More than 100 workers at Conduent’s Newark offices are losing their jobs as the company finalizes the sale of its tolling business, according to a Worker Adjustment and Retraining Notification filed with the state. Conduent State & Local Solutions, Inc. told the state labor department it plans to lay off 113 workers tied to the deal, even as the company insists most of its Newark workforce will keep their jobs.
Conduent filed the WARN notice in October, according to NJ.com, which reported the layoffs are set to take effect January 17, 2027. NJBIZ, however, reported the cuts will take effect January 21, 2027, a discrepancy that remains unresolved between the two outlets’ accounts. Conduent spokesperson Neil Franz said the company has notified affected employees and that “the majority of our Newark-based employees are not affected by it,” according to the same NJ.com report.
A $70 Million Deal Reshapes the Tolling Business
The layoffs stem from Conduent’s agreement, announced June 30, to sell its tolling business to Toronto-based Quarterhill Inc. for $70 million in cash, plus a 7% interest in Quarterhill, according to a Conduent, Inc. press release. That tolling business is no small operation — Conduent said it supports more than 14 million tolling transactions every day. The company expected the transaction to close before the end of 2026, though it’s not yet confirmed whether that sale has closed.
Not everyone tied to the tolling business is being let go. NJBIZ reported that employees supporting the business received employment offers from Quarterhill, while Conduent said certain roles that don’t transfer with the business are being eliminated. Eligible employees will receive separation benefits under applicable company policies, and Franz said Conduent is grateful to affected employees for their contributions.
Newark Facility Keeps Running the State’s E-ZPass System
Conduent State & Local Solutions, headquartered in Florham Park, currently operates the New Jersey E-ZPass Consortium customer service center under contract with the New Jersey Turnpike Authority. That consortium electronically collects tolls and handles customer service and collections for seven toll agencies statewide, including the Turnpike Authority, South Jersey Transportation Authority, Delaware River Port Authority, Delaware River and Bay Authority, Delaware River Joint Toll Bridge Commission, Burlington County Bridge Commission, and the Cape May County Bridge Commission. Despite the layoffs, Conduent’s Newark facility continues to operate, and the company employs 2,000 people across New Jersey.
Conduent Still Fighting to Keep the E-ZPass Contract
The layoffs come as Conduent wages a separate legal battle over the future of that very contract. The Turnpike Authority awarded a rival, TransCore, an 11-year, $1.73 billion contract to run the state E-ZPass service center back in September 2024 — a winning bid that cost $251 million more than Conduent’s own proposal. Conduent challenged that award and, after the Turnpike Authority rejected its formal protest in April 2025, asked state appellate judges in October to order a rebid of the contract.
Turnpike Authority attorneys have argued Conduent no longer has standing to challenge the award because it is no longer in the toll business, a claim that gains new weight now that Conduent has agreed to sell its tolling operations to Quarterhill. As of the reporting cited by NJ.com’s coverage of the court fight, the appellate court had not yet ruled on Conduent’s challenge.
Part of a Larger Cost-Cutting Push
The Newark cuts fit into a broader financial strategy at Conduent, which is aiming to generate at least $100 million in annual savings by the first half of 2027 through company-wide restructuring, according to NJBIZ, which first reported on the layoff notices. Beyond New Jersey, Conduent also manages E-ZPass and toll collection for the Metropolitan Transportation Authority’s bridges and tunnels, the Port Authority of New York and New Jersey, the New York State Thruway Authority, and agencies in California, Florida and Ohio — underscoring just how much of the country’s electronic tolling infrastructure runs through the company now changing hands.
