Executive Summary: On September 27, 2012, two members of the New Jersey Assembly introduced Assembly Bill 3310, which authorizes the New Jersey Department of Labor and Workforce Development (NJDOL) to investigate, mediate and prosecute claims by certain independent contractors that they were not properly paid in their transactions with businesses and non-profits. The bill imposes additional record-keeping requirements on businesses and non-profits that contract with certain independent contractors and establishes civil and criminal penalties for violations of the law. If passed, this law would create a minefield for all businesses and non-profits in New Jersey who use independent contractors and could severely hurt New Jersey sole proprietors.
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