Massachusetts Mandates Salary Transparency in Job Postings

Though long awaited and expected, Massachusetts Governor Maura Healey has signed the Francis Perkins Workplace Equity Act .? Massachusetts joins several states and municipalities that are mandating salary transparency in job postings.? The MA law goes one step further, and also requires disclosing demographics and pay data to the state.

Organizations that employ 25+ employees will have until July 31, 2025, to prepare for this change. Employers will be required to include a good faith pay range for job postings. This includes both annual salaries as well as hourly ranges. Similarly to current range disclosure laws – companies and their third-party representatives (like staffing agencies) are required to disclose the range on any form of job advertisement or description. Likewise, employers must provide this info to internal employees who are extended offers for internal promotions or transfers.?

Ideally, these types of laws are meant to level the playing field for all workers. Plus, it gives job seekers the opportunity to determine whether or not they can afford to take the position.? Job seekers who are outside of these ranges can opt out of applying for jobs that don’t fit their needs, saving them – and the potential employer time during the interviewing process.

Prior to this law, employers with more than 100 employees have been required to make EEO disclosures.? This will now mandate the same information annually for employers with more than 25 employees.? An annual report of information will include demographic info including pay data, race, ethnicity, sex and job category. Penalties for non-compliance will be assessed by the Attorney General’s office.? These include fines and possible civil citations for repeated offenses.

Employees are also protected from employee retaliation if employees want to enforce salary disclosure for a job.

This law applies to companies who have a business presence in Massachusetts with at least 25 employees.? Likewise, there is not distinction between on-site, hybrid, or remote work.? This means that Massachusetts employers should be prepared to follow the job ad / posting requirements for any jobs that could be performed within Massachusetts.

If you are looking for guidance on how to attract and retain talent while including salary ranges on job descriptions or advertisements, please reach out to our team. Talener has prioritized these types of disclosures in our own postings for our clients (where available).? We can guide you through the process of building job descriptions that attract quality candidates who are interested in your job.

For a working list of states and municipalities with salary range disclosure laws, click here. ?