The New Jersey Department of Labor and Workforce Development adopted new regulations on May 5, 2026, clarifying the statutory “ABC test” for use in determining whether a worker is an independent contractor or employee. The regulations will be published on June 1, 2026, and are set to take effect on October 1, 2026.
What Does the New Rule Provide?
The new regulations will apply to multiple statutes enforced by the NJDOL including the New Jersey Unemployment Compensation Law, the New Jersey Wage and Hour Law and the New Jersey Wage Payment Law. As noted in the comments to the Final Rule, New Jersey’s ABC test has been the test for independent contractor status under the State’s Unemployment Compensation Law since 1936.