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NJ ACR73
NJ ACR73Declares Department of Labor and Workforce Development new rules concerning employment status test for independent contractors inconsistent with legislative intent.
summary
Introduced
01/13/2026
01/13/2026
In Committee
01/13/2026
01/13/2026
Crossed Over
Passed
Dead
Introduced Session
2026-2027 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 declares that new rules proposed by the Department of Labor and Workforce Development (DLWD) regarding the determination of independent contractor status are inconsistent with the Legislature's original intent. The Legislature established the "ABC test" as part of the unemployment compensation law to classify workers, requiring individuals to meet three specific criteria to be considered independent contractors: freedom from control or direction, performing services outside the usual course of business or all business locations, and being customarily engaged in an independently established trade. The resolution argues that the DLWD's proposed rules, particularly concerning the use of digital applications, liability insurance, and the vehicles of transportation network company drivers, improperly minimize or misapply these criteria, creating a presumption of employment rather than allowing for genuine independent contracting. The DLWD has 30 days to amend or withdraw these rules, or the Legislature may take further action to invalidate them.
Committee Categories
Labor and Employment
Sponsors (1)
Last Action
Introduced, Referred to Assembly Labor Committee (on 01/13/2026)
Official Document
bill text
bill summary
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bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://www.njleg.state.nj.us/bill-search/2026/ACR73 |
| BillText | https://pub.njleg.gov/Bills/2026/ACR/73_I1.HTM |
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