(650) 332-8623New Jersey Labor Laws: A Complete Guide to Wages, Breaks, Overtime, and More (2025)
In this article, we’ll dive deep into New Jersey’s labor laws, with details on all the important aspects of the state’s regulations on your employees.
What’s New in 2025?
New Jersey Meals and Breaks
NoneFor Lunch Breaks
New Jersey has no specific labor laws regarding meal breaks for adult employees, leaving it to employers’ discretion.
Similarly, there are no federal mandates for meal breaks. The Fair Labor Standards Act (FLSA offers guidance on compensation for these breaks.
Bona fide meal periods, lasting at least 30 minutes and during which the employee is fully relieved of duty, are generally not compensable.
20 MinutesFor Rest Breaks
New Jersey does not require employers to provide rest breaks for employees, but many offer them as a matter of company policy.
If an employer provides rest breaks, they should be paid if the break lasts less than 20 minutes.
New Jersey Leave and PTO
The New Jersey Family Leave Act or NJFLA allows eligible employees to take up to 12 weeks of unpaid leave in a 24-month period for the birth or adoption of a child or to care for a family member with a serious health condition.
It’s important to note that this is separate from the federal Family and Medical Leave Act or FMLA, which sometimes overlaps.
On the federal side, eligible employees in New Jersey are also covered under the FMLA, which offers up to 12 weeks of unpaid leave in a 12-month period for certain family and medical reasons.
New Jersey requires employers to provide paid sick leave for employees, who earn one hour of sick leave for every 30 hours worked, up to 40 hours per year.
This leave can be used for personal illness, to care for a sick family member, for certain public health emergencies, or to attend a child’s school-related meeting or event.
Unlike sick leave, New Jersey law does not require employers to provide paid or unpaid vacation leave. However, if an employer offers vacation time, they must adhere to established policies or employment contract terms.
New Jersey Wages and Overtime
$15.49 /hourMinimum Wage
Effective January 1, 2025, New Jersey’s statewide minimum wage for most employees will increase by $0.36 to $15.49 per hour.
$5.62 /hourTipped Minimum Wage
The minimum cash wage for tipped employees will rise to $5.62 from $5.26 per hour. The maximum tip credit employers can claim remains at $9.87. Tipped employees’ total earnings (cash wage plus tips) must at least equal the state’s general minimum wage of $15.49 per hour.
1.5x HourlyOvertime Rate
In New Jersey, the general rule is that employees must receive overtime pay for hours worked over 40 hours in a given workweek. This overtime pay is one and a half times the employee’s regular pay rate.
Overtime is calculated based on the employee’s regular pay rate, including their hourly wage plus non-discretionary bonuses, commissions, and other incentive pay.
2x MonthlyPay Frequency
Employers must pay employees at least twice a month on designated regular paydays.
The minimum hourly wage for employees of seasonal and small employers will also increase. Beginning January 1, 2025, it will be $14.53, up from $13.73.
Agricultural workers and farm employees earning hourly or piece-rate wages will also receive an increase in 2025. From the minimum hourly wage of $12.81, it will now be $13.40.
Additionally, the minimum hourly wage for direct care staff at long-term care facilities will rise by $0.36 to $18.49.
Subminimum wages are allowed in New Jersey for certain groups, such as youth under 18 in seasonal or part-time roles, full-time students, and individuals with disabilities. However, guidelines must be followed, and the New Jersey Department of Labor must approve them to ensure fair pay standards.
There are exemptions from the minimum wage requirements, such as the following:
- Outside sales personnel
- Motor vehicle sales personnel
- Part-time in-home daycare providers or babysitters
- Employees at non-profit or religious summer camps, conferences, and retreats operated from June to September
Track overtime to the minute and save thousands with Workyard
See how it works
NJ Prevailing Wages
$20.80Laborer
The prevailing wage rate per hour for laborers in residential and modular construction is $20.80.
$133.90Electrician/General Foreman
The prevailing wage rate per hour for electrician/general foreman in New Jersey is $133.90.
Prevailing wages are essentially minimum pay rates set for laborers, craftsmen, and apprentices working on public works projects. These wages are determined based on collective bargaining agreements for a specific craft or trade within the locality of the public work. These wage rates vary by county and type of work.
The Act applies to public works projects funded wholly or partially with public funds. For contracts awarded directly by municipal governments, the project must be valued at $16,263 or more to fall under the Act. For other public entities, like municipal utility authorities and boards of education, the threshold is $2,000.
Contractors or subcontractors engaged in these public works projects must register with the Division of Wage and Hour Compliance under the Public Works Contractor Registration Act, or PWCRA. This registration is a prerequisite for compliance with the Prevailing Wage Act and includes an annual fee.
The New Jersey Department of Labor and Workforce Development provides current prevailing wage rates by county, with information on building trades, operators, and laborers.
For official determinations for specific projects, contact the contracting public entity directly. Prevailing wage rates are in effect based on the date a contract is awarded and include any predetermined rate increases specified at the time of the contract award.
New Jersery Prevailing Wage Resources
NJ Child Labor Laws
14 – 15 Years
Laws in New Jersey for children 14 and 15 years
Minors (anyone under 18) in New Jersey must obtain an employment certificate, also known as an A300 Combined Certification Form.
General Work Age: Minors aged 14 and 15 have specific limitations on the type of work they can perform and the hours they can work.
Prohibited Occupations: Minors under 18 are prohibited from working certain hazardous jobs, such as operating power-driven woodworking machinery, working with dangerous chemicals, and working near pools or billiard rooms.
Young workers between 14 and 15 years old are also prohibited from more jobs considered hazardous or unsuitable for children.
16 – 17 Years
Laws in New Jersey for children 16 and 17 years
Minors 16 and 17 years old can work up to 40 hours per week, with a maximum of eight hours per day on a school week. They cannot work before 6 a.m. or after midnight on Fridays and Saturdays.
New Jersey law restricts minors from engaging in particularly hazardous jobs, which include:
- Operating power-driven woodworking machinery
- Working with dangerous chemicals
- Being near pools or billiard rooms
- Operating punch presses and stamping machines with over ¼ inch clearance
Other Essential New Jersey Labor Laws
Health and Safety Standards in New Jersey
New Jersey has its own OSHA-approved plan, administered by the New Jersey Public Employees Occupational Safety and Health (PEOSH) Program. The New Jersey State Plan is specifically tailored to public sector employees, such as state and local government workers.
It helps ensure that public sector workers in New Jersey have safe and healthy working conditions aligned with OSHA standards, even though OSHA usually does not cover government employees at the federal level.
Private-sector employees in New Jersey are under federal OSHA’s jurisdiction.
In New Jersey, employers must…
- Provide a safe work environment free of hazards that can cause serious harm or death.
- Conduct regular inspections in the workplace.
- Comply with federal OSHA and New Jersey PEOSH standards.
- Provide training and education for employees on workplace safety and preventive measures.
- Keep records of work-related illnesses or injuries.
- Provide Personal Protective Equipment at no cost to employees.
- Respond to and address safety and health hazards reported by employees.
In New Jersey, employees should…
- Follow all safety and health rules set by employers.
- Attend workplace safety training programs.
- Use Personal Protective Equipment as required.
- Report any workplace hazards, unsafe conditions, work-related injuries, illnesses, and near-miss incidents to their employers.
Report health and safety violations (unsafe working conditions) in New Jersey to…
- Employees: Public Safety and Occupational Safety and Health
- Employees: Occupational Safety and Health Administration
- Employers: New Jersey State Plan Office
Hiring/Firing Employees in New Jersey
New Jersey is an at-will employment state, which means barring a contract stating otherwise, employers can terminate employees without prior notice for any lawful reason. Similarly, employees can resign at any time without providing a reason.
New Jersey does not have specific right-to-work laws. Right-to-work laws typically refer to state laws that govern whether workers can be required to join a union to keep their jobs.
New Jersey does not have state-specific laws that differ substantially from federal background check laws and drug testing guidelines. Regardless, employers must respect applicants’ privacy rights and comply with federal laws like the Fair Credit Reporting Act when conducting background checks.
New Jersey law allows employers to conduct drug tests, but it must be done legally and without discrimination.
New Jersey is an Equal Employment Opportunity (EEO) state. The Division of Equal Employment Opportunity/Affirmative Action (EEO/AA) ensures equal opportunities for employees and prevents discrimination and harassment against people doing business with the state.
Anti-Discrimination Laws in New Jersey
New Jersey’s robust anti-discrimination laws are encapsulated in the NJLAD, which prohibits discrimination in the workplace based on various protected characteristics.
Employers must display and, sometimes, distribute posters and notices related to the NJLAD and other anti-discrimination and employment laws. These include the Conscientious Employee Protection Act (whistleblower protection), Gender Equality notices, Family Leave Insurance Law, and more.
Employers are encouraged to post these notices in conspicuous locations at the workplace and electronically, where feasible.
The New Jersey Division on Civil Rights allows electronic posting of certain notices (like the NJLAD and NJFLA posters) on internal websites used by employees, and hard-copy posting in physical workplaces.
Employers in New Jersey may not discriminate against job applicants based on…
- Race
- Color
- Religion
- National origin
- Sex
- Age
- Genetic information
- Disability
- Sexual orientation
Employee Resignation or Termination in New Jersey
Despite the at-will nature of employment in New Jersey, employers cannot terminate employees for discriminatory reasons (based on race, gender, age, sexual orientation, disability, or other protected characteristics) or whistleblowing (refusing to participate in illegal activities or reporting workplace violations).
It’s recommended that employers maintain clear records of performance issues, warnings, and performance improvement plans. This documentation can be crucial if the termination is later challenged. Although not legally required, documenting the termination meeting is also beneficial.
Employers should also regularly review employee handbooks and company policies to ensure they are updated with all relevant grounds for termination.
Unemployment Benefits in New Jersey
Workers in New Jersey are eligible for unemployment benefits if they…
- Lost their job through no fault of their own (layoff, downsizing, etc.)
- Have earned at least $283 per week during 20 or more weeks in covered employment or $14,200 in total covered employment in the base year period
- Are able to work and actively seeking employment
Use this website to start your application for unemployment benefits in New Jersey:
Department of Labor and Workforce Development, Division of Unemployment Insurance
COBRA Benefits in New Jersey
Separated employees in New Jersey may extend employer-provided health care coverage through COBRA, which stipulates…
- Employees or their dependents who lose their State Health Benefits Program (SHBP) or the School Employees’ Health Benefits Program (SEHBP) coverage may continue their coverage under COBRA.
- The length of COBRA coverage depends on the COBRA qualifying event.
- COBRA qualifying events include:
- Reduced working hours
- Leave of absence
- End of employment (except for gross misconduct)
- Divorce or end of partnership
- Dependent child turns age 26
- Death of the employee or retiree
Final Paychecks in New Jersey
Separated employees in New Jersey must receive their final paychecks…
- No later than the next regular payday, whether they quit or were terminated.
Avoid noncompliance penalties and save thousands with Workyard
See how it works
NJ Recordkeeping Requirements
Under the Fair Labor Standards Act (FLSA), employers in New Jersey keep the following records:
1 Year
Employers must retain these documents for at least one year:
- All employment records from the employee’s termination date
2 Years
Employers must retain these documents for at least two years:
Basic employment and earning records, such as:
- Timecards
- Wage rates and wage rate tables
- Job evaluations
- Collective bargaining agreements
- Records of wage additions and deductions
- Shipping and billing records
- Seniority and merit systems
3 Years
Employers must retain these documents for at least three years:
- Payroll records
- Employment contracts
- Employee I-9s
- Certificates
- Agreements
- Notices
- Sales and purchase records
- Collective bargaining agreements
Penalties for Labor Law Noncompliance in New Jersey Wages
$100 to $1,000Wage Violations
Employers who violate minimum wage regulations can be fined between $100 and $1,000. They might also face disorderly person charges.
The Commissioner can impose administrative penalties of up to $250 for a first violation and up to $500 for subsequent violations, along with an administrative fee of 10% to 25% of any employee payments owed.
$100 to $1,000Overtime Violations
For willful violations of overtime regulations, employers can face fines ranging from $100 to $1,000, imprisonment for 10 to 90 days, or both.
$250 to $2,500Child Labor Laws
Penalties for violations include up to $250 for a first violation, up to $1,000 for a second violation, and up to $2,500 for subsequent violations.
$100 to $500 per dayUnemployment Compensation Violations
Employers failing to comply with the unemployment law changes will face higher penalties, increasing from $100 per day to $500 per day or 25% of the amount fraudulently withheld, whichever is greater.
In New Jersey, labor law violations are investigated and addressed by…
Further Details on Other New Jersey Labor Laws
Family Leave Insurance: New Jersey offers family leave insurance which provides employees with time off to care for a newborn or a sick family member. This is different from the FMLA and provides additional protections and benefits.
Safe Act: The New Jersey Security and Financial Empowerment Act or SAFE Act provides unpaid leave for employees who are victims of domestic violence or sexual assault, or whose family members are victims, for medical attention, legal services, or other related activities.
Labor Unions and Collective Bargaining Laws
Public Sector Employees: The New Jersey Employer-Employee Relations Act governs collective bargaining for state and local government employees. It provides guidelines for the formation and operation of employee unions, the process for collective bargaining, and dispute resolution.
Private Sector Employees: For private sector employees, collective bargaining rights are primarily governed by federal laws such as the National Labor Relations Act, also known as the NLRA. The NLRA grants employees the right to organize, join labor unions, and bargain collectively with their employers over wages, hours, and other terms and conditions of employment.
Union Security Agreements: New Jersey permits union security agreements, which may require all members of a bargaining unit to join the union or at least pay union dues as a condition of employment. However, such agreements are subject to the provisions of the NLRA and other relevant federal laws.
Strikes and Lockouts: The laws governing strikes and lockouts differ for public and private sector employees. Public sector strikes are generally illegal in New Jersey, while private sector employees’ right to strike is protected under the NLRA, subject to certain limitations and requirements.
Collective Bargaining for Agricultural Workers: In New Jersey, agricultural workers have the right to organize and engage in collective bargaining, a right not universally granted in all states.
The Bottom Line on New Jersey Labor Laws
Our look at New Jersey labor laws highlights several important areas that employers and employees must understand to ensure a compliant and safe work environment.
Staying informed and compliant with these laws isn’t just about adhering to legal requirements; it’s about fostering a fair, respectful, and productive work environment for all. Furthermore, understanding these laws empowers employees to know their rights and benefits, ensuring they can advocate for themselves in the workplace effectively.
Given the complexity of labor laws, employers and employees should seek legal advice for specific concerns or questions related to labor laws in New Jersey. Legal professionals can provide tailored guidance and support to navigate these regulations effectively.
For many businesses, the only real solution to compliance challenges is great software. The right business management software tends to come with built-in compliance and recordkeeping rules, regardless of your industry, how many employees you have, what they do, or how widely they’re dispersed across the state (or country).
If you operate a construction or field services company, we suggest trying Workyard for your compliance needs.
Workyard is built around the industry’s most accurate GPS tracking and geofencing technology, which ensures payroll accuracy across your workforce, no matter which job site you send them to or when you need them to work there. Workyard’s timesheet tracking system also comes with built-in federal and state overtime rules, as well as adjustable break rules you can customize at the employee level.
Workyard’s intuitive scheduling dashboard makes it easy to direct your workforce to the jobs you need to do based on their skill sets, locations, availability, and (of course) their weekly time worked – so you can avoid unnecessary overtime payments and reduce reimbursable travel expenses.
All of these tools work together to save you money. Minimize payroll waste, ensure regulatory compliance without lifting a finger, accurately assess project costs in real time, and pay your team easily, thanks to seamless payroll processing integrations.
Best of all, you can try it free for 14 days, so you can be sure it’s the right solution for your company. Just click here (or the buttons below) to get started today!
Workyard helps you stay compliant with labor laws. Find out about specific state labor laws that apply to employees hours and payroll records:
Nebraska Labor Laws: A Complete Guide to Wages, Breaks, Overtime, and More (2025)
South Carolina Labor Laws: A Complete Guide to Wages, Breaks, Overtime, and More for 2025
South Carolina Labor Laws: A Complete Guide to Wages, Breaks, Overtime, and More for 2025
Iowa Labor Laws: A Complete Guide to Wages, Breaks, Overtime, and More (2025)
Connecticut Labor Laws: A Complete Guide to Wages, Breaks, Overtime, and More (2025)
Pennsylvania Break Laws: Meals, Rests, and More (2025)
New Hampshire Labor Laws: A Complete Guide to Wages, Breaks, Overtime, and More (2025)
In New Jersey, the minimum wage will increase to $15.49 per hour, effective January 1, 2025. This increase is part of the state’s ongoing adjustments based on the Consumer Price Index (CPI) to promote economic fairness for workers.
Most Employers: Increase from $15.13 to $15.49 per hour.
Tipped Employees: Increase from $5.26 (with a $9.87 tip credit) to $5.62 per hour (with the same tip credit).
Seasonal and Small Employers: Increase from $13.73 to $14.53 per hour.
Agricultural Employees: Increase from $12.81 to $13.40 per hour.
Long-Term Care Facility Staff: Increase from $18.13 to $18.49 per hour.
These adjustments reflect New Jersey’s commitment to increasing the minimum wage annually based on inflation, ensuring that workers can maintain their purchasing power amid rising living costs.
Yes, New Jersey is an at-will employment state. This means that, in the absence of a specific employment contract, both employers and employees have the right to terminate the employment relationship at any time, for any reason, or for no reason at all. However, there are important exceptions to this general rule.
Exceptions to At-Will Employment
Discrimination: Employers cannot terminate employees based on protected characteristics such as race, gender, age, disability, religion, and national origin.
Retaliation: It is illegal for employers to fire employees in retaliation for engaging in legally protected activities, such as whistleblowing or filing complaints about workplace safety.
Implied Contracts: Courts may recognize implied contracts based on company policies or employee handbooks that suggest employees can only be terminated for just cause.
Public Policy: Employees cannot be terminated for reasons that violate public policy, such as refusing to engage in illegal activities or exercising rights under workers’ compensation laws.
Employment Contracts: If an employee has a written contract that specifies the terms of employment or conditions under which they can be terminated, those terms will take precedence over at-will status.
Understanding these aspects of at-will employment is crucial for both employers and employees in navigating their rights and obligations in the workplace.
In New Jersey, there are no specific state laws requiring employers to provide breaks for adult employees working shifts shorter than 8 hours.
Here are the key points regarding breaks in New Jersey:
No Mandatory Breaks: New Jersey does not require employers to provide meal or rest breaks for adult employees. This means that an employee can work a six-hour shift or even longer without a legally mandated break.
Short Breaks: If an employer chooses to offer short breaks (typically lasting five to 20 minutes), they must be paid. However, employers are not obligated to provide these breaks.
Breaks for Minor Employees
Minors (under 18 years): New Jersey law requires that minors receive a 30-minute break for every five consecutive hours worked and a 10-minute paid break for every four hours worked.
The 7-minute rule in New Jersey refers to the state’s stance on time-rounding practices for employee work hours.
According to New Jersey law, if an employer rounds an employee’s time, it must benefit the employee. Specifically, if an employee’s time is rounded off in a way that results in a loss of pay—such as rounding down by 7 minutes—this is not acceptable under New Jersey regulations.
Key Aspects of the 7-Minute Rule
Rounding Practices: Employers may round employee work time to the nearest 5, 6, or 15 minutes. However, if rounding results in a detriment to the employee (e.g., consistently rounding down), it could lead to violations of wage laws.
Weekly Assessment: The New Jersey Division of Wage and Hour Compliance evaluates rounding impacts on a week-to-week basis. If an employee loses time due to rounding on one day, it must be offset by gains on other days within the same workweek.
Compliance Requirement: Employers are required to ensure that their rounding practices do not systematically disadvantage employees over time. If an employer’s rounding consistently results in lost wages for employees, they may face penalties.
Notification: Employers should inform employees about their rounding policies and ensure that employees are not performing work outside their scheduled hours without compensation.
In summary, the 7-minute rule emphasizes that rounding work hours must not result in a loss of pay for employees, ensuring fair compensation practices in New Jersey workplaces.
