Scarinci Hollenbeck, LLC, LLCScarinci Hollenbeck, LLC, LLC

Firm Insights

Executive Order Eliminates SHBP Waiting Period During Pandemic for Newly Hired And Returning Workers

Author: Scarinci Hollenbeck, LLC

Date: August 14, 2020

Key Contacts

Back

Gov. Phil Murphy recently signed Executive Order No. 172 (EO 172), which amends his previous Executive Order No 115 (EO 115)

Gov. Phil Murphy recently signed Executive Order No. 172 (EO 172), which amends his previous Executive Order No 115 (EO 115) that had extended health benefits to certain new hires hired specifically in response to the COVID-19 pandemic. 

Executive Order Eliminates SHBP Waiting Period During Pandemic for Newly Hired And Returning Workers

EO 172 expands upon EO 115, by allowing any new or returning public employee eligible for enrollment into the State Health Benefits Program (SHBP) to immediately enroll upon hire, regardless of the reason for an employee’s hire or return to work.

There is otherwise a two-month waiting period before newly hired or returning state and municipal employees may become eligible to enroll for SHBP health benefits.

In the Executive Order, Gov. Murphy recognized that under EO 115 and existing law, newly-hired workers not necessarily hired specifically to respond to the COVID-19 pandemic (along with those who are returning from furloughs or other circumstances in which they did not retain health benefits through SHBP or maintain health benefits through COBRA) were unable to enroll immediately upon hiring in the SHBP.

However, in expanding eligibility to all returning employees and new hires, Governor Murphy recognized that the employment of “skilled professionals is essential to the State’s response to the COVID-19 pandemic and the lack of health benefits coverage for newly hired personnel may serve as a deterrent to attracting and hiring staff with the necessary skills to respond to the pandemic,” Murphy further added in a press statement: “[w]e must ensure that our workforce has seamless access to health care, including preventive services and medical care relating to COVID-19, throughout this once-in-a-century pandemic.”

Gov. Murphy further stated that a two-month delay in enrollment eligibility could result in new and returning employees not having access to health benefits during a pandemic when seamless access to health care is essential. 

The terms of EO 172 apply to any public employee eligible for enrollment into the SHBP who are hired or return to employment on or after March 9, 2020.

EO 172 does not suspend any other statute, rule or regulation governing employees of government agencies, including but not limited to age limits and job qualifications. Public employers should review the Executive Order with their human resource professionals and amend any policies and procedures to reflect the temporary elimination of the SHBP waiting period. For guidance, we encourage you to contact a member of Scarinci Hollenbeck’s Government Law Group.

No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.

Scarinci Hollenbeck, LLC, LLC

Related Posts

See all
Why Secured Transactions Are Important post image

Why Secured Transactions Are Important

Secured transactions form the backbone of a wide range of business dealings, including business loans, mortgages, and inventory financing. Because the stakes are often high and relatively minor oversights can have drastic consequences, lenders and borrowers should thoroughly understand how to form an enforceable security agreement that protects their legal rights. What Is a Secured […]

Author: Dan Brecher

Link to post with title - "Why Secured Transactions Are Important"
Don’t Cash a “Paid in Full” Check Without Understanding the Legal Implications post image

Don’t Cash a “Paid in Full” Check Without Understanding the Legal Implications

Cashing a check marked “paid in full” can be a risky endeavor, particularly if you don’t fully understanding the legal implications. If you are owed more than the amount of the check you accept and deposit, you may waive your right to collect the full disputed amount. That is why you should consider either rejecting […]

Author: Dan Brecher

Link to post with title - "Don’t Cash a “Paid in Full” Check Without Understanding the Legal Implications"
Changes to Qualified Small Business Stock Will Benefit Startup Founders and Investors post image

Changes to Qualified Small Business Stock Will Benefit Startup Founders and Investors

The One Big Beautiful Bill Act of 2025 (OBBBA) significantly impacts federal taxes, credits, and deductions. A key change relating to Qualified Small Business Stock (QSBS) allows greater tax-free gains for investments in startups and other qualifying small businesses. Company founders and other investors should understand how the enhanced tax strategy works or risk missing […]

Author: Dan Brecher

Link to post with title - "Changes to Qualified Small Business Stock Will Benefit Startup Founders and Investors"
Corporate Consolidation and Antitrust Issues in Mergers post image

Corporate Consolidation and Antitrust Issues in Mergers

Corporate consolidation involves two or more businesses merging to become a single larger entity. The result is often a stronger and more competitive company that can better navigate today’s competitive marketplace. What Is Corporate Consolidation? Corporate consolidation closely resembles a basic merger transaction. The primary difference is that a consolidation creates an entirely new business […]

Author: Dan Brecher

Link to post with title - "Corporate Consolidation and Antitrust Issues in Mergers"
What is Business Law and Why Is it Important? post image

What is Business Law and Why Is it Important?

Business law plays a critical role in nearly every aspect of running a successful enterprise, from negotiating a commercial lease to drafting employee policies to fulfilling corporate disclosure obligations. Understanding what is business law and your legal obligations can help your business run smoothly and build productive relationships with clients, business partners, regulators, and others. […]

Author: Dan Brecher

Link to post with title - "What is Business Law and Why Is it Important?"
Corporate Transactions: Best Practices for Successful Deals post image

Corporate Transactions: Best Practices for Successful Deals

Corporate transactions can have significant implications for a corporation and its stakeholders. For deals to be successful, companies must act strategically to maximize value and minimize risk. It is also important to fully understand the legal and financial ramifications of corporate transactions, both in the near and long term. Understanding Corporate Transactions The term “corporate […]

Author: Dan Brecher

Link to post with title - "Corporate Transactions: Best Practices for Successful Deals"

No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.

Sign up to get the latest from our attorneys!

Explore What Matters Most to You.

Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.

Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.

Let`s get in touch!

* The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form. By providing a telephone number and submitting this form you are consenting to be contacted by SMS text message. Message & data rates may apply. Message frequency may vary. You can reply STOP to opt-out of further messaging.

Sign up to get the latest from the Scarinci Hollenbeck, LLC attorneys!