New Jersey lawmakers plan action against new Department of Labor contractor classification rule

New Jersey lawmakers plan action against new Department of Labor contractor classification rule
Anthony M. Bucco, Senator — Official Website
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Senator Declan O’Scanlon, Assemblyman Gerry Scharfenberger, and Assemblywoman Vicky Flynn of New Jersey’s 13th legislative district announced plans to introduce legislation targeting recent changes proposed by the state Department of Labor and Workforce Development. The new rules would alter how independent contractors are classified in the state.

Both Democratic and Republican legislators have expressed opposition to the proposed rule, urging the New Jersey Department of Labor (NJDOL) to reconsider.

“This is yet another misguided attempt by the Murphy administration to overregulate New Jerseyans out of their livelihoods,” said Sen. O’Scanlon. “These proposed rules by the DOL directly contradict the Legislature’s intent and would wreak havoc on independent contractors who rely on flexibility and autonomy to make a living. We’re not going to sit back and let unelected bureaucrats and Trenton Democrats make life more expensive and more complicated for thousands of hardworking people. That’s why I’ll be introducing legislation to declare these rules inconsistent with legislative intent and stop them before they do serious harm if the DOL doesn’t respond to the public outcry and significantly modify or entirely rescind the proposed rule changes. The livelihoods of countless New Jerseyans are on the line.”

Assemblyman Scharfenberger added, “The proposed changes would be disastrous for anyone who depends on the flexibility that independent contracting provides. From small business owners to part-time freelancers, this is a lifeline for thousands of people across New Jersey. Stripping away this independence would burden both gig workers as well as businesses who prefer to work with independent contractors in a more copacetic arrangement. This is government fixing what isn’t broken—and we will not let it happen.”

“These rules are a direct attack on worker freedom and the ability of New Jerseyans to control their own livelihoods,” said Assemblywoman Flynn. “For many independent contractors—especially parents, caregivers, and those juggling multiple jobs—this flexibility isn’t a luxury, it’s a lifeline. The Murphy administration’s proposal would rip that away, forcing people into rigid employment models that don’t work for their lives. I will fight alongside Senator O’Scanlon and Assemblyman Scharfenberger to stop this overreach in its tracks and ensure Trenton doesn’t crush the very opportunities our residents depend on.”

The rule change involves reinterpreting New Jersey’s “ABC test,” which has long been used to determine whether workers should be considered employees or independent contractors. If enacted as proposed, it could lead many gig workers—including rideshare drivers, financial advisors, truck drivers, freelance creatives, and others—to lose their independent status.

Under Article V, Section IV, paragraph 6 of the New Jersey Constitution, legislators can review administrative rules or regulations for consistency with legislative intent. If found inconsistent through a concurrent resolution passed by both houses, this finding can be transmitted to both the Governor and relevant agency leadership.

A similar law was adopted in California in 2019 but was largely reversed within a year after reports that it had negative effects on residents and gig workers.



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