Update Applicable to:
All Employers
What happened?
On April 24, 2023, New Jersey Governor Phil Murphy signed A4772/S3215, which addresses unemployment insurance (“UI”) benefits for workers during labor disputes, including strikes. This bill addresses certain loopholes that currently prevent workers participating in labor disputes, such as strikes, from receiving access to UI benefits.
What are the details?
In particular, the bill amends existing law to:
- Permit UI benefits to be distributed to workers during an employer lockout even if a strike did not immediately precede the lockout;
- decrease the timeframe from 30 days to 14 days following a strike that UI benefits are disqualified, while allowing for benefits to be paid immediately regardless of the timeframe if replacement workers are hired on either a permanent or temporary basis; and
- clarify that there is no disqualification if an issue in the labor dispute is found to be the failure of the employer to comply with an agreement between the parties.
The Bill took effect immediately and will apply to all UI benefit claims filed on or after January 1, 2022.
For more information, please see the links below:
Bill: AB 4772
Law Firm Summaries/Opinions: Article 1, Article 2
What do employers need to do?
Employers should review the above links to become familiarized with the amendments and exceptions within the law.
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