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Thursday, March 12, 2026

New Jersey enacts wide expansion of job-protected family leave and benefits - Reed Smith LLP

On January 18, 2026, Governor Phil Murphy, in one of his final acts as governor, signed into law A3451/S2950, which amends the New Jersey Family Leave Act (NJFLA) to broadly expand employer coverage and employee eligibility. The amendments also convert the receipt of Temporary Disability Insurance (TDI) and Family Leave Insurance (FLI) benefits into job-protected leave. The expanded law will go into effect on July 17, 2026. The most significant changes to the NJFLA include:

Broadened employer coverage impacts smaller employers

The NJFLA provides eligible employees up to twelve weeks of unpaid job-protected leave in a twenty-four month period to: (1) care for a family member’s serious health condition; (2) bond with a child within one year of that child’s birth or placement for adoption or foster care; or (3) provide care or treatment for a child during a state of emergency.

Currently, the NJFLA applies to employers with 30 or more employees and provides protected time off to employees who have been employed for at least twelve months and worked at least 1,000 hours in the preceding twelve months.

Under the amendments, the employer-coverage threshold will decrease from thirty to fifteen or more employees. NJFLA coverage will also expand to employees who have worked for at least three months and for at least 250 hours during that period. These changes will significantly impact smaller employers who were previously exempt. These employers must now provide the benefits and...



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