News Summary
The Massachusetts Pay Transparency Act, effective October 29, 2025, mandates wage range disclosures in job postings. Aimed at closing wage gaps for women and people of color, the law affects employers with 25 or more employees. It includes a grace period for compliance and protections against retaliation for salary inquiries. This legislation marks a significant move towards fair compensation practices in Massachusetts.
Boston, Massachusetts – The Massachusetts Pay Transparency Act, officially known as the Frances Perkins Workplace Equity Act, mandates that employers disclose wage ranges in job postings starting October 29, 2025. Signed into law on July 31, 2024, this legislation aims to increase wage transparency and enhance pay equity, primarily focusing on closing the pay gaps faced by women and people of color.
Employers with 25 or more employees in Massachusetts are impacted by this law. Employees for the purposes of this headcount must perform their primary work in Massachusetts, including those who are telecommuting from other states. The law applies to all employees, encompassing full-time, part-time, seasonal, and temporary workers. Employers must calculate their employee count annually by averaging the payroll periods over the year.
The law stipulates that employers must disclose wage ranges in three specific scenarios: during job advertisements, when offering promotions or transfers, and upon request from current employees or applicants. A “pay range” is defined under the law as the minimum and maximum salary or hourly rate that an employer reasonably expects to pay for a given position.
Although the law will officially take effect in late 2025, there is a two-year grace period allowing employers a window to adjust their practices. During this period, if violations occur, employers will receive two business days to correct them without facing any fines. However, penalties for violations increase with repeated offenses, starting with a warning for the first incident. Subsequent violations could result in fines ranging from $500 for the second violation to $25,000 for the fourth or more serious offenses.
The enforcement of the Act falls to the Massachusetts Attorney General’s Office, which has also provided frequently asked questions to assist employers in navigating compliance. Additionally, employers who are already submitting Equal Employment Opportunity (EEO) reports to the Equal Employment Opportunity Commission (EEOC) will also be required to submit these reports to the Massachusetts Secretary of State starting February 1, 2025.
One of the critical aspects of this legislation is its protection against retaliation. Employees are safeguarded from negative repercussions if they inquire about salary information related to pay ranges. Importantly, however, the law does not create a private right of action, meaning only the Attorney General’s Office can investigate and enforce compliance with the Pay Transparency Act.
Employers are encouraged to conduct internal audits to identify and correct pay discrepancies to promote fairness in compensation practices. Furthermore, the law emphasizes transparent communication regarding salary determinations and ranges within organizations. Employers are advised to create consistent salary ranges rooted in comprehensive market research, with considerations for seniority and performance in their compensation strategies.
The Massachusetts Pay Transparency Act aligns with a growing trend across the nation as various states adopt similar pay transparency legislation, often driven by Democrat-led initiatives. Its enactment signifies an important step toward minimizing wage disparities and fostering an equitable workplace environment across the state.
In conclusion, the Massachusetts Pay Transparency Act serves as a powerful legislative tool aimed at advancing equity in wages across diverse workforce demographics, with a focus on providing clarity and fairness in the hiring and employment process.
Deeper Dive: News & Info About This Topic
- Boston.com: Massachusetts Pay Transparency Law
- Jackson Lewis: Massachusetts Pay Transparency Law Takes Effect October
- National Law Review: New Law Impacts Massachusetts Employers
- Forbes: Massachusetts Pay Transparency Law Takes Effect
- Wikipedia: Pay Transparency
Author: STAFF HERE BOSTON WRITER
BOSTON STAFF WRITER The BOSTON STAFF WRITER represents the experienced team at HEREBoston.com, your go-to source for actionable local news and information in Boston, Suffolk County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Boston Marathon, Head of the Charles Regatta, and Boston Harborfest. Our coverage extends to key organizations like the Greater Boston Chamber of Commerce and Associated Industries of Massachusetts, plus leading businesses in finance, biotech, and insurance that power the local economy such as Fidelity Investments, Biogen, and Liberty Mutual Insurance. As part of the broader HERE network, we provide comprehensive, credible insights into Massachusetts's dynamic landscape.
