prepare and comply in 2016.
Continue Reading New Year, New Rules for Employers Doing Business in New Jersey