Madden Bill Concerning Labor Harmony Agreements for Hospitality Projects Passes Senate

Trenton –Legislation sponsored by Senator Fred Madden, which would address labor harmony agreements for hospitality projects, passed the Senate today.

“Investment is both essential and risky,” said Senator Madden (D-Camden/Gloucester). “As a state we give incentives to minimize the risk because it often takes years before investors get to see any return at all. This bill is to insure that after a project is completed and a business is operational, that it wouldn’t also be at risk losing the labor needed to run. We all have a stake in the success of our businesses and this is to make sure we minimize the risk as best we can so as to give them the strongest possible opportunity for success.”

The bill, S-3923, would require that the state include a labor harmony agreement as part of a contract entered with a contractor in connection with hospitality business projects.

During the duration of the labor harmony agreement, any participating labor organizations representing either hospitality workers or retail workers would refrain from picketing, work stoppages, boycotts, or other interference against the contractor.

The duration of the labor harmony agreement would be no less than five years, and if a successor or subcontractor enters the project, they would also enter into an agreement no less than five years in duration.

The bill was released from the Senate by a vote of 31-5.