NJ Workers’ Comp Guide for Korean Restaurant and Dry-Cleaning Workers

1. Who Must Carry NJ Workers’ Comp Insurance

In NJ, every business with at least one employee must carry Workers’ Compensation Insurance. Restaurants, dry cleaners, nail salons, supermarkets, moving companies — virtually all Korean American businesses are subject to this mandate.

For uninsured employers, owners face criminal liability + fines + subrogation by the Uninsured Employers Fund; injured workers can still recover through NJ’s Uninsured Employers Fund (UEF).

2. 3 Things Workers’ Comp Covers

3. Common Injuries at Korean Workplaces

Restaurant

• Burns — hot oil, soup, grill contact
• Lacerations — knives, mixers, meat slicers
• Falls — slippery kitchen floor, stairs
• Back injuries — lifting heavy food boxes
• Repetitive use — carpal tunnel (servers, chefs)

Dry Cleaner

• Burns — press, steam exposure
• Respiratory damage — dry-cleaning solvents (PCE)
• Falls — slippery shop floor
• Repetitive use — ironing, tagging

Supermarket, Nail Salon, Moving Companies

• Supermarket: back/disc injury when lifting boxes, falling items
• Nail salon: chemical respiratory damage, wrist repetitive use
• Moving: back, knee, shoulder injuries

4. 5-Step Claim Process

1. Report to employer immediately (verbal + ideally text/email in writing)
2. See the employer-designated doctor (do not see another doctor at your own expense)
3. Employer reports to NJ Division of Workers’ Comp within 14 days
4. Workers’ Comp insurer assigns case number → medical/wage payments begin
5. Upon full recovery or MMI, permanent disability evaluation

5. When the Employer Refuses to Report

The most common dispute at Korean American workplaces is the employer refusing or delaying the Workers’ Comp report, fearing premium increases or exposure of having no insurance.

• You can file a Claim Petition directly with the NJ Division of Workers’ Compensation
• For uninsured employers, the Uninsured Employers Fund (UEF) pays in lieu
• If the employer fires you for filing, you may sue for retaliatory discharge

6. Workers’ Comp vs Personal Injury — Which is Better?

If the injury occurred at work but a third party (e.g., a delivery truck driver, another company’s worker) is responsible, you typically file both Workers’ Comp AND a personal injury claim simultaneously.

7. Immigration Status — Can Undocumented Workers Claim?

Most asked question by Korean American clients. The answer is yes, you can claim.

NJ statute (NJSA 34:15-1 et seq.) explicitly states that Workers’ Comp eligibility is independent of immigration status, confirmed by NJ Supreme Court precedent (e.g., Hagl v. Jacob Stern & Sons). The same rights apply regardless of undocumented, H-2B, OPT, J-1, or any other status.

Frequently Asked Questions