Statement: Sherrill administration should have delayed New Jersey’s new independent contractor regulations

The Sherrill administration should have delayed New Jersey's new independent contractor regulations. Allowing them to take effect today creates unnecessary uncertainty for businesses and independent contractors across the state.

The New Jersey Chamber of Commerce, NJBIA and other business organizations urged the administration to delay implementation until July 2027 to allow time to address serious concerns with the rules. The regulations change how the state applies its already-strict "ABC test" for determining whether a worker can be classified as an independent contractor, potentially making it more difficult to maintain legitimate independent-contractor relationships.

No one supports the intentional misclassification of workers. But efforts to prevent abuse should not undermine legitimate business arrangements or restrict opportunities for people who choose independent work.

We also should not follow California's path of responding to problems with its independent contractor law by creating numerous exemptions and carve-outs for specific professions and industries. That approach creates an increasingly complicated patchwork of rules and even more uncertainty. New Jersey needs a clear, consistent and workable standard that applies fairly across our economy.

At a time when New Jersey must improve its business climate and competitiveness, we should be reducing uncertainty-not creating more of it. We urge the administration and Legislature to act quickly to address these concerns.

-Tom Bracken, President & CEO, New Jersey Chamber of Commerce