Temporary Workers’ Bill of Rights
The Temporary Workers’ Bill of Rights (TWBR) has significant implications for staffing agencies and employers in New Jersey. It was signed into law by Governor Phil Murphy on February 6, 2023. Two provisions, anti-retaliation/discrimination provisions and notice requirements, went into effect on May 7, 2023, while the bulk of the law became effective on August 5, 2023. This article reviews the information employers need to know about the bill and its impacts.
Protection for Workers, Requirements for Staffing Firms
The bill provided significant protections for certain classifications of New Jersey temporary workers. It established sweeping new requirements for temporary help service firms located in, or that operate in, or transact business within New Jersey and third-party clients. The law provides a broad range of protections for temporary workers, including equal pay and benefits for temporary workers and the principal employer’s employees performing the same or substantially similar job functions at each work location.
The Act created a private right of action against firms and clients, including joint liabilities for firms and clients for certain violations of the Act.
Staffing firms must provide workers with a detailed written notice on or before the first day of the assignment. The notice must contain specific information on the firm, the location of the work, the number of hours worked at each location, the rate of pay, the total pay period earnings, deductions and the reasons for the deductions, and any other information required by the Commissioner of Labor and Workforce Development.
The bill also included enhanced certification requirements for temporary staffing firms. Clients must ensure that the firm is certified before signing a contract and verify certification again every March 1 and September 1.
“The Temporary Workers Bill of Rights has significant implications for staffing agencies and employers in New Jersey,” said Joe Liberato, Business Development Representative, Equiliem. “We believe that this law is part of a growing trend of states enacting legislation to protect temporary workers, and we are committed to working with our clients to ensure compliance with the law.”
Key Action Items
Here are some steps that employers can take to ensure compliance with the law:
- Ensure staffing partners are registered with the New Jersey Department of Labor and Workforce Development (DOL): Staffing agencies must register with the DOL, and third-party employers are prohibited from utilizing temporary workers via an unregistered staffing agency.
- Confirm detailed written notice to workers: Staffing firms must provide a detailed written notice on or before the first day of the assignment. The notice must contain specific information on the firm, the location of the work, the number of hours worked at each location, the rate of pay, the total pay period earnings, deductions and the reasons for the deductions, and any other information required by the Commissioner of Labor and Workforce Development.
- Ensure equal pay and benefits for temporary workers: The law requires equal pay and benefits for temporary workers and the principal employer’s employees performing the same or substantially similar job functions at each work location.
- Maintain accurate records: The law imposes new recordkeeping requirements on staffing firms, including maintaining and sending information to workers and producing it upon request at no cost to the worker.
- Avoid retaliation: The law creates steep penalties for retaliation.
With the help of Monte Block and several of his peers, the original law was halted, reviewed, and rewritten, removing additional provisions that were detrimental to our industry. Monte’s industry knowledge, passion for good business, and focus on protecting our workers, has helped orchestrate many strategies that support our staffing community.
For additional details about payment of wages and recordkeeping requirements, visit the NJDOL website. Some parts of the Temporary Workers Bill of Rights are enforced by the Division of Consumer Affairs, including enhanced certification requirements for temporary help service firms.