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(c) 2010-2025 Jon L Gelman, All Rights Reserved.

Tuesday, June 10, 2025

No Workers' Compensation? Work Stops!

The New Jersey Department of Labor (NJDOL) is committed to worker protection, and a recent action in Jersey City underscores a key enforcement tool: stop-work orders. These orders can be issued when employers fail to comply with state laws and regulations, particularly those designed to protect workers. A significant reason for such an order is the failure of an employer to carry workers' compensation insurance.


RECENT CASE
In a recent case, Oliveria General Services LLC of Edgewater Park, N.J., a subcontractor on a Jersey City construction project, was issued a stop-work order on June 3, 2025
Among their violations was the critical issue of having "no workers' compensation insurance". This demonstrates a clear message from the NJDOL: employers who do not provide this fundamental protection for their workers will face immediate consequences.

STOP-WORK ORDERS
Stop-work orders are initiated by the NJDOL to halt work that exploits workers or is noncompliant with state lawsEmployers found in violation can face civil penalties of $5,000 per day if they continue business in defiance of the orderThe order remains in effect until all back wages and penalties are paid, and all related issues are resolved.

KEY TAKEAWAYS
The key takeaway here is unambiguous: New Jersey employers must prioritize obtaining and maintaining workers' compensation insurance. This isn't just a suggestion; it's a legal requirement that the NJDOL actively enforces to safeguard employees. Failure to comply can lead to costly penalties and immediate operational shutdowns.

AUTHORITY
The authority for stop-work orders in New Jersey, including for violations related to workers' compensation insurance, can be found in the New Jersey Administrative Code (N.J.A.C. 12:170-1.1 et seq.) and N.J.S.A. 34:1A-1.1 et seq.These statutes and regulations empower the Commissioner of Labor and Workforce Development to issue stop-work orders for various violations, including the failure to maintain workers' compensation coverage.

For information on worker benefits and protections in New Jersey, you can visit myworkrights.nj.gov.

Recommended Citation: Gelman, Jon,     No Workers' Compensation? Work Stops! (06/10/2025) https://workers-compensation.blogspot.com/2025/06/no-workers-compensation-work-stops.html
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*Jon L. Gelman of Wayne, NJ, is the author of NJ Workers' Compensation Law (West-Thomson-Reuters) and co-author of the national treatise Modern Workers' Compensation Law (West-Thomson-Reuters). For over five decades, the Law Offices of Jon Gelman  1.973.696.7900 
jon@gelmans.com 
 has represented injured workers and their families who have suffered occupational illnesses and diseases.


Blog: Workers' Compensation

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Author: "Workers' Compensation Law" West-Thomson-Reuters

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© 2025 Jon L Gelman. All rights reserved.


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