This bill amends the registered apprenticeship requirements for public works contractors in New Jersey, introducing an opt-out provision that allows contractors to bypass participation in a registered apprenticeship program by paying an annual fee of $1,000 per craft classification. In exchange for opting out, contractors must ensure that all tradespeople they employ for projects subject to prevailing wage laws are compensated at no less than the prevailing journeyman rate for the craft work performed. Additionally, the bill stipulates that 50% of the collected opt-out fees will be allocated to the Department of Labor and Workforce Development for apprenticeship recruitment and services, while the other 50% will go to the New Jersey Economic Development Authority for micro-grants aimed at supporting female, minority, and veteran-owned construction firms.

The bill also revises the requirements for registered apprenticeship programs, removing the previous stipulation that apprentices must complete a minimum of 2,000 hours of on-the-job training and 144 hours of classroom instruction each year. Instead, it establishes that the required hours and duration must meet or exceed the standards set by the relevant building and construction trade unions. Furthermore, the bill mandates the creation of an ERISA-covered apprenticeship training program trust fund to finance the registered apprenticeship programs. Lastly, it repeals a provision that exempted subcontractors from registration requirements if they did not perform work at construction sites governed by the Public Works Contractor Registration Act.

Statutes affected:
Introduced: 34:11-56.52, 34:11-56.55, 34:11-56.51