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State of New Jersey

Bill PL 2019, c39

Employment Contract Provisions Regarding Discrimination, Retaliation, or Harassment Claims

Date Passed: March 18, 2019
Date In Force: March 18, 2019

Overview:
In an effort to promote transparency and protect employees' rights, New Jersey enacted legislation addressing the enforceability of certain provisions in employment contracts and settlement agreements. This law specifically targets clauses that waive substantive or procedural rights or remedies related to claims of discrimination, retaliation, or harassment.

Key Provisions:
The legislation declares that any provision in an employment contract that waives any substantive or procedural right or remedy relating to a claim of discrimination, retaliation, or harassment is against public policy and, therefore, unenforceable. Additionally, it prohibits the prospective waiver of any right or remedy under the New Jersey Law Against Discrimination or any other statute or case law. Notably, the law exempts collective bargaining agreements from these provisions, recognizing the unique nature of such agreements.

Legislative History:
The bill was introduced to address growing concerns about the use of nondisclosure agreements and other contractual provisions that could potentially silence victims of workplace misconduct. Recognizing the need for greater transparency and accountability, the New Jersey Legislature moved swiftly to pass the bill, which was signed into law on March 18, 2019.

Implications for Survivors and The Restitution Project:
By rendering certain waivers in employment contracts unenforceable, this law empowers survivors of workplace discrimination, retaliation, and harassment to assert their rights without fear of contractual limitations. It aligns with The Restitution Project's mission to advocate for policies that protect survivors and promote transparency in addressing workplace misconduct.

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