NJDOL Issues Stop-Work Orders to Five Businesses

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Filed December 23rd, 2025

Detected March 17th, 2026

Summary

The New Jersey Department of Labor and Workforce Development issued stop-work orders to five businesses for failing to make required contributions to state benefit programs. The employers collectively owed over $2.2 million in liabilities, impacting dozens of workers.

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What changed

The New Jersey Department of Labor and Workforce Development (NJDOL) has issued stop-work orders to five businesses: Gagliano and Associates, Steve’s Auto Repair Inc., Jersey Shore Steel Inc., Atlantic Intermodal Logistics L.L.C., and KBS Freight Systems L.L.C. These orders were issued due to the employers' failure to make required contributions to Unemployment, Temporary Disability, and Family Leave Insurance and Workforce Trust Funds. The total outstanding liabilities for these businesses exceed $2.2 million, affecting a total of 95 workers.

These enforcement actions highlight the critical importance of timely and accurate contributions to state benefit programs. Employers found to be non-compliant face significant financial penalties, including stop-work orders that halt all business operations until liabilities are resolved. Companies should review their contribution records and ensure full compliance with state labor laws to avoid similar enforcement actions and potential business disruption.

What to do next

Review contribution records for Unemployment, Temporary Disability, and Family Leave Insurance.
Ensure timely and accurate payments to state benefit programs.
Consult legal counsel if non-compliance is identified.

Penalties

Total liabilities owed by the five businesses exceed $2.2 million. Stop-work orders remain in place until awards are paid.

Source document (simplified)

NJDOL Issues Stop-Work Orders to Five Businesses for Failing to Make Appropriate Contributions to State Benefits Programs

FOR IMMEDIATE RELEASE

December 23, 2025

TRENTON – The New Jersey Department of Labor and Workforce Development’s (NJDOL) Division of Employer Accounts issued the following stop-work order on November 10, 2025:

Employer: Gagliano and Associates
Work Location: 9 James Street, Bloomfield, N.J.
Nature of Work: Accounting firm
Details: Gagliano and Associates was found to owe total liability of $118,951.84. The business made a down payment of $69,500 to avoid closure and has agreed to a payment plan.
Violations: Failing to make required contributions to Unemployment, Temporary Disability, and Family Leave Insurance and Workforce Trust Funds with respect to the work performed.
Workers Affected: 4

The following stop-work order was issued on November 5, 2025:

Employer: Steve’s Auto Repair Inc.
Work Location: 2059 South Black Horse Pike, Williamstown, N.J.
Nature of Work: Auto repair shop
Details: Steve’s Auto Repair Inc. was found to owe total liability of $513,255.59.
Violations: Failing to make required contributions to Unemployment, Temporary Disability, and Family Leave Insurance and Workforce Trust Funds with respect to the work performed.
Workers Affected: 2

The following stop-work order was issued on October 31, 2025:

Employer: Jersey Shore Steel Inc.
Work Location: 636 Herman Road, Jackson, N.J.
Nature of Work: Steel manufacturer
Details: Jersey Shore Steel Inc. filed Chapter 11 Bankruptcy for the liability owed, totaling $1,361,464.16.
Violations: Failing to make required contributions to Unemployment, Temporary Disability, and Family Leave Insurance and Workforce Trust Funds with respect to the work performed.
Workers Affected: 20

The following stop-work orders were issued on July 16, 2025:

Employer: Atlantic Intermodal Logistics L.L.C.
Work Location: 2 Executive Dr. Ste B Rear, Voorhees, N.J.
Nature of Work: Intermodal logistic service
Details: Atlantic Intermodal Logistics L.L.C. was found to owe total liability of $267,470.65.
Violations: Failing to make required contributions to Unemployment, Temporary Disability, and Family Leave Insurance and Workforce Trust Funds with respect to the work performed.
Workers Affected: 35

Employer: KBS Freight Systems L.L.C.
Work Location: 2 Executive Dr. Ste B Rear, Voorhees, N.J.
Nature of Work: Intermodal logistic service
Details: KBS Freight Systems L.L.C. was found to owe total liability of $231,802.35.
Violations: Failing to make required contributions to Unemployment, Temporary Disability, and Family Leave Insurance and Workforce Trust Funds with respect to the work performed.
Workers Affected: 35

The Employer Accounts division has issued eight stop-work orders and 66 notices of intent to issue a stop-work order, leading to the recovery of $995,335.94 in outstanding liabilities. Previous stop-work orders included Mirror and Glass Depot L.L.C. of Union City, Ajulia L.L.C. of East Brunswick, and Ajulia Executive Payroll L.L.C. of East Brunswick.

NJDOL has also issued 212 stop-work orders through its Wage and Hour Compliance division since these powers were expanded in July 2019.

Stop-work orders are initiated by NJDOL to halt work being performed in a manner that exploits workers or is otherwise noncompliant with state laws and regulations. If the employer fails to contest or pay the assessment within the statutory time period, a stop-work order may be issued after a seven-day notice is served upon the employer. The stop-work order remains in place until the award is paid in full by the employer.

NJDOL continues to monitor locations where stop-work orders have been issued. Workers are to be paid during the time the stop-work order is in effect, for a period of up to 10 days. The stop-work order may be lifted if and when any remaining back wages and administrative fees have been paid and all related issues have been resolved.

For more information on worker benefits and protections, please visit myworkrights.nj.gov.

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