Garden State independent contractors have reason to worry. Their worker freedom—such as the freedom to be self-employed, freelance, or work gigs and sidehustles—is at risk.
The New Jersey Department of Labor has proposed to enforce California-style restrictions on its independent workforce.
Freelancers have spoken out loud and clear that this regulation would be detrimental to their livelihoods and severely limit their opportunities for flexible work. Just as happened in California.
Women depend on flexibility to work on when, where, and how they choose so that they can balance work with important priorities such as raising children, caring for aging parents, and managing their own health issues. Some freelancers are pursuing entrepreneurship or education.
Americans should have access to the work arrangement that best suits their unique circumstances. They should not be forced to work 9-to-5 jobs!
Policymakers in New Jersey need to learn this lesson.
Background
As I wrote for IWF recently,
The New Jersey Department of Labor and Workforce Development (NJDOL) filed a notice of proposal for new rules to codify its interpretation of the ABC test to determine independent contractor (IC) status. This is the same three-pronged test California implemented to determine whether a worker should be classified as an independent contractor or an employee for purposes of wages, taxes, overtime, unemployment insurance, and other mandates.
…
What’s clear is that the new interpretation of the ABC test is more restrictive. The intended outcome is to reduce the number of independent workers.
Furthermore, the commissioner is insinuating that not all independent contractors are bona fide. This is a common critique from the left, which assumes that self-employment, gig work, and freelancing are not “good” jobs.
You can read more about the specifics of the proposal and analysis from legal experts here.
Also, Julie Gunlock and I recently recorded an IWReacts video breaking down this new proposal:
Act Now
We need you. We need to flood the NJ DOL with comments opposing this move. The 60-day commenting period on the regulation ends August 6, 2025.
Tell the DOL to stop this effort to reclassify self-employed professionals, entrepreneurs, gig workers, and freelancers.
Oppose New Jersey’s crackdown on independent contractors here: