New Jersey Archives - Laborsphere

New Jersey Noncompete Ban Clears Major Legislative Hurdle

A New Jersey bill that would ban most worker noncompete restrictive covenants (A5708) cleared the Assembly Labor Committee on December 4, 2025, in a bipartisan 8-2 vote. On the same day, the bill was referred to the Assembly Regulated Professions Committee and may be headed to the Assembly floor before the Legislature adjourns on January 12, 2026. An identical companion bill in the New Jersey Senate (S4385) was introduced on May 19, 2025, but remains in the Senate Labor Committee.

After several years of similar proposed legislation dying in the Legislature, this bill’s momentum signals potential passage for several reasons: (1) Governor Murphy may want to end his term with this marquee employee-friendly legislation; (2) the Federal Trade Commission recently abandoned its federal noncompete ban, leaving states to take the lead on efforts to increase employee mobility; (3) the bill sponsor chairs the Assembly Labor Committee; and (4) the bill passed in committee with bipartisan support.

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New Jersey Adopts Salary and Benefit Disclosure Requirements for New Job Postings, Promotions and Transfers

New Jersey Joins a Growing List of States Requiring Greater Pay Transparency

On November 18, 2024, New Jersey Governor Phil Murphy signed Senate Bill 2310 (S2310) into law requiring employers to provide notice of promotion opportunities to affected employees and disclose certain compensation and benefit information in postings for new job openings and transfer opportunities. The law will go into effect on June 1, 2025. New Jersey joins a growing list of states requiring pay transparency, including California, Colorado, Connecticut, Hawaii, Illinois, Massachusetts, Maryland, Nevada, New York, Rhode Island and Washington.

How Did We Get Here?

A version of the bill (A3937, 2022-2023) was originally introduced in the General Assembly during the legislature’s last session and received bipartisan support in the Assembly Consumer Affairs Committee. After the committee made substantial revisions, the bill ultimately died in the Assembly Appropriations Committee. The Senate companion bill (S3663, 2022-2023) expired in the Senate Labor Committee without a vote.

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State & Local Employment Law Developments: Q2 2023

The trend of increasing workplace regulations by state and local governments continued throughout the second quarter of 2023. Although it is not possible to discuss all state and local laws, this update provides an overview of recent and upcoming legislative developments to help you and your organization stay in compliance.

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State & Local Employment Law Developments: Q1 2023

The trend of increasing workplace regulations by state and local governments continued throughout the first quarter of 2023. Although it is not possible to discuss all state and local laws, this update provides an overview of recent and upcoming legislative developments to help you and your organization stay in compliance. (Please note that developments related to issues such as minimum wage rates are not included.)

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Gov. Phil Murphy Signs the New Jersey Temporary Workers’ Bill of Rights

Despite strong opposition from New Jersey business groups, on February 6, 2023, Gov. Phil Murphy signed the Temporary Workers’ Bill of Rights into law (A1474/S511). This new law places significant burdens upon “temporary help service firms” and their clients. The law requires that temporary workers be paid “not less than the same average rate of pay and equivalent benefits as a permanent employee of a third-party client performing the same or substantially similar work on jobs the performance of which requires equal skill, effort or responsibility, which are performed under the same working conditions.” This “equal-pay-equal-benefit” provision, besides potentially increasing costs, will prove challenging for employers to calculate the cost of equivalent benefits.

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The Fate of Non-Compete Agreements in New Jersey Remains Unknown

New Jersey may become the latest state to join the growing trend of states enacting legislation to limit the use of common restrictive covenants, such as non-compete and non-solicitation agreements. In May of 2022, Assembly Bill 3715 (“A3715”) was introduced in the New Jersey legislature which, if passed, would significantly impact employers’ ability to enforce non-compete agreements and impose significant obligations aimed at deterring employers from entering into such agreements.

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