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Legislative Updates

Expansion of Paid Leave Act to Impact Small Businesses

On November 30, the CCSNJ opposed A-5166 (Quijano/Reynolds-Jackson), which would amend the current New Jersey Family Leave Act (FLA) to treat the smallest of businesses the same as large corporations. Current law states that employers with less than 30 employees do not have to hold an employee’s job for them if they go out on extended leave under the FLA. However, as originally introduced this bill removes the small business exemption altogether holding a business with one or more employees to the same standard as larger enterprises.

The CCSNJ agrees with the sponsors that no employee should have to feel that they must forgo their family leave due to fear of job loss. However, the reality is that small businesses have very different challenges than bigger businesses. With most small businesses struggling to maintain their current workforce, the CCSNJ believes A-5166 (Quijano/Reynolds-Jackson) will make it even more difficult to operate, as it will be challenging for small employers with limited employees, limited resources and limited time to identify a worker that would be willing to take a job temporarily with no definitive end date.

The bill was amended in Committee to exempt businesses with less than five employees from the proposed FLA expansion. Once amended, the bill passed Committee by a vote of 7 – 2 and moves to 2nd reading in the Assembly. The Senate counterpart, S-3825 (Cryan) has yet to be considered by the Senate Labor Committee.

 To read the CCSNJ’s full testimony, please click here.

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For any Government-related comments, questions or suggestions please contact:

Hilary Chebra

Manager, Government Affairs, CCSNJ

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