Council of New Jersey State College Locals, njsft-aft/afl-cio, Appellant v. State Board of Higher Education, Respondent

Summary

The Supreme Court of New Jersey affirmed, as modified, the Appellate Division’s judgment that the State Board of Higher Education’s regulations governing staff reductions during fiscal emergencies are given preemptive effect over collective bargaining and do not violate the State’s tenure statute. The Court articulated a qualified preemption rule for agencies that act both as regulator and employer, allowing the presumption of preemption to be rebutted only by showing arbitrariness, bad faith, or an intent to avoid negotiation. Justice Schreiber filed a concurring opinion agreeing with the majority’s analysis. The decision rests on statutory interpretation and prior preemption precedent.