Governor Healey Signs Wage Equity Legislation

Governor Healey Signs Wage Equity Legislation:

 

Bill requires employers to post pay ranges, improves data collection on gender and racial wage gaps

 

Boston, MA -- Governor Maura T. Healey today signed into law An Act relative to salary range transparency (H.4890), which increases equity and transparency in pay by requiring employers to disclose salary ranges and protecting an employee’s right to ask for salary ranges. 

 

“I have long supported wage equity legislation and, as Attorney General, I was proud to work together with the business community to implement the 2016 Equal Pay Act,” said Governor Maura Healey. “This new law is an important next step toward closing wage gaps, especially for People of Color and women. It will also strengthen the ability of Massachusetts employers to build diverse, talented teams. I want to thank the Legislature, advocates, labor unions, and the business community for their hard work to see this through.” 

 

“Massachusetts has always taken seriously our responsibility to ensure pay equity, from the 2016 Equal Pay Act to today’s wage equity legislation,” said Lieutenant Governor Kim Driscoll. “Not only is this the right thing to do for our workers, but it’s also going to strengthen our economy and ability to compete for the best talent.” 

 

“Massachusetts is among early adopters to lead on this effort, demonstrating how working together with government, businesses, labor, and advocates will move us forward in tackling gender and racial wage disparities and inequities within the workplace,” said Labor and Workforce Development Secretary Lauren Jones. “As this policy is implemented, the Healey-Driscoll administration looks forward to working with employers to leverage this as a new tool to attract and retain skilled, diverse talent committed to growing their professions right here in Massachusetts.” 

 

The legislation requires public and private employers with 25 or more employees to disclose pay ranges in job postings, provide the pay range of a position to an employee who is offered a promotion or transfer and, on request, provide the pay range to employees who already hold that position or are applying for it. The Attorney General’s Office will conduct a public awareness campaign on these new rules.   

 

The Attorney General’s Office will also be given enforcement authority and the ability to impose fines or civil citations for violations of this law, and employees will receive protections against retaliation for asking for salary ranges when applying for a job or promotion.

 

The legislation also requires public and private employers with 100 or more employees to submit wage data reports to the state, which will then be published through aggregate wage reports by the Executive Office of Labor and Workforce Development. 

 

"With the signing of this legislation, Massachusetts is one step closer to ensuring equal pay for equal work,” said House Speaker Ronald J. Mariano (D-Quincy). “Pay transparency will not only make our workplaces more equitable, it will also make Massachusetts more competitive with other states. I’d like to thank Governor Healey, Senate President Spilka and Leader Gregoire, as well as all members of the House and the Senate, for their important work on this legislation.” 

 

“This is simple: everyone deserves equal pay for equal work, regardless of your gender, race, ethnicity, or background,” said Senate President Karen E. Spilka (D-Ashland). “It is far too common for women and people of color to be paid less than their coworkers nationwide, and Massachusetts is not immune. With the Governor’s signature, our state stands united behind every worker—and with every business—in our steadfast commitment to the fundamental principle that every person has the right to be treated and compensated fairly in the workplace. I’m thankful to Governor Healey for her signature, Senator Jehlen for her work on the conference committee, each of the conferees, Speaker Mariano, and our partners in the House for their work on this critical legislation.” 

 

“I’m grateful Governor Healey is signing this bill today. This was a priority for the legislature and the Governor. The 2016 Equal Pay Act was a huge step forward in closing pay gaps and it worked. Recent studies show significant increases in pay for women and people of color as a result of the act,” said Senator Patricia Jehlen (D-Middlesex). “This bill takes the next steps: job seekers, especially women and people of color, will enter wage negotiations with more information to secure better offers. With the data collected we’ll learn about inequities that persist and be able to identify ways to solve them.” 

 

“I am grateful that this crucial legislation, which provides critical updates to the Equal Pay Act of 2016, has been signed into law. Salary range transparency and improved wage and workforce data collection will help identify gender and racial wage gaps so that we may continue to do the work of leveling the playing field in the workplace,” said Floor Division Chair Danielle Gregoire (D-Marlborough). “I would like to thank my fellow conferees, especially my Senate counterpart, Senator Jehlen, and Representatives Brandy Fluker Oakley and Hannah Kane along with Speaker Mariano for their commitment to guiding this important legislation across the finish line.” 

 

"I am proud that we as a Commonwealth are taking concrete and nation-leading steps to close long-standing gender and racial wage gaps that persist across our economy," said Senator Paul R. Feeney (D-Foxborough), Senate Conferee and sponsor of wage transparency legislation that was folded into the underlying bill. "These gaps not only erode the integrity of work in the Commonwealth but also continue to exacerbate an uneven economy for working people, especially women and people of color who have historically faced persistent and glaring inequities in the workplace. By bringing partners in labor, business and community together to establish common sense wage and workplace transparency, we will ensure Massachusetts can continue attracting and retaining diverse and skilled workers that enable our Commonwealth to compete and thrive. With the signing of this bill, workers are empowered and businesses are supported." 

 

"Making real progress toward justice and equality means we must not only see the importance of wage equity, especially for women and people of color, but also take action to achieve it," said Representative Brandy Fluker Oakley (D-Mattapan). "Now that the bill is on Governor Healey's desk, ready to be signed into law, we have a key opportunity to empower individuals and strengthen our communities. Ensuring wage equity will help everyone thrive and contribute to a fairer future." 

 

“I am very optimistic that this legislation which promotes equity and fairness within our Commonwealth has made it to the Governor’s desk. This law will solidify what the Massachusetts workforce is entitled to in accessing imperative information regarding salary ranges, fostering a job market which will offer increased inclusivity and transparency,” said Senator Patrick M. O’Connor (R-Weymouth), a Senate Conferee. “Requiring employers to disclose pay ranges, alongside publicizing aggregate wage data information is an important step forward in closing the gendered and racial wage gap. I do look forward to the opportunity to continue working to advance important reforms in pay equity. Ensuring equal opportunity for all Massachusetts workers is beneficial not just to those employees of the state, but to our overall economy. I’d like to thank all members of the Conference Committee and Governor Healey for their combined efforts regarding this law.” 

 

“As the House Chair of the Massachusetts Caucus of Women Legislators (MCWL), I am thrilled to see one of the Caucus’ legislative priorities signed into law by Governor Healey,” said Representative Hannah Kane (R-Shrewsbury). “This bill is an essential step toward gender and racial equity in the workplace, and will help ensure that women, especially women of color, are paid fairly. On behalf of the MCWL, I thank House and Senate leadership, and the many advocates for this legislation, for all their work to make salary transparency the law in Massachusetts.”

 

"I am grateful to my colleagues and the governor for getting this bill done,” said Senator Joan B. Lovely (D- Salem) and Senate Chair of the Women's Caucus. “This bill marks a crucial step forward for transparent advertising in job postings that will help close the equity gap in fair and open hiring practices, to assure applicants and prospective hires are treated equally as they make future career choices.”

 

Statements of Support: 

 

Evelyn Murphy, Co-chair, Wage Equity Now Coalition:

“This law embodies Massachusetts’ commitment that women and people of color shape and share in the economic engine—economic development, IT, climate, housing—envisioned by the Healey administration and legislature. The Wage Equity Now Coalition worked with business led by the Associated Industries on MA, the MA Municipal Association and unions. Gender and racial wage gaps are real. They cause wealth gaps. With this legislation, Massachusetts claims lead position in building economic prosperity through equitable treatment of every worker.” 

 

Chrissy Lynch, President, Massachusetts AFL-CIO:

"The Massachusetts AFL-CIO applauds every effort to provide new tools for workers to obtain the wages and benefits they deserve. Labor unions have been at the forefront of the fight for wage equity and few people know better than rank and file trade unionists how powerful the full knowledge of pay, benefits, rights, and protections can be. This bill will provide that knowledge to employees across the state. Salary and wage transparency are necessary for a just economy, and we look forward to continuing our work with legislators to pursue economic justice in Massachusetts." 

 

Brooke Thomson, President & CEO, Associated Industries of Massachusetts:

"We applaud Governor Healey and the leaders of both the House and Senate for working with AIM and other stakeholders to enact meaningful reforms that help close the wage gap. AIM believes these important policy changes strike the right balance by promoting open and honest communication about wages while not overburdening our employers, all of which makes Massachusetts more competitive.” 

 

James E. Rooney, President & CEO, Greater Boston Chamber of Commerce:
"The Chamber is grateful for the meaningful collaboration of Governor Healey, Speaker Mariano, Senate President Spilka, Conference Committee members, and members of the House and Senate to help close wage gaps and champion equity and inclusivity in workplaces and industries throughout Massachusetts. This new law is the result of the important work of policymakers, the business community, and civic leaders to ensure that we build a 21st century economy that strengthens our workforce, businesses, and competitiveness." 

 

Megan Driscoll, Founder and former CEO, PharmaLogics Recruiting: 

“For women and people of color, achieving pay equity not only guarantees fair compensation for their talents and skills but also paves the way for expanded economic empowerment. By closing the pay gap, we are unlocking a future where everyone has the chance to thrive and contribute their full potential, fostering a more inclusive and dynamic workforce. I applaud the Healey-Driscoll Administration, and the House and Senate, for their commitment to addressing disparities and promoting fairness in Massachusetts.”