Supreme Court Wage Decision: Lopez v. Marmic LLC
Summary
The Supreme Court unanimously ruled in Lopez v. Marmic LLC that New Jersey wage and hour laws entitle all workers to be paid for work performed, regardless of immigration status or recordkeeping gaps. This decision upholds basic work rights and levels the playing field for compliant businesses.
What changed
The Supreme Court's unanimous decision in Sergio Lopez v. Marmic LLC clarifies that New Jersey wage and hour laws mandate payment for all work performed, irrespective of an employee's immigration status or employer recordkeeping deficiencies. The ruling specifically rejects broad 'barter' exceptions to wage and hour obligations, reinforcing the principle that employers must compensate workers for labor rendered. This decision impacts employers operating in New Jersey by solidifying the requirement to pay all employees for their work.
Compliance officers should ensure that their organizations' wage payment policies and practices in New Jersey fully align with this ruling. This includes verifying that no employees are denied wages based on immigration status and that no 'barter' or similar exceptions are applied to circumvent wage obligations. While the ruling itself is final, specific internal policy reviews and potential adjustments to payroll systems or employee agreements may be necessary to ensure full compliance with New Jersey's wage and hour statutes as interpreted by this decision.
What to do next
- Review New Jersey wage payment policies to ensure compliance with the Supreme Court's ruling.
- Verify that no employees are denied wages based on immigration status or recordkeeping gaps.
- Ensure no 'barter' exceptions are used to avoid wage and hour obligations in New Jersey.
Source document (simplified)
Statement from New Jersey’s Acting Labor Commissioner and Attorney General on the Supreme Court’s Unanimous Decision on Sergio Lopez v. Marmic LLC
FOR IMMEDIATE RELEASE
March 23, 2026
TRENTON – “The Supreme Court’s unanimous ruling makes it crystal clear what should have never been in question: in New Jersey, you must be paid for the work you do — period," said Acting Labor Commissioner Kevin D. Jarvis. "For too long, some employers have tried to exploit vulnerable workers by pointing to immigration status or gaps in recordkeeping. This ruling shuts that door by upholding a basic work right that says every New Jersey worker is entitled to the wages they have earned and employers must follow the law. Just as importantly, this will help to level the playing field for Garden State businesses that follow the rules by making sure they aren’t undercut by bad actors that don’t."
“This decision is a resounding win for workers and a strong endorsement of our arguments made in a friend-of-the-court filing,” said Attorney General Jennifer Davenport. “The Supreme Court agreed with our team and our partners in Labor and Workforce Development that New Jersey’s wage and hour laws give every employee a right to get paid for work they’ve already performed, regardless of immigration status. The Court also agreed that employers can’t get away with wage theft by claiming a broad-based ‘barter’ exception to wage and hour laws.”
This case was argued October 6, 2025, and decided March 19, 2026. The full decision may be found at https://www.njcourts.gov/system/files/court-opinions/2026/a2724.pdf.
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