NJ S2358

State employees hired on or after January 1 following the bill's enactment would be automatically enrolled in the New Jersey State Employees Deferred Compensation Plan unless they affirmatively opt out or choose a different contribution percentage.

Counties, municipalities, and authorities may voluntarily adopt automatic enrollment arrangements for their deferred compensation plans at their discretion.

Employers with union-represented employees must negotiate automatic enrollment terms, default deduction percentages, and default investments with the majority representative under the New Jersey Employer-Employee Relations Act.

Absent a negotiated agreement with a union, represented employees must affirmatively elect to participate rather than being automatically enrolled.

Named fiduciaries must designate a default investment option for employees who do not make an affirmative investment election under automatic enrollment arrangements.