High stakes: how recreational marijuana legalization could affect NJ workplaces

During the November 3 election, New Jersey residents will have an opportunity to vote on amending the state constitution to legalize the recreational use of cannabis for adults 21 years and older. While many are excited and hopeful for the referendum to pass, some employers are rightfully concerned with how the change would affect the workplace.

2020 referendum

If the referendum passes, a state-created Cannabis Regulatory Commission would oversee the new market, and cannabis products would be subject to New Jersey’s sales tax. Legislation governing its use would follow. Though no one knows for certain how the commission will regulate recreational use, State Senator Nicholas P. Scutari recently hinted he expects the legislation would closely resemble the provisions of his March 2019 bill.

As we wait for the outcome, employers should begin analyzing how best to respond to the change. As a starting point, you should know New Jersey won't be the first state to legalize recreational pot. Though cannabis is currently classified as a Schedule I drug in the federal Controlled Substance Act, a growing number of states have decided to legalize its use for recreational and/or medicinal purposes. Currently, 11 states and the District of Columbia have legalized recreational use, and 33 states have approved its use for medical purposes.