New Jersey Employers Prepare for New Hiring Restrictions

The New Jersey legislature has approved to new bills that will affect New Jersey employers’ hiring practices. These measures are:

  • “Ban the box”— a law that would prohibit employers from inquiring about job candidates’ criminal histories during the initial hiring process; and
  • Discrimination against the unemployed— a law that would prohibit employers from considering applicants’ employment status in making most employment decisions.

“Ban the box”

Under the bill, NJ A 1999, New Jersey employers with 15 or more employees would be prohibited from asking candidates about their criminal histories on employment applications and from conducting criminal background checks until after the first interview. Candidates may voluntarily disclose information about their criminal histories. In addition, jobs that require a clean criminal background by law would be excluded from the background check prohibition.

Employment Discrimination Based on Employment Status

This bill, NJ S 1440, would prohibit an employer from discriminating against an applicant in any employment decision concerning hiring, compensation or other terms and conditions of employment because the applicant is or has been unemployed. The bill does not prohibit an employer from inquiring into an applicant’s employment history and reason for leaving prior employment. The bill would also allow employers to prefer internal applicants.

Both bills provide for civil penalties of up to $1,000 for the first violation, $5,000 for the second violation and $10,000 for each subsequent violation. The bills still need to be signed by New Jersey Governor Chris Christie, but it is a good time to review hiring practices and application materials for any conflict.