EDIT: We previously reported on a phased in reduction of the employer threshold scheduled for 2027 and 2028. We are republishing this e-alert to clarify that the law will only reduce the threshold on July 17, 2026 to cover employers with 15+ employees in the preceding calendar year. We have also included a few additional pieces of information. NFC is planning to host a complimentary webinar on this topic this spring and we encourage you to keep an eye out for that invitation and join us if you can.
Governor Murphy may have left the office but not before leaving one final parting gift for New Jersey employers. On January 17, 2026, then-Governor Murphy signed into law A3451/S2950 which revises the New Jersey Family Leave Act (NJFLA) to significantly broaden employer coverage, lower employee eligibility requirements, and extend leave to more than 400,000 additional employees. For most employers not already covered, the question is no longer if, but rather when, they will be required to provide employees with NJFLA leave. To learn more about the potential impact on your workplace, read on for a brief recap of current requirements and highlights of the amendments.
Current NJFLA Requirements
The NJFLA requires covered employers to provide eligible employees with up to 12 weeks of job-protected leave in a 24-month period for qualifying reasons, including time off to bond with a child, care for the serious health condition of a family member or someone equivalent to family, or provide care or treatment for a child whose school or daycare is closed due to a public health emergency. For additional details, see HERE.
Currently, employees are eligible if they:
- Are employed by a covered employer for at least 12 months; and
- Have worked at least 1,000 hours during the preceding 12 months.
Currently, employers are covered if they employ 30+ employees in the preceding calendar year.
Lower Eligibility Requirements
Effective July 17, 2026, employees are eligible if they:
- Are employed by a covered employer for at least three months; and
- Have worked at least 250 hours during the preceding 12 months.
Expanded Employer Coverage
- Effective July 17, 2026, the law covers employers with 15+ employees in the preceding calendar year.
Additional Protections for Temporary Disability Leave
The amendments appear to strengthen job protections for employees utilizing temporary disability benefits (TDI) or family temporary disability leave benefits (FLI) but some ambiguity remains with respect to the following provisions:
- Job Protection: The amendment requires employees to be restored to their position or a position with equivalent seniority, pay, and benefits upon their return. Employers are, however, awaiting guidance as to whether this confers absolute job protection when employees are collecting FLI and TDI, especially given that employees can take up to twenty-six (26) weeks of TDI.
- Concurrent Leave: The amendment allows employees eligible for both earned sick leave, and either TDI or FLI, to use the leaves in the order of their choosing. There is confusing language in this section, which states that the employee “shall not receive more than one kind of paid leave simultaneously during any period of time.” Since this appears to conflict with typical concurrent leave practices with regard to use of earned sick leave, we are awaiting further guidance from the state as to the implications of this language.
Employer Takeaways
To prepare in advance of the effective dates, employers should:
- Determine which effective date applies to your organization based on the preceding year’s employee headcount.
- Update tracking systems to flag employee eligibility at three months and 250 hours of service.
- Revise leave and handbook policies to reflect the expanded employer coverage threshold, lower eligibility requirements, and appropriate coordination of applicable state and federal leave laws.
- Update leave request forms, eligibility notices, and reinstatement documentation in accordance with the amended law.
- Train appropriate personnel on the amended requirements to ensure compliance when administering leave.
If you have any questions related to the NJFLA amendments or need assistance preparing your workplace for compliance, please feel free to reach out to the NFC Attorney with whom you typically work or call us at 973.665.9100.