This Ogletree, Deakins, Nash, Smoak & Stewart, P.C. memorandum discusses recent amendments to the New Jersey statute governing employee leasing companies (also known as professional employer organizations, or PEOs). The amended law clarifies the rights and responsibilities of the parties to an employee leasing agreement. In particular, the client company, not the leasing company, must supervise the leased employees, and will be responsible for the nature of the goods or services they produce. The new statute also changes several operating requirements for employee leasing companies, including registration and filing requirements.