SENATE LABOR COMMITTEE

STATEMENT TO

SENATE, No. 4506

STATE OF NEW JERSEY

DATED:  JUNE 5, 2025

      The Senate Labor Committee reports favorably Senate Bill No. 4506.

      This bill exempts minor league baseball players from the provisions of the State wage and hour laws and the recordkeeping requirements of the wage payment laws, provided the players are employed under a collective bargaining agreement that is in effect and expressly governs wages and working conditions.

      The legislation recognizes the important role these teams play as sources of affordable family entertainment, youth engagement, and local economic development, while also respecting the strong labor protections already secured through collective bargaining.

      In March 2023, the Major League Baseball Players Association, the certified labor union for Major League Baseball players, entered into the first-ever nationwide collective bargaining agreement with Minor League Baseball. This landmark agreement established significant protections for minor league players, including guaranteed annual salaries, health care coverage, housing stipends, retirement benefits, meals, and tuition assistance.

      Due to the unique nature of minor league baseball employment—marked by irregular schedules, extensive travel, and non-traditional training demands—certain provisions of State wage and hour laws are incompatible with the terms negotiated by the parties. This bill ensures that the legal framework governing these players remains consistent with the collectively bargained agreement, without undermining its protections or benefits.

      The exemption established by this bill applies only during the period in which a valid collective bargaining agreement is in effect and expressly provides for the wages and working conditions of the affected players. The bill also requires the league and union to notify the Department of Labor and Workforce Development in the event of the agreement’s termination or replacement, ensuring continued transparency and accountability.

      Several other states, including Florida, Indiana, and California, have taken similar steps to harmonize their labor laws with the terms of this collective agreement. This legislation adopts a balanced and narrowly tailored approach that supports players, protects the integrity of organized labor, and sustains the community and economic benefits of minor league baseball across New Jersey.