Schaer Bill to Establish Employment Protections for Service Employees Heads to Governor

(TRENTON) – Seeking to shield service workers from job loss, a bill sponsored by Assemblyman Gary Schaer to establish employment protections for certain service employees during changes of ownership received final legislative approval on Friday. With a vote of 43-33 in the Assembly and 21-14 in the Senate, the bill now heads to the Governor’s desk.

The measure (A-4682) would require employers that enter into a contract or subcontract with service employees to take steps to protect their employees should the service contract transfer to a new employer.

“Employees in New Jersey should not have to worry they might lose their jobs overnight if a change of ownership occurs. During periods of transition, it is important that we prioritize the needs of our workforce and give them peace of mind during uncertain times,” said Assemblyman Schaer (D-Bergen, Passaic). “This legislation will better protect service employees, ensuring they have more job stability when ownership of a contract changes.”

Under the bill, no less than 15 days before terminating or transferring any service contract, or selling or transferring the property where service employees work, an outgoing employer would be required to provide notice of the action and information about the new employer to affected service employees and their collective bargaining representatives. The succeeding employer would be required to retain an affected service employee at a covered location for 60 days or until its service contract is terminated, whichever comes first.