TO: Members of the Assembly State and Local Government Committee

FROM: Hilary Chebra, Director, Government Affairs, CCSNJ

RE:  A-5358 (Haider/McCoy/Kane)

The Chamber of Commerce Southern New Jersey (CCSNJ) respectfully opposes A-5358 (Haider/McCoy/Kane), which would reduce the threshold for required participation in the New Jersey Secure Choice Savings Program from businesses that have 25 or more employees to businesses that have one or more employees.

We have significant concerns regarding the potential impact of this bill on the business community, particularly on small and micro businesses, which have the least amount of resources and capacity to comply with additional regulatory requirements. Expanding the scope of the program in this way will impose unnecessary administrative burdens, diverting critical resources away from job creation, business expansion, and overall economic growth.

While the CCSNJ acknowledges the pressing need for increased retirement savings among Americans, we believe that expanding the Secure Choice Program to include small businesses presents the same concerns as the original legislation with even more severe consequences. Small businesses, especially those without dedicated human resources departments, would be forced to manage enrollment, payroll deductions, and compliance for a state-run program—tasks that would be costly and difficult to execute effectively.

We also believe that participation in retirement programs should be a voluntary, informed decision made by employees, rather than a government mandate. The current version of the bill risks limiting employee choice and undermining the flexibility of existing private-sector retirement plans. Instead of expanding government-run programs, we believe the focus should be on increasing public education around retirement planning. Organizations such as AARP already play a valuable role in educating the public on retirement preparedness, and they should be empowered to expand their outreach efforts to address these issues more effectively.

In conclusion, while we recognize the laudable intention behind A-5358, we believe that its implementation would place an undue burden on New Jersey’s small business community and may inadvertently discourage the use of more flexible, private-sector retirement options that offer personalized guidance and better financial outcomes for employees.

For these reasons, we respectfully oppose A-5358.