New Jersey Labor Department recovers over $200K in wages after statewide laundromat industry crackdown
TRENTON, N.J. — The New Jersey Department of Labor and Workforce Development (NJDOL) announced Thursday the completion of a sweeping, three-year enforcement initiative targeting the state’s retail, coin-operated laundromat industry, uncovering widespread violations of labor laws and recovering hundreds of thousands of dollars for workers.
Between April 2022 and July 2025, NJDOL conducted inspections at 99 laundromats across New Jersey and found that more than 70 percent were out of compliance with state Wage and Hour laws. As a result, the department assessed over $216,000 in penalties and recovered $204,904 in wages owed to 142 employees.
Violations included failure to provide Earned Sick Leave, incomplete or missing payroll records, unpaid or delayed wages, failure to display required labor law posters, and the misclassification of employees as independent contractors.
“NJDOL successfully completed its first strategic enforcement initiative aimed at bolstering the rights of New Jersey laundromat workers,” said Commissioner Robert Asaro-Angelo. “Through advanced training and technology, NJDOL’s Wage and Hour Division held law-breaking employers accountable, recovered wages owed to laundromat workers, and made a lasting impact to clean up this industry. We will continue to monitor this industry to ensure continued compliance with our laws.”
The initiative — the department’s first large-scale enforcement effort in the laundromat sector — was led by the Division of Wage and Hour Compliance, which conducted in-depth investigations and coordinated with the Divisions of Taxation, Unemployment Insurance, and Workers’ Compensation. Investigations often focused on owners operating multiple laundromat locations to maximize statewide impact.
In addition to enforcement, NJDOL carried out outreach efforts through mailings, educational programs, and webinars to help business owners understand compliance obligations. The department also partnered with the Laundry Workers Center, a worker advocacy group, to empower laundromat employees with information about their workplace rights.
“A clean start for laundromat workers in New Jersey is long overdue. Thanks to the efforts of the NJDOL and collaboration with grassroots organizations like ours, we are witnessing meaningful improvements in our industry,” said Rosanna Rodriguez, co-executive director of the Laundry Workers Center. “We remain committed to supporting laundromat workers and ensuring they receive the dignity and respect they deserve under New Jersey law.”
The initiative’s impact continues beyond its conclusion. NJDOL reported recovering over $35,000 in unpaid wages for a misclassified laundromat worker following the sweep.
State officials emphasized that New Jersey workers are protected under wage and hour laws regardless of immigration status. Workers seeking to learn more about their rights or to file a complaint can visit myworkrights.nj.gov.
Businesses interested in ensuring compliance are encouraged to contact NJDOL at wagehour@dol.nj.gov.
