On July 1, 2018, an updated equal pay law will go into effect in Massachusetts. In advance of that, Attorney General Maura Healy has released a 30-page guidance document to help employers prepare. There has also been a pay calculation tool designed for smaller businesses.
In the meantime, employers are advised to familiarize themselves with the law’s provisions. In general, the law states that employers cannot pay employees of different genders different wages for comparable work—that which requires a substantially similar skill, effort, responsibility, and working condition. Pay differentials are permitted when based on:
- A seniority system (as long as time spent on leave for pregnancy, parental, family, or medical leave doesn’t reduce seniority)
- A merit system
- A system that measurers earnings by quantity or quality of production, sales, or revenue
- The geographic location where a job is performed
- Education, training, or experience
- Travel, if it’s a regular and necessary condition of the job
Salary histories are not a defense for pay disparity, and employers may not inquire about this information before making an employment offer nor require that wage history meet certain criteria. Employers may also not ban employees from discussing or disclosing their wages with other employees.
If an employer violates this law, he or she will generally be liable for twice the amount of the unpaid wages owed to the employee in question, plus attorneys’ fees and costs. This liability amount is calculated by the differential between the employees’ wages plus the wages paid to the employee of a different gender who is performing the comparable work.
