New NJFLA broadens employee benefits, complicates employer compliance

March 2026 employment law letter

Authors:

Brett M. Anders, Justin B. Cutlip, David G. Islinger & James M. McDonnell, Jackson Lewis P.C.

On January 18, 2026—as one of his last acts before leaving office—New Jersey Governor Phil Murphy signed into law A3451/S2950 to greatly expand employer coverage and employee eligibility under the New Jersey Family Leave Act (NJFLA). The law potentially converts receipt of temporary disability insurance (TDI) benefits and family leave insurance (FLI) benefits into job-protected leave. It will go into effect on or about July 17, 2026.

Murphy stated in a press release that these changes will provide over 400,000 additional New Jersey employees the opportunity to take job-protected leave and receive TDI or FLI benefits. What is the law’s impact on businesses and the employees who will be required to cover the work while other employees are on leave?

Current NJFLA

The NJFLA provides eligible employees up to 12 weeks of unpaid, job-protected leave in a 24-month period to:

Care for a family member with a serious health condition or who has been isolated or quarantined because of suspected exposure to a communicable disease during a state of emergency;
Bond with a child within one year of the child’s birth or placement for adoption or foster care; or
Provide required care or treatment for a child during a state of emergency if their school or place of care is closed because of an epidemic of a communicable disease or other public health emergency.

An employee is eligible to take NJFLA leave if:

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