N.J. Admin. Code § 17:1-3.1

Current through Register Vol. 56, No. 23, December 2, 2024

Section 17:1-3.1 - Compulsory enrollments; failure to enroll

(a) Employers have a statutory responsibility to enroll employees on a timely basis. Employers are required to use the available online enrollment applications provided through the Employer Pensions and Benefits Information Connection (EPIC), to enroll newly hired employees.

1. The Division will accept paper applications on a limited basis when:

i. An online application for a specific State-administered retirement system or fund is not available;

ii. When accompanied by an Interfund Transfer form; or

iii. The employee's enrollment cannot be processed online for any other reason.

2. When an employer fails to file an application for enrollment even though the employee and employer have been advised of the compulsory nature of enrollment, the employer shall pay the employee contributions required as a result of a delayed enrollment, as required by the governing statute and pursuant to (b) and (c) below.

3. Upon successful submission and full certification of the employee's online enrollment application, the certifying officer will receive an e-mail confirmation that enrollment is complete from the Division of Pensions and Benefits.

4. Upon receipt of a properly completed enrollment application, the member's beneficiary shall automatically be their estate until the enrolled member files a Designation of Beneficiary form.

(b) For the purpose of establishing an employer's liability for payment of the employee contributions on delinquently filed enrollment applications, as well as the member's requirement to prove insurability, one year shall cover the 12-month period elapsing between the employee's date of enrollment or transfer and the date the enrollment application or report of transfer is received by the Division.

(c) For the purpose of calculating the employer and employee costs for the employer's liability, the cost shall be calculated by multiplying the member's salary at enrollment by the current remitting pension rate times the period of service. For purposes of calculating the period of service, the service shall be the period between the date of enrollment or transfer and the date deductions are certified to begin.

N.J. Admin. Code § 17:1-3.1

Amended by 48 N.J.R. 1306(a), effective 6/20/2016