Question 1

How can a small business in NJ reduce employee turnover without raising pay?

Gordon Marzano · Accepted Answer

Pay matters, but engagement, clear growth paths, and consistent performance management often do more to keep people than a raise alone. Businesses that invest in structured feedback, recognition, and career development tend to see lower turnover than those competing on salary alone.

Question 2

Is it legal to use AI to make hiring or firing decisions in New Jersey?

Gordon Marzano · Accepted Answer

AI can support HR processes like screening resumes or scheduling, but New Jersey — like a growing number of states — is increasing scrutiny on how AI influences employment decisions. Final hiring, promotion, discipline, and termination decisions still need documented human judgment behind them. Relying on AI alone can expose a business to discrimination or wrongful termination claims.

Question 3

What are the biggest NJ HR trends small businesses need to watch in 2026?

Gordon Marzano · Accepted Answer

The three biggest are AI adoption in HR functions (and the compliance risk that comes with it), rising labor costs paired with retention challenges, and frequent changes to New Jersey compliance requirements — including the new mandatory employee separation reporting and ongoing wage-and-hour enforcement.

NJ HR Trends 2026: 3 Issues Every Small & Midsize Business Should Have on Its Radar

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