Business groups sue to block NJ law fining big employers for workers on Medicaid

Business groups want a judge to void a new state statute that they say forces employers to ask workers their health status in violation of federal privacy laws.

By: Dana DiFilippo

Outlets: New Jersey Monitor

Published: August 21, 2026

Words: 455

Last Updated: 1 month, 4 weeks ago

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Four business industry groups have sued New Jersey in a bid to overturn a new law that requires companies with at least 50 employees covered by Medicaid to pay the state annual fees to offset the state’s cost for that publicly funded health insurance coverage.

The statute, which Gov. Mikie Sherrill signed in June, orders big employers to pay up to $725 yearly for each of their workers, and each of those …

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