A law passed last year – An Act Relative to Salary Range and Transparency (the “Act”) – is scheduled to take effect October 29 and will require certain private employers to disclose wage ranges in job postings.
What Is Required?
Under the Act, employers with 25 or more employees in Massachusetts will be required to:
- Include pay ranges in job postings for all positions in the state. While the Temporary Workers’ Rights law already required pay rates to be included in jobs sent to candidates for temporary work in Massachusetts, this new law is not limited to temporary workers and will now require pay ranges to be included in all job ads posted by covered employers.
- Provide pay ranges to employees offered a promotion or transfer to a new position with different job responsibilities.
- Provide current employees the pay range for their current position if the employee requests it.
The Act further includes an anti-retaliation component protecting employees and applicants from being retaliated against for exercising their rights under the Act.
Potential Penalties
For the first two years the law is in effect (until October 29, 2027), employers will have a grace period of 2 business days upon receiving notice of a violation to correct the problem without facing a fine. Employers found to have violated the Act are subject to a warning for the first offense, up to a $500 fine for a second offense, up to a $1,000 fine for a third offense, and even higher penalties (up to $25,000)...
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