State Leave Laws

New Jersey Family Leave Insurance: Employer Guide

New Jersey pays eligible workers through Family Leave Insurance (FLI), paired with Temporary Disability Insurance for an employee’s own medical leave. An employer’s part is to register with the program, gather contributions, and honor its notice and job-protection requirements.

Below we explain which workers are covered, the length and pay of leave, how funding works and what the employer must do. Contribution rates and dollar limits are revised regularly, frequently each year, so verify current figures with the state agency.

Return to the state paid family and medical leave laws overview

Who Is Covered

Employers, employees and reasons for leave.

Eligibility depends on the work location, past earnings and the reason for the leave.

Employers. Most New Jersey employers must take part, through the state plan or an approved private plan. The federal government is exempt.

Employees. Eligibility depends on the earnings reported for the employee in the lookback period. The Division publishes the current test.

Reasons for leave. Bonding with a new child within the first year, caring for a family member or loved one with a health condition, and certain domestic or sexual violence matters. Temporary Disability Insurance separately covers an employee’s own non-work illness, injury or pregnancy recovery.

Benefits

How long leave lasts and what it pays.

Benefits replace part of a worker’s wages for a capped number of weeks.

Duration. Family Leave Insurance pays up to 12 weeks (84 days) of continuous leave, or up to 56 days if taken intermittently. Temporary Disability Insurance pays up to 26 weeks.

Pay. Under FLI, benefits equal 85 percent of the average weekly wage, subject to a weekly cap that is reset annually.

Job protection. The program itself does not protect the job. The New Jersey Family Leave Act and the federal FMLA may.

Funding

How the program is paid for.

Contributions are either withheld from employees, paid by the employer or divided; arrangements vary from one state to the next.

Funding. Family Leave Insurance is paid by employees through payroll deduction, with no employer contribution. Temporary Disability Insurance uses an employer contribution plus an employee contribution.

Private plans. Employers can use a Division-approved private plan, insured, self-insured or union-run, if it is at least as generous as the state plan and costs employees no more.

When it started. Family Leave Insurance benefits have been payable since July 1, 2009.

What Employers Do

Employer duties.

What follows is what the statute and the administering agency expect from an employer.

Core duties. Post the required notices, give written notice at hire and when leave is needed, withhold contributions and report quarterly earnings.

Based in another state? Eligibility follows the work location of the employee. A company headquartered outside New Jersey that has people working here should ask the agency whether it must register. Michigan companies with remote workers across state lines face this question often.

Verify the numbers. Contribution rates, taxable wage bases and benefit ceilings are updated periodically. Current figures are on the agency page linked below.

What the Rules Connect To

Where this connects.

Leave under state law operates alongside the federal law and any policy you have adopted.

State Paid Family and Medical Leave Laws

A rundown of each state program we follow, with effective dates and employer requirements.

FMLA and Group Health Coverage

Where federal FMLA leave meets group health plan coverage.

Benefits Compliance Alerts

Newer developments that touch employer-sponsored plans.

New Jersey Department of Labor and Workforce Development · Employer information from the Division

Where We Help

We map which state programs your employees fall under.

Our team determines which state programs reach your people, how payroll should withhold and report, and how state leave fits with FMLA and your own policies.

Ask us about multi-state leave

Keep Reading

Related pages.

State Paid Family and Medical Leave Laws

Each state program we follow.

FMLA and Group Health Coverage

Where federal leave and group health coverage meet.

USERRA and Employer Health Coverage

Group health plan rules for employees away on military duty.

Federal Policy Tracker

Each federal benefits statute we cover, organized by what it requires of an employer.

Benefits Compliance Alerts

Newer developments that touch employer-sponsored plans.

A Compliance Calendar for Your Plan Year

The calendar of filings, notices and due dates that employer plans follow.

Questions We Get

Questions that come up.

Brief answers to our most frequent questions, each linking to a full page.

Which employers does New Jersey’s program cover?

Most New Jersey employers must take part, through the state plan or an approved private plan. The federal government is exempt.

Does New Jersey’s program protect an employee’s job?

The program itself does not protect the job. The New Jersey Family Leave Act and the federal FMLA may.

How is New Jersey’s program funded?

Family Leave Insurance is paid by employees through payroll deduction, with no employer contribution. Temporary Disability Insurance uses an employer contribution plus an employee contribution.

Next step? Share your renewal, or start with a conversation. It costs nothing and carries no obligation.

Talk to an Expert

This is background information and not legal or tax advice. For plan-specific questions, consult the plan documents, your carrier and your attorney.

Let’s Get to Work

Send us your renewal.

We’ll tell you whether it looks competitive, where we see opportunity, and the five questions we’d put to your carrier. No cost, and no obligation to move anything.

What to send

The renewal letter
Your current plan summary
Contribution split by tier
Enrolled counts by tier

Four documents, two more if your group is 50 or more. Nothing else; every extra one is a reason to postpone.

CFH Insurance Consultants

An independent employee benefits consulting firm. We look at the entire benefits program — cost, plan performance, risk and administration.

Switch to CFH. Unhappy with your broker? Your employees won’t notice. You will. →

Michigan41000 Woodward Avenue, Suite 350 East
Bloomfield Hills, MI 48304
248.370.8853
Colorado13540 Northgate Estates, Suite 100
Colorado Springs, CO 80921
719.425.2649
Texas16365 Park Ten Place, Suite 182
Houston, TX 77084
281.404.5670

Book a 30-minute call