Laws

These NY and NJ laws will take effect in 2025

Here's a review of some of the most impactful pieces of legislation taking effect in 2024, affecting everything from health and salary.

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The new year is just around the corner -- and with it, will come new laws that'll take effect in New York and New Jersey.

Here's a review of some of the most impactful pieces of legislation taking effect in 2024, affecting everything from health and salary.

 First-in-the-nation paid prenatal leave

This nation-leading policy, proposed in Gov. Kathy Hochul’s 2024 State of the State and signed into law in April, gives workers the ability to take paid leave for any pregnancy-related medical appointments and will go into effect on January 1, 2025.

“No pregnant woman in New York should be forced to choose between a paycheck and a check-up — and that’s why I pushed to create the nation’s first paid prenatal leave policy,” Governor Hochul said. “From raising the minimum wage to investing in affordable child care, we’re making New York the best and most affordable place to raise a family.”

Effective January 1, 2025, any privately employed pregnant New Yorker will now be able to receive an additional 20 hours of paid sick leave for prenatal care. The New York State Department of Labor estimates that about 130,000 pregnant women per year will be eligible for this benefit, with about 65,800 of those being hourly workers.

Pregnancy-related health care includes:

  • Physical examinations
  • Medical procedures
  • Monitoring
  • Testing
  • Discussions with a health care provider needed to ensure a healthy pregnancy
  • Fertility treatment
  • End of pregnancy care

The paid prenatal leave benefits are in addition to New York State Paid Family Leave, existing employer-provided leave and existing sick leave benefits. The law applies to all private employers in New York State, with no minimum employee threshold, and is applicable to both full-time and part-time employees.

The price of insulin will be cheaper with the Insurance Law

The Insurance Law requires health insurance policies and contracts to cover equipment and supplies for the treatment of diabetes, including prescription insulin.

Until January 1, 2025, insureds’ out-of-pocket costs for prescription insulin under a health insurance policy or contract are limited to a maximum of $100 for a 30-day supply pursuant to Part DDD of Chapter 56 of the Laws of 2020 (“Chapter 56”), which became effective April 3, 2020.

Beginning January 1, 2025, upon the issuance, renewal, modification, alteration, or amendment of a health insurance policy or contract, cost-sharing for prescription insulin is prohibited pursuant to Part EE of Chapter 58 of the Laws of 2024 (“Chapter 58”).

Which health insurance policies and contracts are subject to this law? 

New York Insurance Law §§ 3216(i)(15-a), 3221(k)(7), and 4303(u) require insurance policies and contracts delivered or issued for delivery in New York, which provide medical coverage that includes coverage for physician services or provide major medical or similar comprehensive-type coverage, to include coverage for equipment and supplies for treatment of diabetes. 

To learn more about this law go here.

Minimum wage goes up

New Yorkers earning minimum wage will earn an additional $0.50 per hour starting on January 1, 2025.

New York’s minimum wage will increase to $16.50-per-hour in New York City, Westchester, and Long Island, and $15.50-per-hour for the rest of the state.

Protect students and teachers from extreme heat

Hochul signed legislation to require that all school districts develop plans to mitigate extreme heat in classrooms and support services spaces and to establish a maximum allowable temperature to ensure the health and safety of students, faculty, and staff. By setting clear guidelines for extreme heat conditions, the bill will help schools ensure their spaces are conducive to student learning, reduce unnecessary disruptions, and provide for the health and safety of all those in their buildings.

Legislation S3397-A/A9011-A establishes 88 degrees as the maximum temperature in classrooms and support services spaces. It requires a plan for the removal of students and staff from these spaces where it is practical for the school district to do so. It also creates a definition of extreme heat condition days as well as a standard to measure room temperature. In addition to the above, school districts will be required to take action to relieve heat related discomfort when classroom temperatures reach 82 degrees. Such actions can include turning off overhead lights, pulling down shades or blinds, turning on fans, opening classroom doors and windows, turning off electronics, and providing water breaks.

The Property Maintenance Code of New York State currently requires a minimum temperature of 65 degrees in all workspaces in buildings across the state.

This law will come into force on September 1, 2025.

Law to support workers facing job-related post-traumatic stress

This law will allow any worker to file for workers' compensation for specific types of mental injury premised on extraordinary work-related stress.

Through an agreement with the Legislature, Legislation S.6635/A.5745 will allow any worker to file for workers' compensation for specific types of mental injury premised on extraordinary work-related stress. This expands coverage to all workers in the State of New York; previously, only certain first responders were eligible for such benefits.

State Senator Jessica Ramos said, “Not all injuries are physical, but all workers should get support for injuries sustained on the job. I am so grateful for the Governor’s support of this legislation. Together, we are consistently enacting the change and ushering through the investments needed to take care of New Yorkers’ mental health.”

This law will come into effect on January 1, 2025.

Bans unnecessary fees for leased cars

Legislation S.4778/A.7167 prohibits the imposition of certain fees at the expiration of a term on a motor vehicle lease which constitutes administrative, clerical or handling charges.

State Senator James Sanders Jr. said: “The law prohibits charging a turn-in fee at the expiration of the term of a vehicle lease, the basis of which is solely for administrative, handling or clerical charges. Both of these new laws are commonsense protections for the consumer.”

This law will come into effect on January 1, 2025.

Congestion pricing

The MTA is all set to go ahead with congestion pricing starting at 30 seconds past midnight on Sunday, Jan. 5, 2025.

The reduced peak toll will be $9, it was originally supposed to be $15, but, drivers who don't use EZPass to pay it will face a higher toll of $13.50. Those drivers will get bills in the mail for the higher rate.

Congestion pricing will impact any driver entering what is being called the Central Business District (CBD), which stretches from 60th Street in Manhattan and below, all the way down to the southern tip of the Financial District. In other words, most drivers entering midtown Manhattan or below will have to pay the toll, according to the board's report.

The full, daytime rates would be in effect from 5 a.m. until 9 p.m. each weekday, and 9 a.m. until 9 p.m. on the weekends. Toll rates in the off-hours (from 9 p.m.-5 a.m. on weekdays, and 9 p.m. until 9 a.m. on weekends) would be just $2.25, Hochul said.

Canceling your gym membership will be easier

Legislation S.932D/A.4667B requires health clubs accept cancellation of a membership within 10 business days of receiving notice of the cancellation.

State Senator Roxanne J. Persaud said, “Health club memberships should be an asset to consumers, not a burden. This bill ensures that we empower New Yorkers to make the best choices for their health and well-being without being locked into contracts that no longer serve their needs. By expanding the options for cancellation and making the process easier, we are standing up for consumers and ensuring they can make decisions that fit their lives. I thank Governor Hochul for signing this legislation.”

Assemblymember Jeffrey Dinowitz said, “The signing of my bill A.4667B into law by Governor Hochul marks a major step forward in modernizing health club contract practices in New York. By expanding cancellation methods to include internet options and shortening refund timelines for the health club to pay back customers, we empower consumers with the tools they need to avoid unnecessary financial burdens. This legislation concerns fairness, accessibility, and bringing cancellation options into the 21st century. I'm proud to see New York leading the way in consumer protection.”

Salary transparency

This bill requires employers to make reasonable efforts to announce, post, or otherwise make known opportunities for promotion that are advertised internally within the employer or externally on internet-based advertisements, postings, printed flyers, or other similar advertisements to all current employees in the affected department or departments of the employer’s business prior to making a promotion decision.

Each failure to announce, post, or otherwise make known one promotional opportunity will constitute a separate violation.

The bill requires employers to disclose in each posting for promotions, new jobs, and transfer opportunities that are advertised by the employer either externally or internally the hourly wage or salary, or a range of the hourly wage or salary, and a listing of benefits and other compensation programs for which the employee would be eligible within the employee’s first 12 months of employment.

Each failure to include the information required in a particular job posting will constitute a separate violation.

The Commissioner of Labor and Workforce Development may enforce the provisions of the bill in a summary proceeding, and an employer who violates the bill will be subject to a civil penalty in an amount not to exceed $1,000 for the first violation, $5,000 for the second violation and $10,000 for each subsequent violation.

This law goes in effect in June 2025.

Minimum wage goes up

New Jersey’s statewide minimum wage will increase by $0.36 to $15.49 per hour for most employees, effective January 1, 2025.

Under the law, the minimum wage rate for employees of seasonal and small employers will continue to increase gradually until 2028 to lessen the impact on those businesses. The minimum hourly wage for these employees will increase to $14.53 on Jan. 1, up from $13.73.

Agricultural workers are guided by a separate minimum wage timetable under the law, and their minimum wage rate will continue to increase incrementally until 2030. Employees who work on a farm for an hourly or piece-rate wage will see their minimum hourly wage increase to $13.40, up from $12.81. Additionally, long-term care facility direct care staff will see their minimum hourly wage rise by $0.36, to $18.49.

The minimum cash wage rate for tipped workers will rise to $5.62/hour from $5.26, with the maximum tip credit employers are able to claim remaining at $9.87. If the minimum cash wage plus an employee’s tips do not equal at least the state minimum wage, then the employer must pay the employee the difference.

New benefit rates for 2025

The New Jersey Department of Labor and Workforce Development (NJDOL) announced changes in the maximum benefit rates and taxable wage base for Unemployment Insurance, Temporary Disability Insurance and Family Leave Insurance, as well as a change in the maximum Workers’ Compensation benefit rates for temporary disability, permanent total disability, permanent partial disability and dependency.

Each of these changes to maximum benefit rates and taxable wage base will take effect on January 1, 2025.

In the new year, the maximum weekly benefit rate for Unemployment Insurance claims will increase to $875, from $854. The maximum weekly benefit rate for state plan Temporary Disability and Family Leave Insurance claims increases to $1,081, from $1,055; while the maximum weekly Workers’ Compensation benefit rate for temporary disability, permanent total disability, permanent partial disability and dependency rises to $1,159, from $1,131.

The taxable wage base for workers covered under the Unemployment Compensation Law, which is the level of wages that are subject to contributions under that law, increases to $43,300 in 2025 from $42,300 in 2024.

The taxable wage base for workers covered under the Temporary Disability Insurance and Family Leave Insurance programs increases to $165,400 in 2025 from $161,400 in 2024.

The contribution rate for state and local government entities that choose to make contributions rather than reimburse the trust fund for Unemployment Insurance benefits paid to their former employees, remains at 0.6 percent of taxable wages during calendar year 2025.

Below is a chart showing the 2024 rates and the changes that will take effect January 1, 2025.

Maximum Benefits Rates and Eligibility Criteria
                                                                                                                                        20242025
Maximum Unemployment Insurance (UI) Weekly Benefit Amount$854$875
Maximum Temporary Disability Insurance (TDI) and Family Leave Insurance (FLI) Weekly Benefit Amount$1,055$1,081
Maximum Workers’ Compensation Weekly Benefit Amount$1,131$1,159
Taxable Wage Base (UI – workers, employers; TDI – employers)$42,300$43,300
Taxable Wage Base (TDI/FLI – workers only)$161,400$165,400
Base Week Amount$283$303
Alternative Earnings Amount$14,200$15,200
UI Government Entities Contribution Rate0.6%0.6%

More here.

Protecting the 'freedom to read'

Gov. Phil Murphy signed into law A3446/S2421, known as the Freedom to Read Act, which prevents arbitrary book banning and protects the rights of students, parents, and communities to have free access to age-appropriate books and learning materials at schools and public libraries.

“The Freedom to Read Act cements New Jersey’s role on the forefront of preventing book bans and protecting the intellectual freedom of our educators and students. Across the nation, we have seen attempts to suppress and censor the stories and experiences of others. I’m proud to amplify the voices of our past and present, as there is no better way for our children to prepare for the future than to read freely,” said Governor Murphy.

The legislation requires local school boards and governing bodies of public libraries to establish policies for curation and removal of library materials, including a system of review to address concerns over library materials. The Department of Education, the State Librarian, the New Jersey Association of School Librarians, and the New Jersey School Boards Association will support establishing these policies.

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