For the third consecutive legislative session, Massachusetts state representative Tram T. Nguyen (D-Essex) has proposed a bill (H.1916) to establish a private right of action by employees on behalf of themselves, their fellow employees, and the Commonwealth for employers’ alleged wage and hour violations.
For the first time, however, Rep. Nguyen has some support from the other chamber: several state senators have introduced a bill (S.1300) with goals similar to those of her bill.
Rep. Nguyen’s proposed law, which is modeled on but would be even more punitive than California’s infamous Private Attorneys General Act, would have significant consequences for Massachusetts employers and the economy of the Commonwealth.
California PAGA
To understand the potential impact of a Massachusetts PAGA, it is helpful to review the California version.
Enacted in 2004, California’s PAGA empowered the state’s Labor and Workforce Development Agency to assess and collect civil penalties for violations of the state’s Labor Code, which governs employee wages and hours of work. PAGA also empowered “aggrieved employees” to file civil actions acting as “private attorneys general,” ostensibly to allow individuals to vindicate their rights, given the state’s limited resources and capacity to address every alleged violation.
Employees pursue PAGA claims on behalf of themselves, other “aggrieved employees,” and the state, seeking to recover the civil penalties available under the Labor Code and PAGA....
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