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Massachusetts Pay Transparency Law: Key Provisions and Compliance Timeline

by | Feb 12, 2025 |

Katherine Brustowicz, Denise Chicoine, David Gabor, Johanna Matloff, and Virginia Peabody (Senior Consultant)

On February 1, 2025, a new law regarding salary posting requirements went into effect for all Massachusetts employers with 25 or more employees. “An Act Relative to Salary Range Transparency” amends the Massachusetts Equal Pay Act (“MEPA”) by adding data reporting obligations and new pay transparency rules. Gov. Healy signed the act on July 31, 2024, and stated that the law aims to address pay disparities. Some provisions took effect on February 1, 2025, and the remaining provisions will take effect on October 29, 2025.

Massachusetts employers with 25 or more employees must abide by the new salary posting requirements. Those requirements include: (i) disclosing pay ranges (annual salary or hourly wage) in all job postings – internal or external, and (ii) providing pay range information upon an employee’s request for their current position and/or when offering a promotion or transfer to a new role.

Massachusetts employers with 100 or more employees must submit additional reports to the Secretary of the Commonwealth. EEO-1 data reports are to be sent by February 1 of each year. EEO-3, EEO-4, and EEO-5 reporting requirements rotate biennially, depending on whether the year is odd or even:

  • In odd-numbered years (2025, 2027, etc.):
    • EEO-3 and EEO-5 reports are due on February 1.
  • In even-numbered years (2026, 2028, etc.):
    • EEO-4 reports are due on February 1.

Employers should note that the Executive Office of Labor and Workforce Development (“EOLWD”) will publish industry aggregate wage and workforce data. However, individual wage data reports are not public records.

Date Requirement
Feb. 1, 2025 Employers must begin submitting wage data reports.
Apr. 1, 2025 The Secretary of the Commonwealth will provide initial wage data reports.
June 1, 2025 First publication of aggregate wage data reports.
Oct. 29, 2025 Full implementation of the law.
Feb. 1, 2026 Additional employer reporting requirements take effect.

The Attorney General’s office has exclusive authority to enforce this law. Any covered employer that fails to submit the wage data reports and/or fails to include salary ranges in job postings, promotions, and upon request will face the following penalties:

  • 1st offense: Warning
  • 2nd offense: Fine up to $500
  • 3rd offense: Fine up to $1,000
  • 4th and subsequent offenses: Higher penalties under Section 27(c) of Chapter 149

Note that during the first two years after the law’s effective date, employers have two business days after notice of a violation to correct defects before fines are imposed. In other words, all violations will have a two-business-day grace period to fix issues before penalties are imposed.

If you would like to discuss how Massachusetts’ new Pay Transparency law may impact your organization – whether in ensuring compliance with salary disclosure requirements, preparing wage data reports, or mitigating potential penalties – please reach out to our Employment Law and Human Resources Team: Katherine Brustowicz, Denise Chicoine, David Gabor, Johanna Matloff, and Virginia Peabody of The Wagner Law Group.