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Senate clears bill to combat organized retail theft in NJ (updated)

Kimberly Redmond//February 26, 2025//

Retail crime

PHOTO: DEPOSIT PHOTOS

Retail crime

PHOTO: DEPOSIT PHOTOS

Senate clears bill to combat organized retail theft in NJ (updated)

Kimberly Redmond//February 26, 2025//

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Updated at 7:50 a.m. ET Feb. 28, 2025: Companion introduced last fall by Assemblymembers Joe Danielsen, D-17th District; Alex Sauickie, R-12th District, and Heather Simmons, D-3rd District, was unanimously approved in a Feb. 27 vote. The measure, Assembly Bill 4755, is now heading to Gov. Phil Murphy’s desk.

Read the original story below, published Feb. 26, 2025.


A bill aimed at cracking down on organized retail crime in New Jersey advanced in the state Senate.

The bipartisan measure unanimously passed Feb. 25. Under Senate Bill 3587, the state would establish a new law enforcement unit to target professional theft rings that methodically move from community to community, stealing high-demand products and selling them on the gray market.

The measure’s primary sponsors are state Sens. John Burzichelli, D-3rd District, and Holly Schepisi, R-39th District.

If enacted, the legislation would increase penalties for repeat offenders and ringleaders of organized operations. It would also seek to protect consumers from faulty products put into the marketplace by thieves. Additionally, the bill would implement safeguards against gift card fraud.

S3587 would also allocate $1 million to the New Jersey Attorney General to create a unit within the Department of Law and Public Safety. That group would investigate and prosecute cases concerning retail theft acts. The division would also have authorization to assist county prosecutors in doing the same.

Other aspects of the measure include:

  • Establishing assault of a retail business employee as an aggravated assault, chargeable as a third- or fourth-degree crime — depending on the severity of injuries
  • Upgrading the charge of leading an organized retail theft ring to a first-degree crime
  • Increasing the penalty for failure to pay taxes as leader of said enterprise to a second-degree crime
  • Extending terms of imprisonment for repeat offenders convicted multiple times of retail theft

 

Assembly members Joe Danielson, D-17th District, and Alex Sauickie, R-12th District, introduced companion legislation Sept. 19.

That bill has cleared the Assembly Public Safety and Preparedness Committee and Assembly Judiciary Committee. The Assembly Appropriations Committee passed it Feb. 20.

‘An alarming rise’

Sen. Holly Schepisi, R-39th District 39
Schepisi

Commenting on the Senate’s passage, Schepisi said, “The surge of organized retail crime has cost businesses billions, driven up prices for consumers, and has put employee’s safety at risk as they face growing threats of violence from organized theft rings.”

“We’ve witnessed an alarming rise in large-scale theft operations across the nation, especially here in New Jersey, where stolen merchandise is swiftly sold for illicit gains. This legislation would impose tougher penalties to deter criminals and their theft organizations, and, most importantly, enhance protections for both retailers and their customers,” said Schepisi.

She added, “At the heart of this issue is the safety of our communities. Retail employees shouldn’t have to fear for their safety, and shoppers deserve peace of mind that the products they buy are safe and haven’t been tampered with in any way.”

Sen. John Burzichelli, D-3rd District
Burzichelli

Burzichelli remarked, “These are not simple cases of shoplifting. The thefts are organized and orchestrated by criminal groups that convert the stolen products into cash on the gray market. In the end, everyone pays a price with higher costs, compromised products and lost tax revenue.”

The senator continued, “Consumers are put at additional risk when the gangs steal and resell consumable or medical products with expiration dates that are repackaged with altered dates or stored in compromised conditions.”

Joining the fight

By the numbers

Financial losses associated with retail theft grew from $99.3 billion in 2022 to $112 billion in 2023.
– National Retail Federation

At least 14 states – including New York and California – have passed laws stiffening penalties for such offenses. The wave follows an uptick in reports of organized rings storming stores across the U.S. and fleeing, collectively, with billions of dollars in merchandise

According to the National Retail Federation, financial losses associated with retail theft grew from $99.3 billion in 2022 to $112 billion in 2023.

Estimates from the Department of Homeland Security say organized retail crime costs federal and state government nearly $15 billion annually in lost tax revenue — not including lost sales taxes.

After working with lawmakers, the New Jersey Food Council said it received “very positive feedback and support” on the measure. Based in Trenton, the trade association represents more than 1,500 members in the food retail, wholesale and manufacturing segments of New Jersey’s food distribution industry.

Linda Doherty
Doherty

In a recent op-ed NJFC President and CEO Linda Doherty wrote, “Throughout our state, products such as baby formula, over-the-counter medication, energy drinks, expensive cuts of meat, seafood and other high-demand items are ripped off the shelves and resold. Consumers are put at risk because the safety of those products can no longer be guaranteed when expiration dates are altered, or food items are stored without proper refrigeration.”

“Organized retail theft also endangers retail workers and customers. Retailers are forced to take unprecedented security measures and prices increase,” she said. “Now it’s New Jersey’s turn to combat organized retail theft, by enacting legislation that directly targets the crime syndicates that threaten our consumers.”