TRENTON – The Senate Labor Committee has advanced two key pieces of legislation aimed at providing financial relief to volunteer first responders and ensuring fair workers’ compensation benefits for volunteers and other workers.
The first bill, S-788, sponsored by Senator Gordon Johnson (D-Bergen), exempts stipends received by volunteer first responders from payroll taxes, including unemployment insurance (UI), temporary disability insurance (TDI), and family leave insurance (FLI). It also ensures that these stipends are excluded from a taxpayer’s gross income. The legislation is designed to incentivize more individuals to serve as volunteer firefighters and emergency responders by increasing the value of their stipends.
“Volunteer first responders are the backbone of public safety in many of our communities, yet recruitment and retention have become increasingly difficult. These individuals dedicate their time, energy, and often put themselves in harm’s way to protect others, all without expecting financial compensation,” said Senator Johnson. “By exempting the stipends they receive from taxation, we are taking a meaningful step toward recognizing their service and alleviating the financial burdens that may discourage participation.”
The second bill, S-2887, sponsored by Senator Linda Greenstein (D-Mercer/Middlesex), clarifies that volunteer firefighters and other eligible workers are entitled to the maximum workers’ compensation benefits, even if they do not have outside employment. The bill codifies the 2019 New Jersey Supreme Court decision in Kocanowski v. Township of Bridgewater, which affirmed that volunteer firefighters injured in the line of duty should receive full compensation benefits regardless of their employment status.
“Volunteer firefighters and first responders risk their lives to serve their neighbors, and it is crucial that they receive the full protections and benefits they deserve,” said Senator Greenstein. “The reality is that many of these individuals serve in a volunteer capacity while balancing other responsibilities, and some may not have outside employment at the time of an injury. This legislation guarantees that all eligible volunteers are entitled to the maximum workers’ compensation benefits, removing any ambiguity in the law and ensuring fair treatment.”
Both bills advanced in a 5-0 vote.