Effective July 17, 2026, an amendment significantly expanding the scope of the New Jersey Family Leave Act (NJFLA), N.J.S.A. 34:11B-1 et seq., will take effect. The amendment, Assembly Bill A3451 (P.L. 2025, c. 279), signed by Governor Phil Murphy on January 16, 2026, alters provisions governing employee eligibility, covered employers, reinstatement rights, and the coordination of leave benefits.
By way of background, the NJFLA provides job-protected leave to employees to care for a family member with a serious health condition, bond with a newborn or newly adopted child, or address issues related to a public health emergency; however, it does not provide leave for an employee to address their own serious health condition.
The amendment marks a continued push for increased access to family leave by requiring smaller employers to provide family leave rights. Employers previously exempt may now have to comply with the law’s substantive and procedural requirements.
Expansion of the Statutory Definition of “Employer”
The law amends the definition of “employer” under the NJFLA. Previously, coverage applied only to businesses with 30 or more employees. Effective July 17, 2026, the threshold drops to 15 employees (counting out-of-state workers, not just those within New Jersey). Looking ahead, the threshold will further decrease to 10 or more employees on July 17, 2027, and to 5 or more employees on July 17, 2028.
Employee Eligibility
Employees will also qualify for leave much sooner. The eligibility standard drops to just 3 months of employment and 250 hours worked, down from the previous requirement of 12 months and 1,000 hours.
Changes Under Temporary Disability Insurance and Family leave Insurance Laws
The law also significantly amends the State’s Temporary Disability Insurance (TDI) and Family Leave Insurance (FLI) laws. Historically, these programs provided partial wage replacement benefits, but not job-protected leave. The amendment changes this, stating that any individual who utilizes paid FLI or TDI benefits will be “entitled to be restored by the employer to the position held by the employee when the leave commenced or to an equivalent position of like seniority, status, employment benefits, pay, and other terms and conditions of employment.” However, it notes that “nothing [herein] shall be construed as increasing, reducing or otherwise modifying any entitlement provided to a worker by the provisions of the ‘Family Leave Act’… to be restored to employment by the employer after a period of family disability leave.”
Leave Coordination
Employees who are eligible for both New Jersey Earned Sick Leave and TDI or FLI benefits may choose the order in which the leave is taken. While employees may not use earned sick leave concurrently with TDI or FLI, NJFLA leave may run concurrently with federal FMLA, where applicable.
Enforcement
Employers who fail to comply face serious enforcement actions, including reinstatement claims, statutory damages, and attorney’s fees.
This summary is for informational purposes only and is not intended to constitute legal advice. This information should not be reused without permission.