State Representative Lipper-Garabedian Joins the Massachusetts Legislature to Pass Wage Equity Legislation
Bill boosts salary transparency, tackles unfair compensation for women and people of color
(BOSTON—7/25/2024) Yesterday, State Representative Kate Lipper-Garabedian (D-Melrose) joined the Massachusetts Legislature in taking a strong step towards closing the gender and racial wage gap in the Commonwealth by passing An Act relative to salary range transparency. The legislation requires employers with 25 or more employees to disclose a salary range when posting a position and protects an employee’s right to ask their employer for the salary range for their position when applying for a job or seeking a promotion.
When signed into law H.4890 would make Massachusetts the eleventh state to mandate pay transparency by requiring employers to disclose salary ranges, according to the National Women’s Law Center. H.4890 builds on the Legislature’s 2016 passage of the Massachusetts Equal Pay Act, which prohibited wage discrimination based on gender and brought long-sought fairness and equality to workplaces in the state.
"With the passage of this legislation, Massachusetts is now one step closer to ensuring equal pay for equal work,” said House Speaker Ronald J. Mariano (D-Quincy). “Pay transparency will not only make our workplaces more equitable, it will also make Massachusetts more competitive with other states. I’d like to thank Leader Gregoire and the members of the conference committee, as well as all my colleagues in the House, Senate President Spilka and our partners in the Senate, for their important work on this legislation.”
"I was proud to join the full legislature in supporting the Francis Perkins Workplace Equity Act, not only to close gender and racial wage gaps, but to empower workers broadly across the Commonwealth,” said State Representative Lipper-Garabedian (D-Melrose). "Greater pay transparency is a tool for correcting gender and racial wage disparities. Salary information further empowers all workers with greater leverage as they navigate the job market and seek income aligned with the value of their work."
“This is simple: everyone deserves equal pay for equal work, regardless of your gender, race, ethnicity, or background,” said Senate President Karen E. Spilka (D-Ashland). “It is far too common for women and people of color to be paid less than their coworkers nationwide, and Massachusetts is not immune. By passing this bill, the Legislature stands united behind every worker—and with every business—in our steadfast commitment to the fundamental principle that every person has the right to be treated and compensated fairly in the workplace. I’m thankful to Senator Jehlen for her work on the conference committee, each of the conferees, Speaker Mariano, and our partners in the House for their work on this critical legislation.”
“The 2016 Equal Pay Act was a huge step forward in closing pay gaps and it worked. One study from 2020 showed salary history bans alone increased pay by as much as 5% increase for all job changers, an 8% increase for women and a 13% increase for Black workers,” said Senator Patricia D. Jehlen (D-Somerville), Senate Chair of the Conference Committee. “This bill takes the next steps in providing more information for job seekers and ensuring that women and people of color enter wage negotiations with more information at their fingertips to secure better offers. With the data collected we’ll learn about inequities that persist and be able to identify ways to solve them. I’m grateful this was a priority of both the House and the Senate and for the work of my colleagues and look forward to this bill being signed by Governor Healey.”
The bill requires employers with more than 100 employees to share their federal wage and workforce data reports with the Executive Office of Labor and Workforce Development (EOLWD), which would then be responsible for compiling and publishing aggregated wage and workforce date to help identify gender and racial wage gaps by industry. The bill makes a necessary update, following the Equal Pay Act of 2016, to prevent earned wage adjustments from triggering the anti-spiking provision.
In Greater Boston, the 2023 gender wage gap was 21 cents, according to the Boston Women’s Workforce Council. This gap becomes more pronounced when comparing white men and women of color, where Black/African American women face a 54-cent wage gap, Hispanic/Latina women face a 52-cent wage gap, and Asian women face a 19-cent wage gap.
Having passed both chambers, the bill now goes to the Governor’s desk for her signature.
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