NFIB New Jersey Capitol Report

Date: July 15, 2021

Employee Misclassification Bills Become Law

Last Thursday, Governor Phil Murphy signed a package of bills into law that were opposed by NFIB. The bills were introduced on June 10, sent to the Governor on June 30, and signed into law on July 8. According to one of the new laws, “employee misclassification” occurs when employers purposefully label workers as contractors instead of employees, without having to cover benefits and taxes. The law simplifies the process of determining misclassification, provides for a new office to investigate claims of misclassification, and creates a database to track payroll.

NFIB opposed the legislation because it gives the Department of Labor and Workforce additional enforcement powers and the opportunity for regulatory overreach. Also, the new laws further promote the Murphy Administration’s pro-labor union agenda.

Public Health Emergency Over, But…

On July 4th, the public health emergency executive orders that had been in effect for 15 months were lifted. Before the emergency was lifted, Gov. Murphy signed legislation that passed the Democratic-controlled legislature allowing for the emergency to end and for certain executive orders to remain.

Murphy retains his powers until January 1, 2022 in these areas:

  • Moratoriums on evictions, utility shutoffs, and insurance premiums payments.
  • Expanded outdoor dining at restaurants.
  • Required daily data reporting by health care facilities.
  • Summer youth camp protocols.
  • Prohibition on wage garnishments from federal stimulus checks.
  • Current masking rules based on federal guidelines.


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