NEW JERSEY — Temporary workers and labor advocates are celebrating a federal court ruling that rejected an effort by New Jersey staffing agencies to block the enforcement of the equal pay and benefits provisions in the state’s Temp Workers’ Bill of Rights. District Court Judge O’Hearn’s August 30 decision denied an emergency injunction requested by staffing agencies and lobbying groups to halt the implementation of the law.
The New Jersey Staffing Alliance and New Jersey Business and Industry Association originally filed for an injunction in May 2023, attempting to stop the law from taking effect. Their initial efforts were unsuccessful, and they later amended their complaint to argue that the equal pay and benefits provision conflicted with the Employee Retirement Income Security Act (ERISA). However, Judge O’Hearn ruled against the plaintiffs, stating that their ERISA argument was raised too late and failed to demonstrate immediate harm.
Judge O’Hearn criticized the plaintiffs for their delayed legal strategy, calling it an attempt to take a “second bite at the apple” after their first approach failed. The court’s decision also reversed a previous finding that the plaintiffs were likely to suffer irreparable harm and questioned their likelihood of winning the case on its merits. The judge noted that the staffing agencies had not provided sufficient evidence to back their claims, including how the law impacted their operations or how many agencies had established benefit plans in response to the legislation.
“Plaintiffs certainly should be aware of and have factual information to support their allegation of a burden,” the judge stated. The ruling highlighted several shortcomings in the plaintiffs’ case, including their failure to provide specific details on the number of agencies affected by the law or the costs associated with compliance.
Garrett O’Connor, Director of Worker Organizing and Policy for Make the Road New Jersey, praised the decision. “The judge’s ruling certainly seems to be the most embarrassing loss for the staffing industry lobby to date,” O’Connor said. “It’s time to drop the schemes and games and accept that the Temp Workers’ Bill of Rights is not going away.”
Adriana Alvarez, a temp worker in the logistics industry and member of Make the Road NJ, shared her experiences working with staffing agencies. “I’ve worked for several staffing agencies over the last 10 years, and the trends are the same: minimal safety training, excessive charges for ‘off the books’ transportation, retaliation for speaking up, and late or incomplete pay,” Alvarez said. “I’m glad to see a judge is setting a bar for the staffing agencies. They’re definitely not used to it.”
The Temp Workers’ Bill of Rights, enacted to address inequities in the temporary labor market, requires staffing agencies to provide equal pay and benefits to temporary workers, along with other protections. The law remains in effect as the case moves forward.
