NJ Temp Agencies Face Criticism As Vote Nears On 'Bill Of Rights'

NEW JERSEY — More than a dozen staffing agencies that employ “temporary workers” in New Jersey are apparently operating without registrations from the state, a report says.

The New Jersey Department of Consumer Affairs (DCA) has confirmed that at least 17 staffing agencies do not currently hold active registrations with the agency, the New Jersey Monitor reported Thursday. Read the full article here.

Temporary staffing agencies in New Jersey are required to register with the DCA. A list last updated in November 2022 shows the names of hundreds of such businesses.

The 17 staffing agencies mentioned in the New Jersey Monitor report are located in Wayne, Hamilton, Saddlebrook, Bridgewater, Montvale, Vineland, Hoboken, Kenilworth, Burlington, Clifton, Parsippany, Edison, Mahwah, Paterson, Bedminster and Paramus.

Each of the agencies in the report are listed as members of the New Jersey Staffing Alliance, an industry lobbying group that has been trying to derail a proposed state law that would give more job protections to temporary workers. That bill is scheduled for a vote on Thursday. Read More: Activists Outraged As NJ Senate Punts Vote On Temporary Worker Bill

A spokesperson for the group told New Jersey Monitor that it doesn’t monitor the status of the businesses that make up its membership, but condemns agencies that flout the state’s rules.

“We have a strong code of ethics that we adhere to and promote so that our members foster good practices in the workplace,” she said.

‘SUBSIDIZING TEMP STAFFING AGENCIES’

In December, a report by a researcher at the Rutgers University School of Management and Labor Relations New Jersey claimed that a “disproportionately high” number of employees of temporary staffing agencies in New Jersey are enrolled in NJ FamilyCare, the state’s means-tested public health insurance program.

According to the report, 10 temp agencies in New Jersey rank in the top 40 employers with the highest number of employees enrolled in NJ FamilyCare. The total cost? More than $20 million every year.

It’s an eyebrow-raising statistic, advocates say, especially when seen in context with two of the industry’s most lamented job complaints – low pay and a lack of health care.

“Taxpayers are effectively subsidizing temporary staffing agencies that fail to provide adequate wages and health benefits to their thousands of employers,” researchers said.

“Temp workers employed by temp agencies with 50 or more employees have some of the highest enrollment in NJ FamilyCare, our state’s Medicaid program,” said Carmen Martino, a professor at Rutgers University.

“Collectively, they have thousands of employees enrolled in the program,” Martino said.

“Based on the data in this report, it’s worth noting that the total number of workers employed through agencies enrolled in NJ FamilyCare is larger than any other single employer in the state, and nearly as much as Amazon and Walmart combined,” Martino added.

It’s just one more reason that state lawmakers need to pass S511/A1474, also known as the Temporary Workers Bill of Rights, labor advocates say.

“This report proves what temp workers experience every day: that temporary staffing agencies earn billions in profit by paying wages that push hundreds of thousands of essential workers into poverty,” said Steven Mercado, a temporary worker and member of Make the Road New Jersey.

• Read More: NJ Temp Workers Say Tragic Car Crash Shows Urgent Need For Change

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