Home Posts tagged Gov. Maura Healey

Massachusetts Pay Transparency Act Poses New Requirements

By Contributor
Law

Good Advice for Employers

By Trevor Brice, Esq.

 

On July 31, 2024, Massachusetts Gov. Maura Healey signed into law “An Act Relative to Salary Range Transparency” in an effort to increase equity and transparency in pay in the Commonwealth. The act puts different requirements on Massachusetts employers depending on the size of their organization.

By signing the act into law, Massachusetts joins 19 other state efforts to bring transparency to job applicants and current employees when it comes to pay in their applied-for and current roles. The states that already have such laws in place include Alaska, California, Colorado, Connecticut, Hawaii, Illinois, Kentucky, Maine, Maryland, Missouri, Montana, Nevada, New Jersey, New York, Oregon, Rhode Island, Vermont, Washington, and the District of Columbia.

While other states have different requirements regarding pay transparency, Massachusetts has its own set of requirements that must be followed, and employers must be aware of these requirements when posting positions during their hiring seasons.

 

Who Must File EEO-1 Reports

As of Feb. 1, 2025, Massachusetts employers with 100 or more employees who are subject to federal filing requirements must submit their most recent EEO-1 reports that were filed with the Equal Employment Opportunity Commission (EEOC) through the Office of the Secretary of the Commonwealth of Massachusetts. Employers having this requirement must submit the EEO-1 reports through an online portal, which started to accept these reports on Feb. 3 in PDF, JPEG, or PNG format.

Trevor Brice

Trevor Brice

“By signing the act into law, Massachusetts joins 19 other state efforts to bring transparency to job applicants and current employees when it comes to pay in their applied-for and current roles.”

The Commonwealth has provided clarification that information on ‘Component 2’ of the EEO-1 form that has not been collected by the federal government since 2018 is not required to be provided. This information would include W-2 income earnings data by race/ethnicity, sex, and job category. By this clarification, the state is mirroring current EEOC requirements as to the EEO-1. However, this information could be required in the future if the EEOC again requires it to be submitted.

 

Who Must Disclose Wage Ranges for Positions

Starting Oct. 29, 2025, the act requires employers with 25 or more employees to disclose wage ranges in job posts to applicants and to current employees upon request. If a current employee requests a wage range for a position, they are protected under the act from being retaliated against due to this request, and employees have an individual right to sue for retaliation.

The penalties for employers that do not disclose pay ranges (or do not submit EEO-1 reports as required above), are a warning for the first offense, a fine of not more than $500 for the second offense, and a fine of not more than $1,000 for the third offense; a fourth and any subsequent offense can be subject to civil citations. Within the first two years (until Oct. 29, 2027), employers are granted a two-business-day grace period to cure a violation before a fine is imposed.

The wage range that must be disclosed for employers meeting the above requirements is the annual salary range or hourly wage range that the employer reasonably and in good faith expects to pay for the position at the time of the job posting. This wage range does not include an obligation to provide a range as to other forms of compensation than base salary or hourly wages, such as bonuses, commissions, deferred compensation, stock options, or other forms of equity or benefits.

A ‘posting’ is any advertisement or job posting intended to recruit job applicants for a particular or specific employment position, whether directly or indirectly through a third party, such as a recruiter. Employers must provide the same information to an internal employee who is offered a promotion or transferred to a new position with different job responsibilities.

 

Takeaways

The act, while applying only to larger employers, does impose strict penalties for non-compliance and an individual right to sue for employees who feel they have been retaliated against for inquiring into a wage range. To get ahead of the disclosure requirement of the act, employers should be pulling together ranges for salary and hourly pay of all positions.

The act does provide a safe harbor for employers that have undertaken a reasonable analysis of the wages connected with a position in the last three years and either remedied the issues or didn’t identify any issues. As with any analysis, however, an employer’s analysis of pay can become public record, so employers should undertake this effort under the direction of counsel to help maintain privilege and prevent the analysis from being discoverable by the state, federal government, or private litigants.

Employers should also make active efforts to educate their management as to the retaliation provision of the act in order to avoid potential litigation.

 

Trevor Brice is an attorney who specializes in labor and employment-law matters at the Royal Law Firm LLP, a woman-owned, women-managed corporate law firm that is certified as a women’s business enterprise with the Massachusetts Supplier Diversity Office, the National Assoc. of Minority and Women Owned Law Firms, and the Women’s Business Enterprise National Council.

Governor’s Executive Order Targets Public Construction Projects

By Contributor
Construction

The Case for Project Labor Agreements

 

Gov. Maura Healey recently signed an executive order requiring that administrators of state-funded construction projects with budgets over $35 million take steps to ensure on-time, on-budget delivery of the jobs — including through the consideration of project labor agreements (PLAs), which have been demonstrated to reduce costs and ensure timely completion.

“There are so many critical construction projects underway all across the state — upgrading our roads and bridges, improving infrastructure for small businesses, and more,” Healey said. “We know that it’s really important that these projects are set up for success. This means ensuring that contractors have a trained and ready workforce to turn to and a plan for meeting deadlines, staying within budget and keeping everyone safe. In many cases, PLAs can help make that happen, while promoting good job opportunities for workers of all backgrounds, including veterans, women, and minorities.”

The order calls for the state to sign a PLA if it is in the best interest of the project, workers, and community. The state analysis will be based on the project’s scope, complexity, proposed schedule, site conditions, and the size and nature of the construction workforce required.

Healey signed the order at the Massachusetts Building Trades Unions’ (MBTU) 106th annual convention at MGM Springfield, surrounded by local construction workers and labor advocates, including workers who were employed as part of the construction of the new Massachusetts Veterans Home in Holyoke.

“This executive order will make a huge impact on the quality of life for current and future workers in the construction industry,” MBTU President Frank Callahan said. “It will contribute to ensuring fair competition for all contractors while creating opportunities for great careers and opportunities for workers. Every worker in the construction industry deserves the opportunity to earn good wages and benefits with safe working conditions that ensure they return to their loved ones each day after work. By signing this executive order, Governor Healey is helping to expand those opportunities for construction workers all across Massachusetts.”

A PLA is a collective bargaining agreement, executed between contractors and labor organizations, that establishes the terms and conditions of employment for all contractors, subcontractors, and craft labor employees performing work on a specific construction project.

Advocates say PLAs help deliver high-quality jobs for a diverse workforce and maintain competitive costs and project timelines. Studies have also found that PLAs do not add costs to construction projects, and in fact lower them. A recent analysis of a similar policy in Illinois found that PLAs increased competition and helped lower costs for taxpayers.

“Project labor agreements have been proven to result in successful construction projects in the public and private sectors, from the new Holyoke Veterans Home to Gillette Stadium and TD Garden,” Lt. Gov. Kim Driscoll said. “We’re proud to take this action today that will make sure our agencies are paying close attention to ways in which they can maximize the success of their projects while supporting our incredible, diverse workforce in Massachusetts.”

 

Matters of Compliance

The executive order lays out the process for implementing PLAs on public-works projects to comply with a measure in the state economic-development bill signed by Healey last year, which called for agencies to require a PLA when in the best interests of Massachusetts. The order does not require a PLA for any construction project and allows for union and non-union bids.

“Our administration looks forward to leveraging this as a tool, when applicable, complemented by efforts to build a more diverse pool of apprentices and reduce barriers to attract more women and people of color as we work collaboratively with the industry to grow the workforce,” said Secretary of Labor and Workforce Development Lauren Jones, who joined the governor at the order signing at MGM.

Andrew DeAngelo, Executive Director of the Greater Boston Plumbing Contractors Assoc., which represents more than 70 union plumbing businesses in Massachusetts, added that “the contractor community applauds Governor Healey for this executive order. Project labor agreements not only make sense for worker safety and job-site protections, they also make business sense for both the contractor and the end user. By leveling the playing field for those bidding and ensuring an efficient and on-time completion, more subcontractors bid on the work competitively — and the end user gets the best finished product achievable.”

Chrissy Lynch, president of the Massachusetts AFL-CIO, argued that “project labor agreements guarantee good wages and benefits, safe working conditions, and sustained investment in the local economy and workforce.

“These agreements ensure that projects create meaningful opportunities for workers across the board,” she added. “Currently, unions train 80% of all apprentices of color and 88% of all women apprentices in our state, and they have been critical to achieving the Commonwealth’s diversity goals for construction. PLAs also have a proven track record in Massachusetts, where they keep projects moving and costs low. The Massachusetts AFL-CIO applauds this executive order for doing better by workers, the community, and taxpayers across the Commonwealth.”

 

More Statements of Support

Karen Courtney, executive director of the Foundation for Fair Contracting of Massachusetts, called the executive order “a major step forward in ensuring that public projects not only deliver high-quality infrastructure but also uphold the principles of fairness, transparency, and opportunity for workers across Massachusetts. By strengthening oversight and accountability on projects exceeding $35 million, we are reinforcing the state’s commitment to equitable access, ensuring that skilled workers receive fair wages and providing a level playing field for all contractors.”

Ziquelle Smalls, senior organizer with Community Labor United, called the executive order “a monumental step toward an equitable and sustainable future for Massachusetts. Committing to strong project labor agreements across sectors will create family-sustaining careers, advance opportunities for women and communities of color, and build the infrastructure our state urgently needs.”

Cindy Luppi, national field director with Clean Water Action, characterized the executive order as “a pivotal moment for both climate justice and public health. By focusing on sustainable infrastructure, we have the chance to address urgent environmental needs — improving our water system, reducing pollution, and creating green careers that support our communities. It’s essential that, when Massachusetts invests in major projects, we not only tackle climate change, but also safeguard the well-being of those most impacted, ensuring clean, safe environments for future generations.”

Mimi Ramos, executive director of New England Community Project, called the announcement a game-changer for New England communities, especially for those seeking access to green careers and childcare opportunities. “At the New England Community Project, we know that a just transition means creating pathways to family-sustaining careers as well as building more green, affordable, equitable, and accessible housing.”

Finally, Dwaign Tyndal, executive director of Alternatives for Community & Environment, noted that, “for frontline communities across New England, and especially in Massachusetts, the executive order on PLAs for state-funded projects over $35 million presents a pivotal opportunity to create green transit infrastructure that addresses both the climate crisis and long-standing inequities. This investment provides a chance to build transit systems that not only reduce carbon emissions but also ensure that working-class communities have access to reliable, sustainable transportation.”

Consider Office-to-housing Conversions

By
Opinion

Editorial

 

Gov. Maura Healey’s administration recently announced it is providing $15 million to help extend a Boston program designed to bring more vibrancy downtown by converting underused office buildings to housing.

The money will help Mayor Michelle Wu continue a program that offers property tax breaks for such office-to-residential conversions. Since the program was launched last fall, developers have filed nine proposals to convert office space across 13 buildings that collectively could bring another 412 housing units to Boston’s central business district. With the conversion program, Wu is offering developers as much as 75% off property tax bills for up to 29 years.

With this state money coming, the Wu administration has decided to keep the program going until the end of 2025, instead of ending it on June 30 as initially planned, with the hopes of spurring another 300 to 500 units.

The program is intriguing, and it is our hope that the Healey administration — and the Legislature — will make similar incentives available to other communities, including Springfield and other cities in Western Mass. Indeed, the state aid to Boston comes as the Legislature considers a housing bond bill that could further boost office-residential conversions. A version that recently passed the House would provide $150 million in technical assistance funds for cities and towns while creating tax credits equal to as much as 10% of the project costs to incentivize conversions.

Communities in this region haven’t been hit as hard as Boston when it comes to soaring vacancy rates in office buildings due to the huge pendulum swing toward remote work — and few, if any, signs that the pendulum might actually swing back any time soon. But communities like Springfield, Northampton, and even Greenfield have certainly felt the pinch — and for longer.

In Springfield, there are buildings, such as the property generally known as Harrison Place, once home to Bank of Western Massachusetts, and others along Main Street, that have been vacant or largely vacant since long before COVID. And with the shift toward remote work, there is little hope they can return to that use.

Meanwhile, some properties that were dedicated to office or a mix of office and retail, such as the Clocktower Building and the Colonial Block, are being redeveloped for mostly residential use — and those doing the developing could certainly use some additional pots of money to make these efforts reality.

That’s because conversion from office to residential isn’t easy, and it’s quite expensive.

In Boston, the incentive program was created as a way to bring more vibrancy in the wake of a sharp decline in the number of workers coming to the city on a daily basis; there have been studies to suggest that downtown foot traffic is roughly half of what it was before the pandemic. The theory, and it has a great deal of validity, is that people living in those buildings can provide at least as much, if not more, support to businesses in that area than people working in them.

The same is true for Springfield and other cities in this region.

That’s why we hope the incentives being offered to developers in Boston are made available across the Commonwealth. As we noted, conversions from office to residential are not easy or cheap, but they provide solid hope for bringing more vibrancy to downtown areas, while also helping to alleviate a Commonwealth-wide shortage of housing.

Healey-Driscoll Administration Issues Joint Statement Following SCOTUS Decision

By
Daily News

BOSTON — The Healey-Driscoll administration, along with about 100 Massachusetts higher-education leaders, civil-rights advocates, elected officials, and organizations dedicated to equity, issued the following statement regarding the U.S. Supreme Court’s decision in two higher-education admissions cases, Students for Fair Admissions Inc. v. President & Fellows of Harvard College and Students for Fair Admissions Inc. v. University of North Carolina:

“Massachusetts will always be welcoming and inclusive of students of color and students historically underrepresented in higher education. Today’s Supreme Court decision overturns decades of settled law. In the Commonwealth, our values and our commitment to progress and continued representation in education remain unshakable.

“We will continue to break down barriers to higher education so that all students see themselves represented in both our public and private campus communities. Massachusetts, the home of the first public school and first university, will lead the way in championing access, equity, and inclusion in education.

“We want to make sure that students of color, LGBTQ+ students, first-generation students, and all students historically underrepresented in higher education feel welcomed and valued at our colleges and universities. Today’s decision, while disappointing, will not change our commitment to these students. We have an imperative to make sure our schools reflect our communities. Our academic competitiveness, the future of our workforce, and our commitment to equity demand we take action.”

Recognizing the Need to Compete

By
Opinion

Opinion

 

Amid some very concerning trends on outmigration — more than 110,000 people have left the Bay State for … well, somewhere else since early 2020 — Massachusetts House leaders have unveiled a tax-relief plan they believe will improve the state’s overall competitiveness.

The plan, which echoes much of what Gov. Maura Healey proposed in her own tax plan, would, among other things:

• Raise the estate-tax threshold from $1 million to $2 million and tax only the value of an estate that exceeds $2 million, and not the entire estate, as the law currently requires;

• Cut the rate on short-term capital gains from 12% to 5% in two years. During the first year, short-term capital gains would be taxed at 8%;

• Change how state corporate taxes are calculated to what is known as the ‘single sales factor,’ to line up with how most states tax companies now;

• Expand tax credits for seniors and renters; and

• Combine two existing tax credits — childcare and dependent care — to create one $600 credit per dependent, while eliminating the current cap.

The Senate has yet to release its tax plan, and there will be considerable debate before one plan — if there is one — eventually emerges.

But the House plan is cause for optimism in the Bay State. It shows that the chamber’s leaders get it when it comes to outmigration and the many ways in which this ongoing exodus is impacting the state and its business community.

This plan recognizes the need for Massachusetts to be able to compete for talent and then retain it, whether the employer is MassMutual, the University of Massachusetts, or even the New England Patriots.

The outmigration, as we’ve noted many times before, is a strong indicator that this state has become too expensive, both for individuals and the corporations that hire them.

There are many factors that go into this equation, including the skyrocketing cost of living, especiallly when it comes to housing. This is a problem that was many years in the making, and it will take many more years, and strong efforts to create more housing worthy of that adjective ‘affordable,’ before we can see any kind of relief.

But there are things this state can and should do now, such as raising the estate-tax threshold and cutting the rates on short-term capital gains, that can have more immediate results when it comes to making the state more competitive.

It is time to stem the tide, and this proposal is a step in that direction.

A Step in the Right Direction

By
Opinion

Editorial

 

Gov. Maura Healey presented her first budget a few weeks back, and it contains some proposals that could help the state navigate its way out of an ongoing workforce crisis.

Chief among them is something called MassReconnect, which would fund free community-college certificates and degrees to Commonwealth residents who are 25 years and older and have not yet earned a college degree.

Based on initiatives in Michigan and Tennessee, MassReconnect actually goes further than those programs by covering more than just tuition; it also covers mandatory fees, books, and various support services. It is designed to remove barriers to getting the college degree that is needed to succeed in most jobs today, and it holds significant promise to do just that.

So do some of Healey’s other proposed investments in higher education, including a 3% increase in public college and university base spending, as well as $59 million to stabilize tuition and fees at the University of Massachusetts and other public institutions.

But it is free community college that is getting the most attention, and rightfully so. In fact, Senate President Karen Spilka has been working on legislation to achieve just that, saying that reducing the cost of getting a degree will help close equity gaps and build a more educated workforce to meet the needs of important industries in Massachusetts..

Indeed, while the bottom-line cost of a community-college education is much lower than at four-year schools, it is still a burden to many and a roadblock when it comes to attaining not just a job, but a career. In that sense, this proposal could open doors to individuals who have seen them closed for one reason or another, while holding considerable potential to bolster the state’s 15 community colleges and the state’s economy as a whole.

Indeed, the Commonwealth’s community colleges, long considered a key component in any region’s economic-development strategy, and especially here in Western Mass., have been struggling of late, and for many reasons.

Smaller high-school graduating classes are just one of them. A strong job market has traditionally had the effect of impacting enrollment at community colleges — they thrived during the Great Recession, for example — and that pattern has held for roughly the past decade or so. Meanwhile, the pandemic certainly hasn’t helped.

This region needs its four community colleges — Berkshire Community College, Greenfield Community College, Holyoke Community College, and Springfield Technical Community College — and it needs them to be strong and vibrant if it is to create, and maintain, a strong pipeline of workers coming into fields ranging from healthcare to cannabis to hospitality.

Meanwhile, community college serves as a place to start one’s secondary education. Many graduates of these schools move on to four-year colleges and degrees that lead to a wider range of job, and career, possibilities. But first, students need to begin.

That’s why this proposal holds such potential. It is designed for non-traditional students, those who haven’t started in college, or who have started but haven’t completed, for one reason or another. These are the individuals who hold the most promise for bringing some real relief to the region’s ongoing workforce crisis, one that is impacting businesses in every sector of the economy.

The concept of free community college has its skeptics, and some will wonder where the money will come from and whether the state can afford to do this.

Looking at matters from an economic-development lens, however, one could argue that the state can’t afford not to do it.