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A5035
ASSEMBLY, No. 5035
STATE OF NEW JERSEY
222nd LEGISLATURE
�
INTRODUCED MAY 11, 2026
Sponsored by:
Assemblyman� WAYNE P. DEANGELO
District 14 (Mercer and Middlesex)
SYNOPSIS
���� Prohibits use of prevailing wage fringe benefit
portion of prevailing wage rate to fund certain bonus programs.
CURRENT VERSION OF TEXT
���� As introduced.
��
An Act
concerning prevailing wage fringe benefits and
supplementing P.L.1963, c.150 (C.34:11-56.25 et seq.).
����
Be It
Enacted
by the Senate and General Assembly of
the State of New Jersey:
���� 1.��� a.� An employer shall
not deduct, withhold, or otherwise use any portion of the fringe benefit
portion of the prevailing wage rate to fund a bonus, incentive, productivity,
retention, or similar compensation program, regardless of whether the payment
is guaranteed, discretionary, or contingent.�
���� b.��� An employer shall not
require or automatically enroll an employee in a wage-specific pension,
annuity, or other retirement program established for the purpose of satisfying
all or part of the fringe benefit portion of the prevailing wage rate without
prior written consent from the employee.
���� c.���� An employee who
declines to participate in a wage-specific pension, annuity, or other retirement
program pursuant to subsection b. of this section shall receive the fringe
benefit portion of the prevailing wage rate through other means permitted under
the �New Jersey Prevailing Wage Act,� P.L.1963, c.150 (C.34:11-56.25 et seq.).
���� d.��� This section shall not
apply to an employee who is employed by an employer that is signatory to a
collective bargaining agreement that was, or is, the basis for a determination of
the prevailing wage pursuant to section 6 of P.L.1963, c.150 (C.34:11-56.30).
���� 2.��� This act shall take
effect immediately.
STATEMENT
���� This bill prohibits the use of
the prevailing wage fringe benefit portion of prevailing wage rate to fund
bonus, incentive, productivity, retention, or similar compensation programs,
regardless of whether the payment is guaranteed, discretionary, or contingent.
���� Under the bill, an employer is
prohibited from requiring or automatically enrolling an employee in a
wage-specific pension, annuity, or other retirement program established for the
purpose of satisfying all or part of the fringe benefit portion of the
prevailing wage rate without prior written consent from the employee.
���� An employee who declines to
participate in a wage-specific pension, annuity, or other retirement program
will receive the fringe benefit portion of the prevailing wage rate through
other means permitted under the �New Jersey Prevailing Wage Act.�
���� The bill does not apply to an
employee who is employed by an employer that is signatory to a collective
bargaining agreement that was, or is, the basis for a determination of the
prevailing wage.