New Jersey Labor Laws

In the US, the Fair Labor Standards Act (FLSA) is a critical federal law that governs time management, sets hourly wage rates and overtime pay, and requires employers to accurately record their employees’ working hours

Time management and labor laws are regulated by both federal and state regulations in New Jersey.  However, where both laws contradict, the statute offering greater protections applies. A brief overview of minimum wage, overtime, and break provisions provided in New Jersey is as below:

Employers who contravene federal time management laws face severe legal ramifications, including fines, back pay, and damages. If workers feel that their employer has violated federal time management laws, they can file a wage complaint with the New Jersey Department of Labor and Workforce Development’s Division of Wage and Hour Compliance for investigation and legal action.

The New Jersey Law Against Discrimination (NJLAD) prohibits discrimination in the hiring process and the workplace based on: 

Employers in New Jersey are also obligated to inform working employees of their rate of pay and payment schedules after the hiring process is completed. Any changes made to payment schedules during employment must also be promptly communicated beforehand. 

Employment in New Jersey operates on an at-will basis, meaning an employer or employee can choose to end an employment relationship at any time and for any reason, without prior notice.  However, the at-will policy does not apply if the employee’s contract states employment terms with a specific termination process, or if the employer terminates the employee due to discrimination, or in violation of public policy. 

After termination, employees must be paid their final wages by their next regular payday. In case of wage disputes, an additional ten days may be granted. 

As of April 10, 2023, employers with 100 or more employees are required to provide a notice of 90 days before a mass layoff. Employees terminated due to a mass layoff are entitled to receive one week of pay for each year they served in employment. 

Some important policies that also affect employment in New Jersey are: 

• Health Insurance Laws: Eligible employees and their dependents can extend their group health insurance for 18 to 36 months under the federal COBRA for qualifying reasons. These include voluntary or non-voluntary job loss, divorce, death, and legal separation. However, COBRA only applies to businesses with 20 or more employees. Employers with less than 20 workers must provide their employees or their dependents with up to 12 months of health coverage under New Jersey state continuation of coverage.
• Workplace Protection Laws: In New Jersey, private employers and employees are covered by the federal Occupational Safety and Health Administration (OSH) which ensures safety and healthy conditions at the workplace. OSHA also provides training and education about workplace safety measures and recognized hazards and offers employees protection from retaliation for whistleblowing. The New Jersey Public Employees Occupational Safety and Health (NJPEOSH) Act allows public employees to anonymously notify their employer or NJPEOSH authorities about hazards in the workplace. Complaints can also be filed to request an inspection for safety concerns.  
• Drug Testing Laws: Employers in New Jersey can carry out drug tests in the pre-employment period. In case an employee tests positive for a drug, they must be given reasonable time to provide a justifiable explanation. Employers can also prohibit employees from possessing or using drugs in the workplace.
• Whistleblower Law: The New Jersey Conscientious Employee Protection Act (CEPA) prohibits employers from retaliating, discriminating, firing, or disciplining workers who report any violation of the law or testify against criminal activity in the workplace to their supervisor, public authority, or investigative body. To be protected, whistleblowers must report the violation in writing to relevant authorities. Furthermore, CEPA provides employers reasonable time to correct activities or policies that violate the law.
• Recordkeeping Law: In New Jersey, employers have to maintain accurate employee records for at least six years. These records should include the employee’s name, address, birth date (for those under 18), and social security number (if applicable). Additionally, an employee’s payroll records including information related to their wage rate, work schedules, special payments, hiring, and termination dates must be maintained for at least four years. After an employee is terminated, these records should be kept for the next six quarters.

A minimum wage is the lowest compensation an employee is entitled to receive under federal or state law for performing their job in a certain time period. This amount cannot be negotiated or further reduced by mutual agreement or collective bargaining.  

Effective January 1, 2025, New Jersey’s minimum wage has risen by $0.36 to $15.49 per hour. Some occupations are entitled to a different minimum wage under state law. The updated rates for 2025 are as follows:

• For employees in seasonal and small businesses (i.e. less than six employees): $14.53
• Agricultural workers: $13.40
• Long-term direct care workers: $18.49

In New Jersey, a worker who earns more than $30 in tips monthly is categorized as a tipped employee. As of January 1, 2025, employers in the state can pay a reduced cage wage of $5.62/hour and retain a tip credit of $9.87. 

 A tipped employee’s total earnings, including tips, should add up to at least the state minimum wage of $15.49 per hour. If their total pay doesn’t reach that amount, the employer is responsible for making up the difference.

New Jersey wage laws exempt the following individuals from minimum wage provisions: 

• automobile salespersons
• outside salespersons
• minors under 18 (with certain exceptions)

Students can be paid 85% of the state’s minimum wage rate if they are employed by their own college or university, which currently stands at approximately $13.16 per hour.

Most employers in New Jersey are obligated to pay their employees at least twice a month, with paydays set no longer than ten days after a certain payroll period has ended. Executive, supervisory, and similar employees can receive their payments once a month.

If a payday falls on a weekend or holiday, the payday must be rescheduled to the immediately preceding payday. Collective bargaining agreements can affect this policy.

Employees who work more than 40 hours in a workweek are entitled to earn overtime pay calculated at 1.5 times their regular hourly wage. For minimum wage workers, this rate currently stands at $23.235 per hour. 

Minors aged 16 and 17 are only entitled to overtime pay if they work in farm product processing, hotels, motels, and restaurants. They may be required to work up to 50 hours in other occupations, but they will not receive overtime compensation for hours worked beyond 40. 

Healthcare workers in the state can be required to work overtime by their employers.  

As of January 1, 2025, employees who earn more than $1,128 weekly (or $58,656. annually) are exempt from overtime pay provisions. These include the following occupations:

• Executive, administrative, or professional employees 
• Outside sales employees
• Motorbus transportation employees
• Hotel workers
• Farmworkers
• Limousine drivers employed by a limousine business
• Livestock workers 

Following both federal and state law in New Jersey, employers are not required to offer meal or rest breaks to their workers.

Employers can still choose to offer meal or rest breaks at their own discretion. In such cases, federal regulations apply, where rest breaks that last between 5 to 20 minutes must be paid. Meal breaks that last 30 minutes or longer don’t have to be compensated. 

However, if an employee is required to work during their meal break (e.g. a factory worker who has to remain at their machine while eating), their break will be paid.

Break Laws for Minors in New Jersey

Following state law, employers are required to provide a 30-minute break after every five hours of work to minors. Minors are also entitled to ten-minute rest breaks after four hours of work.

Under the NJLAD, employers must provide breastfeeding employees with adequate facilities to express milk at the workplace. Nursing employees are entitled to receive reasonably timed breaks throughout their workday, and a private room, that is not a toilet, to safely express milk. This room must also be free from intrusion.

The Act protects nursing employees from employer retaliation for taking breastfeeding breaks. However, employers are not mandated to provide breastfeeding breaks if doing so poses an undue hardship on business resources.

As per New Jersey’s labor laws, employers are mandated to grant their employees the following leaves of absence:

• Sick Leave: Full-time, part-time, and temporary employees in New Jersey are entitled to receive paid sick leave. For every thirty hours of work, a worker can earn one hour of sick leave until they reach a maximum of 40 hours per year. However, employers can choose to extend an employee’s sick leave beyond this threshold. Note that paid sick leave is not mandatory for 
• Family and Medical Leave: The New Jersey Family Leave Act permits qualified employees to take job-protected leave for up to 12 weeks over 24 months. This leave is only available to workers employed by companies that have 30 or more employees., workers must have been employed by their company for at least one year and have worked at least 1,000 hours during the previous year. Workers may take this leave for reasons such as caring for a newborn child, adopting a child, fostering a child, or caring for a family member with a serious health condition. 
• Vacation Leave: Full-time state employees in New Jersey can accumulate vacation leave days based on their years of continuous service. For one to five years of service, they can accrue a maximum of 12 days of leave. Working for the state for five to 12 years accrues 15 working days of vacation leave. For those with continuous service of 12 to 20 years, 20 days of vacation leave are accrued. Finally, for over 20 years of service, state employees can accumulate up to 25 working days of vacation leave.
• Jury Duty Leave: All employees in the state are entitled to take leave to attend jury duty service and are protected from employer retaliation, threats, or termination. Full-time employees working for the state must be paid regular wages while they are away for jury duty. Jury leave for private employees, however, is not paid. 
• Military Leave: New Jersey’s leave laws provide employees up to three months of leave in a four-year period for military training. After completing their training, employees can return to their previous job within ten days of their discharge, without any reduction in pay, benefits, or seniority.  
• Domestic Violence and Sexual Assault Leave: The New Jersey SAFE Act provides unpaid leave for up to 20 days per year to employees who are victims of domestic violence or sexual assault. To be eligible for this leave, the employee must have worked at least 1,000 hours in the past 12 months and be employed by a company with at least 25 employees. Additionally, the employee can take this leave if their spouse, child, or partner has been a victim of domestic violence or sexual assault.
• Emergency Response Leave:  Employees in New Jersey are allowed to take leave to respond to state-wide or national disasters. This leave is not paid, however, an employee can choose to use their vacation or paid leave for this purpose instead.

State employees in New Jersey are entitled to the following public holidays in 2025:

Any individual under the age of 18 is considered a minor in New Jersey and is covered by the state’s child labor laws. 

Work Permits for Minors in New Jersey

Minors in New Jersey must obtain a work permit, also known as ‘working papers’, after securing employment. These papers are issued by the State Department of Labor and Workforce Development. Minors can apply for working papers in New Jersey online.

New Jersey has specific regulations that restrict the number of hours minors are allowed to work. These regulations are as follows:

During School Days:

• For minors aged 12 to 15: Work hours can only be scheduled between 7 a.m. and 7 p.m., with no more than three hours scheduled daily, and 18 hours set weekly. They cannot work six days consecutively in a week. They can, however, work up to eight hours on Saturday and Sunday. Minors aged 14 and 15 may have hours scheduled beyond the outlined threshold under certain exceptions. 

• For minors aged 16 and 17: Work hours cannot exceed eight daily and 40 weekly. They cannot work more than six consecutive days. Work hours can only be scheduled between 6 a.m. and 11 p.m. On a day before the weekend or a non-school day, these minors can work till midnight, if required. 

During School Break:

• For minors aged 12 to 15: Daily work hours cannot exceed eight, and weekly hours must not pass 40. Work hours must be scheduled between 7 a.m. and 7 p.m. for minors aged 12 and 13. Minors aged 14 and 15 can be scheduled to work between 7 a.m. and 9 p.m. beginning the last day of school till Labor Day. They cannot work more than six consecutive days in a week. 
• For minors aged 16 and 17: They can work up to 50 hours in a week, with daily work hours not exceeding ten.  They cannot work more than six days in a workweek. Work hours must be scheduled between 6 a.m. and 11 p.m. Minors working in amusement parks and seasonal establishments can only be scheduled to work between 6 a.m. and 3 a.m. (the next day). 

Minors below the age of 18 are not allowed to work in certain occupations or with particular machines including: 

• Paint manufacturing
• Working with acids, dyes, corrosive and radioactive substances
• Pesticides
• Power tools for woodworking
• Corrugating, crimping, or embossing machines
• Compactors
• Repairs for elevators or other hoisting apparatus
• In construction, mines or quarries
• Near steam boilers
• Slaughtering, meat processing, and rendering

Visit the official state website for a more comprehensive list of jobs prohibited for minors in New Jersey.