Sick Leave Act and Law Against Discrimination
New Jersey employers should prepare for two new pieces of legislation designed to provide more “employee-friendly” policies in the workplace.
Equal Pay Act
The Equal Pay Act, which will take effect on July 1, 2018, “amends the New Jersey Law Against Discrimination (NJLAD) to add an equal pay section”.
JD Supra notes that there is a prohibition against employers reducing pay to comply with the Act.
This means that employers may not reduce the pay of higher-paid employees in an effort to even out salaries, but instead must raise any salaries for members of protected classes who are being paid less for substantially similar work, which could have an enormous financial impact upon employers.
Sick Leave Act
Additionally, the Governor is expected to sign the New Jersey Paid Sick Leave Act, which will “pre-empt any sick leave laws passed by cities and towns” in the state. JD Supra adds:
The Act applies to all employers, except public employers, that are already subject to other sick leave laws. The Act’s eligible employees are all employees EXCEPT: per diem healthcare employees, public employees who already benefit from sick leave requirements and union construction workers.
For more on these two new laws, please click here.