The Healthy Terminals Act is a piece of legislation that was introduced in New York in March of 2021, and New Jersey shortly thereafter, aiming to improve the working conditions and benefits for certain airport workers. The Act requires airport employers to provide their workers with increased wages, benefits, and other protections. The Act provides that government contractors operating in or providing services at/to airports in New York and New Jersey would be subject to the provisions of The Healthy Terminals Act. As a result, they would have to comply with the Act’s requirements regarding employee compensation and benefits, which may include: Increased wages: The Act might mandate higher minimum wages for airport workers than those set by state or federal laws. This could lead to increased labor costs for government contractors employing workers at airports. Enhanced benefits: The Act could require employers to provide additional benefits, such as paid sick leave, health insurance, retirement plans, or other employee protections. Government contractors would need to adjust their employee benefit packages accordingly. Compliance and reporting: Contractors would have to ensure that their operations at New Jersey airports are in full compliance with the Act’s provisions. This might include reporting requirements to demonstrate adherence to the mandated standards. Competitive bidding: When bidding for government contracts that involve airport services in New Jersey, contractors would need to consider the added costs associated with complying with The Healthy Terminals Act. This could impact their competitiveness compared to contractors from other states without similar legislation. Labor relations: Contractors would need to address potential labor relations issues, as the Act could lead to increased unionization efforts or collective bargaining demands from airport workers seeking to take advantage of the improved conditions mandated by the legislation. Reputation and public perception: Government contractors that comply with The Healthy Terminals Act may be viewed more favorably by the public, airport authorities, and government agencies for their commitment to providing better working conditions for employees. Overall, The Healthy Terminals Act could significantly impact government contractors’ operations and bottom line, requiring them to adjust their business practices and financial planning to accommodate the new regulations and employee benefits mandated by the law. The Healthy Terminals Acts have a broad reach and potentially significant impact on government contractors’ operations and bottom line, requiring them to adjust their business practices and financial planning to accommodate the new regulations and employee benefits mandated by the law. At its inception in 2021 the legislation was estimated to impact roughly 34,533 minimum wage workers in New York and New Jersey. At this same time, the estimated annual cost of the Healthy Terminals Act was estimated to be approximately $85,558,033 for employers at New Jersey’s Newark International Airport and $207,409,299 for employers at New York’s JFK and LaGuardia International Airports. If you have questions regarding the Healthy Terminals Act and whether it may impact your government contract, contact our subject matter specialists today at Solutions@gsanational.com, or Schedule a Meeting here!