Each year, legal analysts and practitioners weigh in on the trends and regulatory developments most likely to shape the year ahead — and in the area of labor and employment law, those predictions carry significant practical weight for New Jersey employers and employees. The workplace legal landscape is rarely static, and the combination of federal regulatory activity, state-level legislative developments, and shifting judicial interpretations means that organizations need to anticipate change to manage their compliance obligations effectively.
Mandelbaum Barrett PC attorney Steven I. Adler contributed his predictions for labor and employment law in 2026 to the New Jersey Law Journal. Adler practices in the firm’s labor and employment law practice, advising employers on the full range of workplace legal issues including wage and hour compliance, non-compete and restrictive covenant matters, discrimination and harassment claims, and employment law developments at both the state and federal levels. His predictions in the New Jersey Law Journal reflect the firm’s deep engagement with the legal issues affecting New Jersey employers.
Non-Compete Law and Restrictive Covenants
The non-compete landscape continues to evolve, with ongoing regulatory and legislative activity at both the federal and state levels creating uncertainty for employers operating under existing restrictive covenant agreements. Federal Trade Commission activity on non-competes, combined with shifting enforcement priorities and court decisions on the enforceability of specific non-compete provisions, means that the legal status of these agreements remains an active area requiring attention from employers and their counsel.
New Jersey has its own body of law governing the enforceability of non-competes and related restrictive covenants, and employers in the state need to assess their agreements under applicable state standards independent of federal developments. Agreements drafted under prior standards may need revision to address changed requirements, and new hire agreements should be structured to reflect current best practices for enforceability.
Wage and Hour Compliance
Wage and hour compliance remains a perennial focus for labor and employment practitioners in New Jersey. The interplay between federal and state minimum wage requirements, overtime rules, and exemption classifications creates a compliance matrix that employers need to monitor carefully. Misclassification of workers — both the independent contractor versus employee question and the exempt versus non-exempt classification question — continues to generate litigation and regulatory enforcement activity in New Jersey and nationally.
Artificial intelligence tools are also reshaping how employers handle hiring, performance management, and workforce planning — and the legal framework for AI use in employment decisions is developing rapidly. According to the U.S. Equal Employment Opportunity Commission, AI tools used in employment decision-making are subject to existing civil rights laws, and employers that rely on AI tools producing discriminatory outcomes face liability exposure regardless of intent. Proactively auditing AI tools used in employment contexts is becoming an important element of compliance for organizations deploying this technology.
Contact Mandelbaum Barrett PC for Labor and Employment Law Guidance
If you have questions about labor and employment law compliance, non-compete agreements, wage and hour requirements, or other workplace legal matters in New Jersey, the labor and employment law team at Mandelbaum Barrett PC can help.
Reach out through our contact page to speak with our team. We are here to help New Jersey employers navigate the evolving labor and employment law landscape.