Politics & Government

Extra Vote Doesn’t Stop ‘Temp Worker Bill of Rights’ In NJ Legislature

A proposed law that would create a "bill of rights" for temporary workers in New Jersey is headed to the desk of Gov. Phil Murphy – again.

NEW JERSEY — A proposed law that would spell out a “bill of rights” for temporary workers in New Jersey is on its way to the desk of Gov. Phil Murphy – again.

Earlier this week, the New Jersey Senate gave a thumbs-up to S-511 during a special session, reconciling it with the Assembly version of the bill, A-1474. The legislation narrowly passed both chambers of the Legislature in June, but never reached the governor’s desk because the previous versions weren’t properly combined. Read More: NJ 'Temp Worker Bill of Rights' Would Protect 127,000 Employees, Advocates Say

If it becomes law, the bill would provide key protections to temp workers, including "ensuring equal compensation, providing more transparency, eliminating excessive fees, and instituting anti-retaliation measures."

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Supporters of the bill say it’s needed to protect one of the most vulnerable groups of employees in the state. But some critics argue that it will result in “burdensome requirements” – and possibly lawsuits – for temporary staffing agencies and the third-party companies that use them.

There are more than 127,000 people in New Jersey employed by temporary staffing agencies, according to the Bureau of Labor Statistics.

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A week before Monday’s vote, more than 20 advocacy groups, including several of the state’s largest labor unions, sent a letter to Senate leadership and Gov. Murphy, urging them to pass the bill immediately.

Read the full letter here.

According to advocates:

“A recent survey of temp workers conducted by the National Employment Law Project and New Labor of New Jersey found that nearly 90% of make less than $15/hour. Further lowering wages, 95% pay $30/week or more for agency-mandated rides to work in crowded and unsafe vans. Only 12% had health insurance and only 36% said they were provided paid sick leave as required by New Jersey state law. A mere 5% of temp workers reported receiving safety training as required by law, and 74% are afraid of retaliation and losing their jobs if they speak out about unsafe conditions or workplace sexual harassment.”

Advocates continued:

“The Temporary Workers’ Bill of Rights provides much needed protections for temps throughout New Jersey. For instance, under the proposed legislation, agencies must provide each worker with written notice of the terms and conditions of each assignment, including pay rate, hours, length of assignment, health and safety issues, and amount of sick leave they are entitled to under state law. Agencies would be barred from charging predatory fees, and workers would be compensated when they report to a worksite and are sent home without working.”

Signatories to the letter include: Communications Workers of America New Jersey , AFL-CIO; International Union of Painters and Allied Trades District Council 21; Retail Wholesale and Department Store Union Local 262; Retail Wholesale and Department Store Union Local 108; Service Employees International Union Local 32BJ; Teamsters Joint Council 73; Teamsters Joint Council 53; American Civil Liberties Union of New Jersey; CATA Farmworker Support; Clean Water Action; Faith in New Jersey; Ironbound Community Corporation; Make the Road New Jersey; National Employment Law Project; National Organization for Women (NOW) New Jersey; New Labor; New Jersey Alliance for Immigrant Justice; New Jersey Citizen Action; New Jersey Policy Perspective; New Jersey Time to Care Coalition; New Jersey Working Families Party; and NJ 11th for Change.

If it becomes law, the bills would give a big boost to workers like Dayse Rodriguez, activists previously told Patch.

"For too many years, temp workers like me have been subject to wage theft, abuse and exploitation," said Rodriguez, a member of Make The Road NJ, one of the groups supporting the proposed law.

"During the pandemic, we risked our lives to do essential work without adequate protections," Rodriguez said. "That's why we have been fighting for years for the Temp Workers' Bill of Rights."

"Now, we now have the possibility of a decent and safe job," Rodriguez added.

Advocates have pointed to a recent report from Make the Road NJ and New Labor, which profiles workers employed in essential jobs through temp or staffing agencies in New Jersey. Many of the workers said "temporary" jobs are how they make their living year-round.

According to the bill, there are roughly 100 temporary help service firms with several branch offices licensed throughout the state. In addition, there are a "large, though unknown, number of unlicensed temporary help service firms that operate outside the purview of law enforcement."

Full-time temporary help service firm workers earn 41 percent less than workers in traditional work arrangements, and these workers are far less likely than other workers to receive employer-sponsored retirement and health benefits, the bill states.

‘COMPLETELY UNWORKABLE FOR BUSINESSES’

Advocates have insisted the bill would be good for businesses in addition to workers, because it would allow law-abiding agencies to “avoid a race to the bottom with unscrupulous employers.” But according to the New Jersey Business & Industry Association (NJBIA), if the proposed law gets the governor’s signature, it will be a huge thorn in the side of temp agencies and the clients they service.

For example, one provision in the bill requires temporary workers to receive the same compensation and benefits as their equivalent employee counterparts – an “unworkable” proposal, NJBIA Director of Government Affairs Alexis Bailey said.

“Benefits can encompass a wide range of offerings such as health insurance, 401(k) matches, life insurance policies and other unique features of compensation packages,” Bailey said. “Since temporary laborers are not employees of third-party businesses, they cannot be directly enrolled into the various types of benefit plans that may be provided to a third-party business’ permanent workforce.”

“Additionally, temporary help service firms assign temporary laborers to various workplaces,” Bailey said. “It would not be administratively possible for them to execute these equivalent, extensive benefits packages based on offerings that will vary widely across companies.”

The legislation also calls for a “private right of action” against third-party companies that could lead to expensive class-action lawsuits with the potential for large settlements that drive up the cost of doing business.

It includes joint legal liability between third-party businesses and temporary help service firms for certain violations, Bailey said.

“This provision, coupled with the extensive legal remedies, will lead to the possibility of litigation for third-party businesses using workers from a properly registered temporary help service firm - even if that firm commits violations that could be out of their control,” Bailey said.

According to Bailey, the commissioner of the Department of Labor already has “extensive authority” to penalize bad actors through current statutes.

“While the intent of the bill is to create additional protections for temporary workers, the provisions in it range from concerning to completely unworkable for businesses which are often challenged enough to maintain their workforces,” Bailey said.

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