New Laws in Effect Summer 2024 Impacting the Workforce, Employers
TRENTON – The New Jersey Department of Labor and Workforce Development (NJDOL) is raising awareness of several new laws and regulations in effect this summer that may impact certain workers and employers. These include the Domestic Workers’ Bill of Rights, an increased federal salary threshold for overtime exemptions, an updated municipal Prevailing Wage Contract Threshold Amount, and new certified payroll reporting requirements for public works contractors.
“The Murphy Administration and our state’s legislature have worked hard to foster an economy that is fair to both workers and employers,” said Labor Commissioner Robert Asaro-Angelo. “Through their efforts, New Jersey has experienced historic growth in employment and businesses, with more workers on record than ever.”
Domestic Workers’ Bill of Rights: Effective July 1
Signed by Governor Murphy in January, the “Domestic Workers’ Bill of Rights” (P.L. 2023, Chapter 262; N.J.S.A. 34:11-69 et seq.) establishes a broad range of rights and employment protections for domestic workers. These include anti-discrimination rights; privacy rights; and written contract requirements for domestic workers who provide in-home services to private households, including child care, house cleaning, care for elderly or disabled individuals, cooking, and more. Domestic workers can be hired directly by a household or an agency, and are entitled to these protections regardless of immigration status.
For more information, visit: nj.gov/labor/domesticworkers.
Federal Increase in Salary Threshold for Exemptions from Overtime Pay: Effective July 1
In April, the Biden-Harris Administration finalized a rule to incrementally increase the salary threshold required to exempt a bona fide executive, administrative, or professional employee from federal overtime pay requirements.
The first increment is effective July 1, raising the threshold to the equivalent of an annual salary of $43,888. The threshold will increase again on January 1, 2025, to $58,656.
For more information, visit: dol.gov/agencies/whd/overtime/rulemaking.
Increased Municipal Prevailing Wage Contract Threshold Amount: Effective July 1
Also effective July 1, the municipal Prevailing Wage Contract Threshold Amount rises from $16,263 to $19,375. Contracts to perform public work paid for in whole or in part out of the funds of a municipality or performed on a property or premises owned by a public body or leased or to be leased by a municipality must be valued at this amount or more to be covered under the New Jersey Prevailing Wage Act. Municipal public works contracts that are below the Prevailing Wage Contract Threshold Amount are not subject to the Act.
The Prevailing Wage Contract Threshold Amount for municipalities is adjusted by rule every five years based on changes in the Consumer Price Index (CPI). All other public agencies, including state agencies, county agencies, boards of education, and utility authorities, remain under a Prevailing Wage Contract Threshold Amount of $2,000, which does not change.
For more information, visit: nj.gov/labor/wageandhour/prevailing-rates/public-works/.
Online Reporting of Certified Payroll Records: Effective August 15
Effective August 15, all contractors and subcontractors performing public work are required to submit certified payroll records to the Department of Labor and Workforce Development via the New Jersey Wage Hub (NJ Wage Hub), an online portal that makes it easier for employers to comply with state labor laws, advances worker protections on public job sites, and improves transparency around fair wages.
NJ Wage Hub includes the NJ Certified Payroll Database, where construction contractors who perform public work can submit certified payroll records that are made available to the public in accordance with N.J.S.A. 34:11-56.29(b). The Prevailing Wage Act requires public works contractors to submit certified payroll records each payroll period within 10 days of the date on which the wages were paid to a worker.
Both contractors and public bodies are strongly encouraged to create accounts at NJ Wage Hub prior to August 15. User Guides with detailed instructions for Contractors and Public Bodies can be found at njwages.nj.gov.