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N.J. Bill Threatens Drayage Operations

N.J. Bill Threatens Drayage Operations

2/26/2013

 

The New Jersey Motor Truck Association is fighting a proposal in that state’s legislature that would effectively end owner-operator drayage at the ports. Currently, New Jersey law recognizes properly structured owner-operator leases as independent-contractor relationships for tax and employment purposes.

If the bill passes, however, owner-operators would have to pass what’s called the ABC test to be considered independent contractors. This test requires someone claiming independent-contractor status to prove he’s not in the same business as his principal, and would be very difficult to meet. The bill is up for hearings on March 4. Those with an interest in New Jersey port operations might wish to become involved in this issue.