A 4683

ASSEMBLY, No. 4683
STATE OF NEW JERSEY
222nd LEGISLATURE
�
INTRODUCED MARCH 16, 2026
Sponsored by:
Assemblywoman� ROSAURA "ROSY" BAGOLIE
District 27 (Essex and Passaic)
SYNOPSIS
���� Establishes �New Jersey Union-Led Semiconductor
Innovation and Security Program.�
CURRENT VERSION OF TEXT
���� As introduced.
��
An Act establishing the �New Jersey Union-Led Semiconductor Innovation and Security Act� and
supplementing Title 34 of the Revised
Statutes.
���� Be It
Enacted by the Senate and General Assembly of
the State of New Jersey:
���� 1.��� This act shall be known
and may be cited as the �New Jersey Union-Led Semiconductor Innovation and
Security Act.�
���� 2.��� The Legislature finds
and declares that:
���� a.���� Semiconductor
manufacturing and microelectronics are vital to the operation of many
electrical products as well as national security, economic competitiveness, and
supply chain resilience.
���� b.��� Federal funding made
available pursuant to the �CHIPS and Science Act,� Pub.L.117-167, incentivizes the
development of a domestic workforce to produce semiconductors and
microelectronics in the United States.
���� c.���� The State�s system of
registered apprenticeship programs and training partnerships provides a proven
model for developing a highly skilled workforce to work in the semiconductor
industry.
���� d.��� Leveraging organized
labor participation in semiconductor development will promote workforce
stability and long-term job placement.
���� e.���� It is in the public
interest to coordinate State agencies, institutions of higher education,
organized labor, and private industry to support semiconductor workforce
development and secure manufacturing in the State.
���� 3.��� As used in this act:
���� �Apprenticeship program� means
a registered apprenticeship program providing to each trainee combined
classroom and on-the-job training under the direct and close supervision of a
highly skilled worker in an occupation recognized as an apprenticeable trade,
registered by the Office of Apprenticeship of the U.S. Department of Labor.
���� �Authority� means the New
Jersey Economic Development Authority established pursuant to section 4 of
P.L.1974, c.80 (C.34:1B-4).
���� �Department� means the
Department of Labor and Workforce Development.
���� �Organized labor� means any
labor union, trade union, or affiliated entity recognized under federal or
State law.
���� �Program� means the �New
Jersey Union-Led Semiconductor Innovation and Security Program� established
pursuant to section 4 of this act.
���� �Semiconductor and related embedded
technology� means the fabrication, assembly, testing, advanced packaging,
production, or research and development of semiconductors, materials used in
semiconductor manufacturing, semiconductor manufacturing equipment, or
technologies enabling semiconductor production, automation, cybersecurity
protection, or secure deployment.
���� 4.��� a.� There is established
the �New Jersey Union-Led Semiconductor Innovation and Security Program� in the
New Jersey Economic Development Authority.
���� b.��� The authority shall
administer the program in consultation with the Departments of Labor and
Workforce Development, Education, Veterans Affairs, and Military Affairs;
public institutions of higher education, community colleges, and county
vocational schools; and representatives of organized labor with expertise in
advanced manufacturing and apprenticeship training.
���� c.���� The purpose of the
program shall be to:
���� (1)�� support semiconductor
and related embedded technology research, development, fabrication, and supply
chain activities within the State;
���� (2)�� coordinate workforce
development strategies aligned with semiconductor industry needs;
���� (3)�� leverage federal funding
opportunities, including funding made available pursuant to the �CHIPS and
Science Act,� Pub.L.117-167; and
���� (4)�� encourage collaboration
among private industry, organized labor, institutions of higher education, and
State agencies.
���� d.��� Subject to the
availability of funds, the program shall:
���� (1)�� provide workforce
development and apprenticeship opportunities that:
���� (a)�� promote utilization of apprenticeship
programs in semiconductor and related embedded technology jobs;
���� (b)�� prioritize recruitment
of veterans, women, and underserved communities; and
���� (c)�� incorporate automation
systems, artificial intelligence applications relevant to semiconductor
production, cybersecurity standards, and advanced manufacturing processes; and
���� (2)�� provide financial
assistance to public institutions of higher education, community colleges,
county vocational schools, and qualified private entities to support
research-to-production innovation and lab-to-fabrication initiatives.
���� e.���� A recipient of
financial assistance under this act shall:
���� (1) comply with the prevailing
wage requirements of the �New Jersey Prevailing Wage Act,� P.L.1963, c.150 (C.
34:11-56.25 et seq.); and
���� (2)�� utilize apprenticeship
programs for apprenticeable trades employed on the project.
���� f.���� An applicant for financial
assistance under this act shall disclose foreign funding sources and comply with
applicable State and federal security protections that prevent the acceptance
of funds from sources that also fund acts of sabotage or terrorism.
���� g.��� To the extent
practicable and permissible by federal and State law, projects receiving
financial assistance under this act shall domestically source materials used in
construction and manufacturing.
���� h.��� The authority may
coordinate with federal defense installations within the State to support
secure semiconductor and related embedded technology manufacturing.
���� i.���� An entity that receives
financial assistance under this act shall comply with applicable cybersecurity
standards, including National Institute of Standards and Technology
Cybersecurity Supply Chain Risk Management standards and guidance, as
applicable.
���� j.���� The authority shall
submit an annual report to the Governor, and to the Legislature, pursuant to
section 2 of P.L.1991, c.164 (C.52:14-19.1), concerning the outcomes of the
program which shall include, but not be limited to, program activities and
expenditures, the amount of federal funding leveraged, workforce placement
outcomes; and semiconductor manufacturing capacity and integration in the
State.
���� k.��� The authority shall adopt
rules and regulations pursuant to the "Administrative Procedure Act,"
P.L.1968, c.410 (C.52:14B-1 et seq.) necessary to effectuate the program
established under this act, which shall include licensing, inspection, and
auditing procedures.
���� 5.��� a.� There is established
the Task Force on Labor in Semiconductors.�
���� b.��� The task force shall
consist of 15 members as follows:
���� (1)�� the Chief Executive
Officer of the New Jersey Economic Development Authority, the Commissioner of
Labor and Workforce Development, the Secretary of Higher Education, the
Adjutant General of the Department of Military Affairs, the Commissioner of
Veteran Affairs, or their designees, who shall serve ex officio;
���� (2)�� two members of the
Senate to be appointed by the Senate President and who shall each be of
different political parties;
���� (3) two members of the General
Assembly to be appointed by the Speaker of the General Assembly and who shall
each be of different political parties; and
���� (4)�� six public members
appointed by the Governor for a term of one year, including representatives of
organized labor, semiconductor manufacturers, and institutions of higher
education.
���� c.���� Vacancies shall be
filled in the same manner as the original appointments were made.
���� d.��� The Chief Executive
Officer of the New Jersey Economic Development Authority or the designee shall
serve as chairperson of the task force.� The task force shall organize as soon
as may be practicable, but no later than the 30th day after the appointment of
its members.� The chairperson shall appoint a secretary who need not be a
member of the task force.� The public members shall serve without compensation,
but may be reimbursed for necessary expenses incurred in the performance of
their duties.
���� e.���� The task force shall:
���� (1)�� evaluate workforce
supply and demand within semiconductor and related embedded technology
industry;
���� (2)�� assess the impact of
artificial intelligence and automation on semiconductor jobs; and
���� (3)�� issue recommendations
concerning semiconductor and related embedded technology workforce integration
strategies and labor standards.
���� f.���� The task force shall
issue a report to the Governor, and to the Legislature, pursuant to section 2
of P.L.1991, c.164 (C.52:14-19.1), containing its findings and recommendations,
including any recommendations for legislation, no later than 18 months after
its organizational meeting.�
���� 6.��� a.� The authority may
utilize monies from existing economic development incentive programs, federal
funds, or other available resources to support the program established pursuant
to this act.
���� b.��� The department is
authorized to expend monies from the Workforce Development Partnership Fund established
pursuant to pursuant to section 9 of P.L.1992, c.43 (C.34:15D-9), to support
workforce development and apprenticeship activities under the program, to the
extent consistent with the purposes of that fund.
���� 7.��� This act shall take
effect 180 days after the date of enactment but the Chief Executive Officer of
the New Jersey Economic Development Authority may take such anticipatory
administrative action in advance as shall necessary for the implementation of
this act.
STATEMENT
���� This bill establishes the �New
Jersey Union-Led Semiconductor Innovation and Security Program� in the New
Jersey Economic Development Authority (authority).
���� The bill requires the
authority, in consultation with the Department of Labor and Workforce
Development and other State agencies and institutions to administer the program
supporting semiconductor and related embedded technology research, development,
fabrication, supply chain activities, and workforce development within the
State.
���� Subject to the availability of
funds, the program is required to provide certain financial assistance to
support research-to-production innovation and lab-to-fabrication initiatives,
and workforce development and apprenticeship opportunities that: (1) promote
utilization of apprenticeship programs in semiconductor and related embedded
technology jobs; (2) prioritize recruitment of veterans, women, and underserved
communities; and (3) incorporate automation systems, artificial intelligence
applications relevant to semiconductor production, cybersecurity standards, and
advanced manufacturing processes.�
���� Under the bill, recipients of
financial assistance are required to comply with the �New Jersey Prevailing
Wage Act� and to utilize apprenticeship programs for apprenticeable trades
employed on projects.� The bill also requires recipients of financial
assistance to disclose foreign funding sources and comply with applicable State
and federal security protections.
���� The bill establishes a 15
member Task Force on Labor in Semiconductors to, among other items, evaluate
workforce supply and demand, assess the impact of artificial intelligence and
automation on semiconductor jobs; and issue recommendations concerning
workforce integration strategies and labor standards.
���� The authority is required to
submit annual reports concerning program outcomes.