Mercer Times

Attorney General Matthew J. Platkin and New Jersey Department of Labor and Workforce Development Commissioner Robert Asaro-Angelo have announced a $2.7 million settlement with Publishers Circulation Fulfillment, Inc. (PCF). The company was found to have misclassified its delivery workers as independent contractors instead of employees.

PCF, a Maryland-based firm, distributes printed media to households in New Jersey. The investigation into PCF began in 2021 and focused on the company's compliance with state employment laws from 2019 to 2022. It was revealed that PCF exercised significant control over its workforce, which primarily consists of immigrants working night shifts for low wages. The company failed to classify these workers as employees, resulting in unlawful pay deductions.

Attorney General Platkin stated, “Exploitation of employees, including through misclassification, is not only illegal but also unjust, unethical, and unfair.” He emphasized the loss of essential protections for workers due to such practices.

Labor Commissioner Asaro-Angelo added, “New Jersey workers are entitled to and deserve a just and fair labor market.” He encouraged exploited workers to report their situations for investigation and potential recovery of lost benefits.

The settlement includes $1.6 million for eligible delivery workers paid in six installments. Additionally, PCF will pay $410,000 in penalties to NJDOL while $700,000 remains suspended pending any breach of the agreement by PCF.

In October 2022, PCF had previously settled for failing to contribute approximately $2.7 million to the State’s Unemployment Compensation Fund and Disability Benefits Fund between 2015 and 2018.

Moving forward, PCF has agreed to classify all current and future delivery workers as employees under New Jersey's wage and hour laws as well as other applicable state labor laws.

The State will monitor compliance with this agreement over the next two years. Representation for NJDOL is provided by Deputy Attorneys General Nadya A. Comas, Jeffrey L. Olshansky, Marc D. Peralta under Labor Enforcement Section Chief Eve E. Weissman and Assistant Attorney General Mayur P. Saxena.