The impact of amendments to the New Jersey Family Leave Act (NJFLA), which take effect July 17, 2026, will be substantial for employers throughout New Jersey. By reducing the coverage threshold from 30 employees to 15 employees and expanding employee eligibility requirements, the amendments will bring many employers under the statute for the first time while extending protections to a larger segment of the workforce.
Beginning July 17, employers with 15 or more employees will be subject to the NJFLA. Businesses that previously fell below the 30-employee threshold should evaluate their obligations now and ensure their policies and procedures comply with the amended law.
In addition to expanding employer coverage, the amended NJFLA broadens eligibility for employees and creates new reinstatement obligations for employers. These changes carry significant compliance implications and may increase potential exposure to liability for employers that fail to comply with the statute.
Below are several of the most significant changes employers should understand before the law takes effect.
Employers that fail to comply with the NJFLA may face enforcement actions by the Attorney General as well as individual or class action lawsuits. Available remedies may include compensatory damages, punitive damages, attorneys’ fees, and other relief authorized by statute.
Preparing for July 17
Employers should use the period before the effective date to review existing policies, assess workforce eligibility, and update leave administration procedures. Key steps include:
1. Review workforce size to determine whether the business will become covered for the first time under the new 15-employee threshold.
2. Update employee handbooks and leave policies to reflect the amended eligibility requirements and employee rights.
3. Revise leave administration procedures to account for the new three-month/250-hour eligibility standard and the interaction between NJFLA, Family Leave Insurance (FLI), Temporary Disability Insurance (TDI), and earned sick leave.
4. Train supervisors, managers, and human resources personnel on the expanded protections and reinstatement obligations.
The amendments represent one of the most significant expansions of the NJFLA in recent years. Employers that prepare now will be better positioned to maintain compliance, minimize risk, and avoid costly disputes once the law takes effect.
Andrew S. Berns, is partner, chair of the Einhorn Barbarito Commercial Litigation and Employment practices & Jenna A. Shorr, is an associate.
