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NJ SCR138
NJ SCR138Declares Department of Labor and Workforce Development new rules concerning employment status test for independent contractors inconsistent with legislative intent.
summary
Introduced
11/10/2025
11/10/2025
In Committee
11/10/2025
11/10/2025
Crossed Over
Passed
Dead
01/12/2026
01/12/2026
Introduced Session
2024-2025 Regular Session
Bill Summary
This concurrent resolution embodies the findings of the Legislature that rules proposed by the Department of Labor and Workforce Development at N.J.A.C. 12:11, to modify the factors that may be considered when determining whether an individual is an independent contractor, are not consistent with the legislative intent of the ABC test codified in the unemployment compensation law of the State. The Department of Labor and Workforce Development has 30 days from the date of transmittal of this resolution to amend or withdraw the proposed rules or the Legislature may, by passage of another concurrent resolution, exercise its authority under the New Jersey Constitution to invalidate the proposed rules in whole or in part.
AI Summary
This concurrent resolution addresses proposed rules by New Jersey's Department of Labor and Workforce Development concerning the employment status test for independent contractors, specifically challenging modifications to the existing ABC test. The resolution argues that the proposed rules deviate from the legislative intent of the original unemployment compensation law, which established a three-part test for determining whether a worker is an independent contractor or an employee. Key concerns include the proposed rules' treatment of digital applications, liability insurance, transportation network company drivers, and professional licensure as factors in employment classification. The resolution declares these proposed rules inconsistent with legislative intent and provides the Department of Labor 30 days to amend or withdraw the rules, or the Legislature may take further action to invalidate them. The ABC test, which requires workers to meet three specific standards to be classified as independent contractors, is a critical component of determining worker status for various state tax and labor laws, and the resolution seeks to preserve the original legislative framework for worker classification.
Committee Categories
Labor and Employment
Sponsors (1)
Last Action
Introduced in the Senate, Referred to Senate Labor Committee (on 11/10/2025)
Official Document
bill text
bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://www.njleg.state.nj.us/bill-search/2024/SCR138 |
| BillText | https://pub.njleg.gov/Bills/2024/SCR/138_I1.HTM |
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