SENATE LABOR COMMITTEE

STATEMENT TO

SENATE, No. 2105

STATE OF NEW JERSEY

DATED: OCTOBER 1, 2026

      The Senate Labor Committee reports favorably Senate Bill No. 2105.

      This bill prohibits an employer from requiring, as a condition of employment, any employee or prospective employee to enter into a training repayment agreement.  The bill stipulates that any agreement which is a training repayment agreement is void and that no employee is obligated to make payments under that agreement.  The bill defines a training repayment agreement as any agreement requiring an employee to pay an employer, or a training provider or other third party, a sum of money if the employee leaves employment with the employer, including any agreement requiring the employee to reimburse the employer or third party for training previously provided to the employee, except that a training repayment agreement does not include a cash advance to an employee, a payment for equipment sold or leased to an employee, an educational sabbatical leave contract, or a training repayment agreement entered into as part of a collective bargaining agreement.

      This bill was prefiled for introduction in the 2026-2027 session pending technical review.  As reported, the bill includes the changes required by technical review, which has been performed.