Can You Be Fired for Legal Cannabis Use in New Jersey? What Employees Need to Know
May 14, 2025 | Written by: | Share
As cannabis laws continue to evolve, New Jersey workers are left wondering if they can be denied a job or fired for using cannabis legally outside of work. While medical and recreational cannabis use are both legal in the state, the rules about how those rights translate into workplace protections remain unclear. A recent federal appeals court decision highlights the ongoing legal gray area, especially for job applicants who use cannabis recreationally. Here's what New Jersey employees need to know about how cannabis laws interact with employment rights, and what legal options may (or may not) be available.
Medical Cannabis and Workplace Protections
New Jersey has recognized medical cannabis use since 2009. At first, the law specifically stated that employers did not have to accommodate medical cannabis use. However, that language was removed in later amendments. Today, while the law itself doesn’t contain explicit workplace protections, the New Jersey Supreme Court ruled in 2020 that the New Jersey Law Against Discrimination (NJLAD) can apply. In that case, the court held that terminating an employee for using medical cannabis to treat a disability—outside of work hours—may violate the state's anti-discrimination laws.
Recreational Use: Protected but Unenforceable?
The situation is more complicated for recreational users. In 2021, New Jersey passed the Cannabis Regulatory, Enforcement Assistance, and Marketplace Modernization Act (CREAMMA), which legalized adult-use cannabis and included some employment-related protections. The law says employers cannot fire or refuse to hire someone simply because they legally use cannabis on their personal time. It also limits how employers can use drug test results, stating that they cannot act solely based on “the presence of cannabis metabolites” in a person’s system.
CREAMMA, however, does not include a clear mechanism for employees or applicants to sue if these rights are violated.
Recent Court Ruling Highlights the Uncertainty
A recent case from the Third Circuit Court of Appeals sheds light on this issue. In 2022, a job applicant received a conditional offer from a national retailer. After testing positive for cannabis, the offer was withdrawn, allegedly based on a company policy against hiring anyone who tests positive for illegal drugs. The applicant sued, claiming the policy violated CREAMMA and public policy. One of the arguments he advanced was that the drug test did not detect “illegal” drug use because of CREAMMA.
The district court dismissed the case, ruling that CREAMMA does not provide a private right to sue. The plaintiff argued that a right of action should be implied, or at least that he could sue under common law principles for failure to hire. But in late 2024, the Third Circuit upheld the dismissal, reinforcing that the law does not give applicants or employees the ability to directly enforce its protections in court, at least not yet.
What This Means for New Jersey Workers
For employees who use cannabis for medical reasons tied to a documented condition, there may still be viable claims under the NJLAD. But for recreational users, the path is far less certain. The law may recognize your right to use cannabis legally, but if your employer takes action against you, you may not have a clear legal remedy, especially if you’re a job applicant rather than a current employee.
Until the legislature or courts provide further clarity, New Jersey workers and employers should be cautious. Anyone facing a workplace issue related to cannabis use may consult one of our employment lawyers to understand the current state of the law and the potential options.
Sharon M. Flynn, Esq., is a partner with Gebhardt & Kiefer, P.C., and practices primarily in the areas of general litigation, employment law, and insurance defense.
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Any statements made herein are solely for informational purposes only and should not be relied upon or construed as legal advice.