On January 19, 2026, former Governor Phil Murphy signed into law a bill that significantly reshapes employee leave rights and employer obligations in New Jersey. The legislation expands leave coverage by lowering the minimum number of employees an organization must have in order to be subject to the law and by reducing the length of time an employee must work for an employer to become eligible for leave. The purpose of the law is to ensure that newer employees and employees of small organizations receive the protection of New Jersey’s leave law.
Previously, New Jersey’s Family Leave Act (“NJFLA”) provided employees working at organizations with 30 or more employees up to 12 weeks of leave to bond with a new child, care for a sick family member, or for other qualifying reasons, with guaranteed job reinstatement after the leave. To qualify, employees were required to have worked for their employer for at least 12 months and must have worked a minimum of 1,000 hours in the previous year.
The new law significantly eases eligibility requirements. Employees now qualify for leave and job protection after just three months of employment with their employer and only 250 hours worked in the past year. Furthermore, the law reduces the threshold for employers, meaning organizations with as few as 15 employees (down from the current 30) are now subject to these provisions. For public entities, employees are already eligible for NJFLA leave regardless of employer size, and the only change is the shortened eligibility period of three months of employment and 250 hours worked in the past year.
It is important to note that the law does not alter the fact that employees who take NJFLA leave are eligible to receive up to 85% of their average weekly wages, subject to the maximum weekly benefit cap, while on leave through the New Jersey Family Leave Insurance (“NJ-FLI”) program.
For employers, this legislation represents a major shift. With fewer eligibility requirements, a wider range of employees are now able to take leave with guarantees of job protection, creating new compliance obligations. Employers will need to update policies and procedures to ensure that they comply with these expanded requirements and properly manage leave requests.
While a limited number of states already provide job protection for employees outside the scope of the Federal Family and Medical Leave Act (FMLA), New Jersey’s approach positions it as a leader in this area.
