Requires official inspection facility employees covered by collective bargaining agreement to be offered employment following contract renewal or award of new contract; requires collective bargaining agreement to be binding in certain cases.*

2024-2025 Regular Session Introduced by Rosy Bagolie and 10 co-sponsors

Requires that during contract renewals or reprocurement of official motor vehicle inspection facilities, employees covered by an existing CBA be offered employment, with wages/bene

Received in the Senate, Referred to Senate Transportation Committee

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Main purpose

To protect employment, wages, and benefits for workers covered by collective bargaining agreements (CBAs) who staff official motor vehicle inspection facilities when those facilities’ operating contracts are renewed, reprocured, or transferred to a new contractor. The bill amends P.L.1995, c.112 (C.39:8-44).

Key provisions

Requires that during any contract renewal or subsequent procurement for operation of an official motor vehicle inspection facility, employees covered by an existing collective bargaining agreement must be offered employment to meet the staffing needs of the new contract.

Stipulates that the terms of the existing CBA — including compensation and benefits — shall be treated as the existing/current wage and benefit baseline for any new contract established by renewal or reprocurement.

Requires that offers of employment to existing and new employees shall not be less than the existing/current wage for the particular position.

Makes the CBA in effect at the time binding on successors and assigns in the event of a sale, transfer of assets (including contracts), or merger; binding also on purchasers and affiliated or related business entities (corporations, partnerships, organizations, sole proprietorships) that take over the business or contracts.

Committee amendments (Assembly Labor Committee) add that these protections must be specified in the contract for operation of an official inspection facility (i.e., the contract itself must include the offer/ wage/benefit requirements) and make technical clarifications.

Who is affected

Employees (current and new hires) at state-authorized motor vehicle inspection facilities who are covered by an existing collective bargaining agreement.

Contractors (and prospective contractors) operating or bidding to operate official inspection facilities in New Jersey; successor/purchasing entities in asset transfers or mergers.

State procurement officials (State Treasurer) who manage solicitation and contract award language for inspection facility operations.

Procedural/timeline aspects & status

Amends Section 4 of P.L.1995, c.112 (C.39:8-44).

Introduced: Feb 4, 2025. Reported with amendments by Assembly Labor Committee (Jan 23, 2025) and favorably by Assembly Transportation & Independent Authorities Committee (May 8, 2025).

Passed Assembly: May 22, 2025 (64-11-2).

Received in Senate and referred to Senate Transportation Committee: May 29, 2025.

Sponsor: Assemblyman Joseph Sempolinski. Companion/related bill: S3435.

Likely impacts

Increases job continuity and protection of wages/benefits for unionized inspection facility employees when contracts change hands.

May raise labor cost expectations for new contractors and bidders (affecting contract pricing and competition).

Places additional contract drafting and compliance obligations on the State Treasurer and contractors to include and honor CBA-derived terms.

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