• "Rounding" Update: New Jersey Department of Labor Hears Testimony on Proposed Regulations
  • August 19, 2010 | Authors: Jeffrey J. Corradino; Jason C. Gavejian
  • Law Firm: Jackson Lewis LLP - Morristown Office
  • The New Jersey Department of Labor held a public hearing on a proposed rule to adopt the federal standard permitting “rounding” of employees’ starting and stopping time to the nearest five minutes, 1/10 of an hour, or quarter of an hour, for calculating compensable work time.  See Division of Wage and Hour Compliance: Use of Time Clocks; "Rounding" Practices Proposed New Rule: N.J.A.C. 12:56-5.8.

    Supporting the proposed wage and hour regulation (N.J.A.C. 12:56-5.8) at the July 29, 2010, hearing were members of the New Jersey Chamber of Commerce, the New Jersey Hospital Association and the New Jersey Business and Industry Association.  Agreeing that employees must be compensated for all time worked, the associations emphasized the proposed rule would promote compliance by bringing New Jersey requirements into line with federal law and the law in the overwhelming majority of states, while not disadvantaging employees.  It would eliminate any confusion over enforcement policy on rounding practices and help employers to avoid administrative penalties.

    Legal Services of New Jersey was the only party at the hearing opposed to the adoption of the proposed regulation.

    What Employers Can Do

    The Department of Labor currently is accepting written comments.  All comments must be submitted by September 4, 2010, to David Fish, Regulatory Officer, Office of Legal and Regulatory Services, New Jersey Department of Labor and Workforce Development, P.O. Box 110 ¿ 13th Floor, Trenton, NJ 08625; fax to: (609) 292-8246.