Total Articles: 15
New Jersey Appellate Court Defers to State Wage and Hour Division's Longstanding Interpretation of Exemption
On November 16, 2011, the New Jersey Appellate Division affirmed a finding that registered nurses who were paid on an hourly basis were exempt from the overtime requirements of the New Jersey Wage and Hour Law (“NJWHL”), even though the regulation applicable at the time only extended the “professional” exemption to employees compensated on a “salary or fee basis.”
New Jersey Issues Proposed Regulations to Restore Its Exemption for Commissioned Sales Employees
In an ASAP published on October 17th, Littler reported that, in recent amendments to its overtime regulations, New Jersey had inadvertently eliminated the exemption for sales employees paid on commission, which closely tracked an exemption in Section 7(i) of the Fair Labor Standards Act (sometimes known as the "inside sales" exemption).
NJ Inadvertently Eliminates Its Exemption for Commissioned Sales Employees
There has been an important change in New Jersey law which may require employers to take immediate action: In recent amendments to its overtime regulations, New Jersey eliminated the exemption for sales employees paid on commission, which closely tracked an exemption in Section 7(i) of the Fair Labor Standards Act (sometimes known as the “inside sales” exemption). Because New Jersey law is now more protective than the FLSA, at present, it appears likely that employers cannot classify commissioned inside sales employees as exempt from overtime pay.
Watch Out Employers of Commissioned Sales People in New Jersey – They're No Longer Exempt
Executive Summary: In a development that could significantly impact employers in New Jersey, the state's Department of Labor (DOL) recently amended the regulations interpreting New Jersey's wage and hour laws and, in doing so, appears to have eliminated the commissioned sales exemption under state law.
Prevailing Wage Regulations Concerning Maintenance Work Adopted
On June 1, 2011, Commissioner of Labor Harold Wirths adopted new regulations relating to “maintenance work” under the Prevailing Wage Act. Last year, the New Jersey Legislature revised the definition of “maintenance work” to include “maintenance-related projects” that met certain criteria. The legislature did not, however, define “maintenance-related projects,” which led to speculation about the scope of such projects (e.g., whether it included projects such as troubleshooting, inspection, calibration, and other tasks not closely related to construction-type work). In the new regulations, the Commissioner provided the needed clarity, defining the term “maintenance-related project” to mean “a project related to the repair of existing facilities when the size, type or extent of such facilities is not thereby changed or increased.” This definition adheres to the construction-related concept at the heart of the Prevailing Wage Act.
New New Jersey White Collar Overtime Exemptions Regulations Follow Federal Regulations
The New Jersey Department of Labor and Workforce Development (“NJDOL”) has adopted the federal regulations regarding white collar overtime exemptions, repealing existing state regulations and eliminating inconsistencies between the two regulatory schemes. This will provide employers with greater certainty regarding proper worker classifications and puts New Jersey in line with the majority of states that track certain federal overtime exemption requirements. The new regulations are effective immediately.
Spring Forward: New Jersey May Adopt Federal Regulations on Overtime Exemptions
New Jersey has taken the first step towards bringing the State’s regulations on overtime exemptions in line with federal law. The New Jersey Department of Labor and Workforce Development (“NJDOL”) on March 21, 2011, proposed to adopt the federal regulations regarding overtime exemptions and repeal the existing State regulations. The move would eliminate needless inconsistencies between the two regulatory schemes and provide greater certainty to employers and employees regarding appropriate worker classifications. The current proposal comes on the heels of the NJDOL’s adoption of federal regulations regarding practices in rounding employees’ wages.
New Jersey Supreme Court Holds Pay Discrimination Claim Timely Although Act Occurred Beyond Limitations Period
The New Jersey Supreme Court has held that a wage claim may be timely even though the alleged discrimination occurred outside the New Jerseys Law Against Discriminations two-year statute of limitations. Alexander v. Seton Hall Univ., No. A-87-09 (Nov. 23, 2010). According to the Court, this is because each alleged discriminatory paycheck is a separate act, re-starting the limitation period. The Court, however, limited the plaintiffs damages to the two-year period from the date they filed their complaint.
New Jersey Minimum Wage Advisory Commission Recommends that State Minimum Wage Be Raised to $8.50 per Hour in 2009.
On December 23, 2008, the State of New Jersey Minimum Wage Advisory Commission issued its Second Annual Report.
Proposed Regulations Issued Which Would Allow Employers to Withhold Post-Tax Wages to Pay for Health Club Membership Fees or Child Care Services.
The New Jersey Department of Labor and Workforce Development (DOL) has proposed amending the regulations governing the withholding of wages by employers to permit employers to withhold or divert a portion of an employees wages to pay for health club membership fees or child care services.
New Jersey Minimum Wage Advisory Commission Seeks Public Comments On The Adequacy Of The Minimum Wage.
From now until September 7, 2008, the New Jersey Minimum Wage Advisory Commission is seeking written, public comments concerning the adequacy of New Jerseys minimum wage. The Commission annually evaluates the adequacy of the states minimum wage, and then makes a formal recommendation to the Legislature as to whether any minimum wage increase is necessary.
New Jersey Legislature Declines To Increase State Minimum Wage.
The New Jersey Legislature declined to increase the state minimum wage from $7.15 per hour before ending its session for the extended summer recess, despite a strong December 21, 2007 recommendation by the State of New Jersey Minimum Wage Advisory Commission that the state minimum wage be immediately increased to $8.25 per hour (the poverty threshold wage for a three-person family in 2007).
Deferred Compensation Plan Lawful Under State Wage and Hour Law Despite Forfeiture Provision.
Rosen v. Smith Barney, Inc., A-49-07, (N.J. June 25, 2008) A voluntary deferred compensation plan, in which employees contributions from their wages were invested in company stock purchased at a discount, does not violate the State Wage and Hour Laws restriction on deductions from employees wages, despite the fact that the plan provided for a forfeiture of unvested stock interests if the employees terminated their employment during the two year vesting period after the stock purchase.
Assembly Considers Mandatory Employee Meal And Break Periods.
On May 12, a bill (A2629) was introduced that would modify the State Wage and Hour Law to require employers to provide an unpaid meal period of at least 30 minutes to all employees who work for more than six hours continuously, and at least a 15 minute paid rest break to employees who work for more than four hours continuously.
Bills Introduced To Limit Public Employees' Ability To Collect And Use Accumulated Sick And Vacation Leave.
Several bills (A2583, A1441, and A2581) were introduced in May that, if passed, would limit the ability of public employees to use or receive the entire cash equivalent of their accrued but unused vacation or sick leave in advance of, or upon, retirement.
