Prohibits payment of subminimum wage due to age, disability, injury, or status as apprentice, learner, or student through special license issued by DOLWD.
This bill prohibits employers from paying subminimum wages to workers because of age, disability, injury, or status as an apprentice, learner, or student through special licenses issued by the New Jersey Department of Labor and Workforce Development. It reflects a legislative finding that all workers deserve pay parity and that subminimum wage arrangements are inconsistent with economic justice, particularly for people with disabilities.
The bill repeals the statutory authority that currently allows the state to issue special permits for wages below the minimum wage in these categories. It also revises related provisions governing sheltered workshops and tax credits tied to the employment of “qualified persons,” removing references to special licenses authorizing subminimum wages while preserving the broader framework for extended employment programs and related tax incentives. The act takes effect July 1, 2027.
The bill would significantly change New Jersey wage-and-hour law by eliminating the legal mechanism that permits subminimum wages for certain workers under special licenses. It repeals Section 18 of P.L.1966, c.113 (C.34:11-56a17), which is the core authority for those licenses, and amends related statutes on transportation assistance and business tax credits to conform to the new policy. Employers, sheltered workshops, and workers currently covered by special wage permits would be directly affected, while the state Department of Labor and Workforce Development would lose authority to issue those subminimum-wage licenses.
The bill text is strongly supportive of eliminating subminimum wages, framing the change as a matter of fairness, economic justice, and pay parity. The available context includes no committee transcripts or recorded votes, so there is no documented opposition or support beyond the sponsor’s stated rationale. Based on the introduced text, the bill appears to be motivated by a pro-worker, disability-rights-oriented policy position.
The main point of contention is the elimination of subminimum wages for people with disabilities and other covered workers, which the bill’s sponsor characterizes as discriminatory and exploitative. Potentially affected stakeholders include sheltered workshops, employers using special wage permits, and organizations that argue such wage arrangements support employment opportunities for individuals with disabilities. The bill also raises implementation questions about how extended employment programs and related tax credits will function once the special-license wage system is repealed.