NJ Staffing Alliance points to fixed differences between staffing agencies and Uber’s business model and employee treatment

NJ Staffing Alliance points to fixed differences between staffing agencies and Uber’s business model and employee treatment

  • NJSA hails Uber fine, but points out it has nothing to do with staffing industry and pending Temporary Worker Bill of Rights

  • NJSA calls on governors.Murphy conditionally vetoes Temporary Workers Bill of Rights to fix key flaws that could threaten jobs and New Jersey economy

Trenton, NJ – September 20, 2022 – The New Jersey Human Resources Alliance (NJSA) applauds the Department of Labor and Attorney General for Uber’s $100 million fine for fraudulent business practices and failure to pay for a safety net program that covers unemployment The fines, disability and family leave laws. The NJSA pointed out that some media coverage of the news incorrectly classified Uber as part of the personnel agency industry, when in fact Uber is part of the recently emerging gig economy, defined as the Working agreements on digital platforms facilitate matching between suppliers and clients on a short-term and pay-per-task basis.

In contrast, the 70-year-old staffing industry provides contract, temporary and permanent placement of employees to organizations across a wide range of industries. The HR industry consists of a network of HR firms that work with businesses that act as intermediaries to identify and meet their manpower needs. The staffing industry offers workforce flexibility, allowing companies to keep staff well-staffed during busy periods, fill open positions until they can be filled, provide temporary support for major projects, and facilitate business growth. Temporary employees also rely on temps for job flexibility and variety, skills training, and entry points and bridges to permanent employment.

News reports appear to link the Uber case to the New Jersey Temporary Worker Bill of Rights A-1474/S-511, which is currently awaiting Governor Murphy’s signature. The two are not related.

The bill’s original intent was to provide additional protections and transparency for temporary workers in the human resources industry, including implementing the same programs as the successful Massachusetts Temporary Right-to-Know Act and strengthening state agencies’ enforcement of existing laws and regulations. There are very few “bad actors” in the New Jersey HR industry. The bill does not apply to gig workers hired by Uber.

As an organization that advocates for high standards of ethics and protects employee benefits, NJSA supports the bill’s goals to address “bad actors” in the staffing industry and protect temporary workers, especially entry-level, low-wage, and low-skilled individuals. However, the NJSA opposes the current iteration of the bill, which goes far beyond that goal and imposes huge financial and operational constraints on staffing companies and their customers that would result in thousands of New Jersey workers (including those who can afford it) Temporary work for workers) is cancelled at least.

NJSA urges Governor Murphy to conditionally veto Temporary Worker Bill of Rights A-1474/S-511 to allow for the repair of deficiencies that would create undue hardship on temporary staffing agencies and could force them to close and lead to numerous Thousands of people lost their jobs. Temporary workers. We’ve flagged four areas that create an unreasonable administrative or cost burden on HR agencies, and we’re asking Governor Murphy and lawmakers to address these issues before this bill becomes law and threatens the very existence of the interim HR industry as a whole .

Some of the key changes requested include:

  • Removed the requirement for client employers to disclose confidential and proprietary pay grade information of their employees, while requiring temporary workers’ wages and benefits to match that of clients’ full-time employees;

  • Allowing the state to intervene in whether clients employ temporary workers as regular employees;

  • Remove a whole new set of rules and regulations on the transportation of temporary personnel (some of which conflict with and duplicate existing rules and regulations) and instead focus on amending the existing rules in NJAC 13:45B-12.3; and

  • Allows each employee to determine their pay period, which may differ from the pay period offered by the employer’s payroll provider.

“NJSA asks employers, personnel agencies and workers to join us in asking Governor Murphy to conditionally reject this bill. Without the changes we propose, it will not protect workers and will seriously damage and degrade the temporary staffing industry for New Jersey The ability to serve the state’s citizens. Essentially, it attacks and undermines the ability of New Jersey’s only industry whose primary mission is to find jobs for its residents,” the New Jersey Human Resources Alliance said.

Please join us in protecting workers and maintaining staffing jobs by contacting Governor Murphy at protectnjjobs.com and asking him to conditionally veto Bill A-474/S-511.

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