January 16, 2014 CORRECTION
Re: Minimum Wage Requirements for Summer Recreational Program Employees
Unfortunately, the League will have to rescind the alert it issued this morning under the heading, “Minimum Wage Requirements for Summer Recreational Program Employees.”
Under New Jersey law, the state’s minimum wage requirements do not apply to the State of New Jersey or any local government units therein. This is because the definition of “employer” under the minimum wage and hour law at N.J.S.A. 34:11-56a1, has been interpreted narrowly by the courts. In Allen v. Fauver, the Appellate Division held that the law only applies to private businesses and would not apply to the State of New Jersey as an employer. 327 N.J. Super. 14 (N.J. App.Div.1999). Because municipal government is considered an instrument of state law, by extension, this decision would mean that local governments are not bound by New Jersey’s minimum wage requirements.
However, local governments, along with the state, are still bound by the federal minimum wage law. Currently, that rate is set a $7.25 per hour.
We apologize for any confusion on this issue.
If you have any questions please contact Ed Purcell Esq. at email@example.com or (609) 695-3481 x 137.
Very truly yours,
William G. Dressel, Jr.