Massachusetts Pay Transparency Law Takes Effect in October

Beginning Oct. 29, 2025, the Massachusetts law on pay transparency and pay data reporting, "An Act Relative to Salary Range Transparency", will require covered employers to disclose wage ranges in job postings for a specific employment position and provide this information to applicants and current employees upon request.

The Massachusetts Office of the Attorney General released FAQ to help employers navigate their new wage transparency requirements. Below is an overview of the key provisions for employers.

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Who Is a Covered Employer?

The law applies to private and public employers with at least 25 employees whose primary place of work was in Massachusetts during the prior calendar year.

To determine coverage, employers must count all individuals who performed services for wages or other compensation, including full-time, part-time, and seasonal workers, whose primary place of work is in Massachusetts.

The Attorney General's Office adopted the definition of "primary place of work" from its Massachusetts Earned Sick Time Law guidance, which refers to the location where an employee performs the majority of their work.

Employers should also include in their count:

• Employees who telecommute to a Massachusetts worksite, even if located in another state.
• Employees who telecommute from Massachusetts to an out-of-state worksite.
• Employees who permanently relocate to Massachusetts, starting their first day of work in the state.

Employers should calculate their headcount once a year by averaging the number of employees on the payroll across all pay periods.

Which Job Postings Are Covered?

Employers must disclose the pay range in any advertisement or job posting intended to recruit applicants for a specific employment position where the primary place of work is in Massachusetts, including postings by a third party.

The disclosure requirement also applies to remote positions:

• Tied to a Massachusetts worksite.
• That can be performed by an employee located in Massachusetts.

How Is 'Pay Range' Defined?

The law defines pay range as the lowest to highest salary or hourly wage an employer reasonably and in good faith expects to offer at the time of posting for an advertised job, promotion, or transfer opportunity.

If compensation is based on commission or piece rate, the employer should include the expected range of those earnings in the posting.

Disclosure of Salary Range Information

In addition to job postings, covered employers must disclose pay range for salaried and hourly positions:

• To any applicant, upon request, regardless of qualifications.
• To current employees offered a promotion or transfer.
• To current employees who request the pay range for their own position.

What Are Employers' Pay Reporting Obligations?

Employers required by the Equal Employment Opportunity Commission (EEOC) to equal employment opportunity (EEO) reports must submit those reports to the secretary of the Commonwealth according to the following schedule:

Employers who are not required to file these EEO reports with the EEOC are not required to file reports with the secretary of the Commonwealth.

What Protections Do Employees Have?

The law prohibits employers from retaliating against any employee or applicant for:

• Requesting salary range information when applying for a job or promotion.
• Enforcing their rights under the law, including filing a complaint with their employer or the Attorney General's Office.
• Participating in a proceeding under the law, such as testifying in any proceeding brought under the law.

The law does not create a private right of action. The Attorney General's Office has exclusive authority to investigate complaints and issue penalties for noncompliance.

Until Oct. 29, 2027, covered employers will have two business days to correct any violation upon receiving a notice to cure from the Attorney General's Office. If the defect is cured within that timeframe, no penalty will result.

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Next Steps for Employers

Employers should begin preparing to ensure legal compliance by taking the following steps:

• Determining whether your organization is covered.
• Reviewing and updating job postings for Massachusetts-based roles to include accurate and good faith hourly and salary ranges.
• Establishing internal protocols for responding to salary range requests from applicants and employees.
• Educating human resources staff and managers about the law's requirements, including how to determine pay ranges and avoid actions that could give rise to potential retaliation claims.

Michael R. Bertoncini, Brian E. Lewis, and Ashley C. Krezmien are attorneys with Jackson Lewis in Boston. © 2025 Jackson Lewis. All rights reserved. Reposted with permission.