New Jersey Asphalt Contractor Sues State Over DEI Hiring Quotas and Union Mandates, Warns of Higher Project Costs

Wall, NJ — A New Jersey construction company that builds highways and public infrastructure is suing state agencies, arguing that hiring quotas and union requirements tied to public contracts are driving up costs and threatening its business model. Earle Asphalt Company, a Monmouth County-based contractor with more than 650 employees, filed a federal lawsuit challenging state rules that require firms to meet race- and sex-based hiring targets and, in some cases, operate under union-controlled labor agreements. The company says those mandates could impact its ability to compete for public work—projects that make up roughly 80% of its business. The case, filed against the New Jersey Turnpike Authority, Ocean County, and Evesham Township, adds to a growing list of legal challenges targeting state-level labor and contracting policies. Lawsuit targets hiring rules and union requirements At the center of the lawsuit are New Jersey’s “targeted goals,” which set employment benchmarks for minorities and women across 18 construction trades. Contractors working on public projects must submit monthly reports tracking workforce demographics and face penalties or reduced competitiveness if they fail to meet those goals. Earle Asphalt argues the requirements force companies to make employment decisions based on race and sex, rather than qualifications.