New Jersey Law Targets Contractors that Undercount Employees

July 15, 2009

New Jersey workers’ comp regulators will soon be able to issue stop-work orders to contractors who misrepresent employee headcounts, under a bill signed by Gov. Jon S. Corzine.

The bill targets contractors that undercount employees in order to avoid paying workers’ compensation premiums. Stop-work orders would affect all locations and job sites for the contractor, and would be issued no later than three days after the violations were found.

The bill, which was

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