In response to the tremendous opposition on S4204, Senator Sweeney began responding today with a form letter email, claiming that the bill "will not change" how independent contractors are classified, and that it "will simply codify that test as it is currently applied by the Department of Labor and Workforce Development." 

But THAT is the problem.

Change is necessary, because the existing ABC test is outdated, vague, and being applied by the NJ Department of Labor in a very narrow way.  For years, the NJDOL has been subjectively interpreting the ABC test, making it easier to find law-abiding companies guilty of misclassification and restrict the use of independent contractors.

In 2018, the NJDOL quietly changed their regulations to declare the ABC test the primary criteria for determining if someone is an employee vs. an independent contractor. The Port Community objected, and were ignored. Under the new rules, independent contractors must pass the ABC test “to the satisfaction of the division”— without considering the more inclusive, nuanced guidelines used by the Internal Revenue Service, commonly known as the 20-factor test.

That's why Senator Sweeney’s new plan to codify the ABC test and make it law is so dangerous. The DOL has already made it nearly impossible for anyone to be classified as an Independent Contractor. Even if amended to restore the full ABC language, S4204 will give permanence to the DOL’s subjective application of the test--a test which is deeply flawed, and does not address the needs of independent contractors in the modern-day era.

Labor statistics show that this attack on Independent Contractors will disproportionately harm minorities, women, and seniors, but rest assured, all New Jerseyans will feel the pain of S4204. Just as we're already seeing in California, business owners will conclude that using Independent Contractors from NJ are too much of a risk, and those jobs will be lost. The intermodal trucking community will be especially hard hit, and when transportation costs go up, the cost of everything consumers buy--including food, medicine, clothes, fuel, electronics--will skyrocket.

I believe there is a simple way to fix this: reverse what was done in 2018, reinstate the usage of the IRS 20-factor criteria, and force the DOL to use those guidelines again. I have proposed this solution to Senator Sweeney and Assemblyman Egan, but they have not responded, nor have they made good on any of their promises to meet with us to review our concerns--despite over 7,000 signatures on this petition, and counting. *THERE IS A HEARING ON THIS BILL ON THURSDAY DEC 5th--see our Call to Action page for details*

If the true goal of this legislation is to reduce the misclassification of independent contractors, then our representatives must take action to modernize the standard by which that determination is made, and keep pace with the evolution of our workforce.

Please do not believe the "spin" that is now being disseminated on this bill. The sponsors still do not seem to understand the ramifications of this legislation, or the negative effect it will have on ALL New Jerseyans. 

For more information and resources, please visit our Emergency Call to Action page (link below) and the Stop 4204/A5936 website, which is aimed at helping independent contractors from a variety of industries in NJ: https://fightforfreelancers.com/

Thank you for your support!