outsolve insights

ATTENTION HR professionals in Massachusetts! A major shift in how employers must report, handle, and talk about pay is underway. The Frances Perkins Workplace Equity Act, also known as the Act Relative to Salary Range Transparency, was signed into Massachusetts law in July of 2024. This effort targeted closing the wage gap, increasing transparency, and cultivating equitable workplaces.  

If you’re in Human Resources (HR) and your company operates in multiple states, then chances are your plate is already full trying to keep up with the various federal employment and state specific laws. As if that wasn’t enough, there’s yet another emerging compliance initiative that you need to keep on your radar, which is state pay data reporting requirements. 

Starting in 2025, a significant aspect of the "Frances Perkins Workplace Equity Act" requires employers to submit annual compensation reports to the Commonwealth of Massachusetts. This process will occur via its online portal, which is now live. On July 31, 2024, Massachusetts Governor Maura Healey enacted this legislation, which introduces new requirements for pay transparency and workforce data reporting. These initiatives are designed to enhance workplace equity and offer deeper insights into workforce demographics. An updated FAQ has been published on the Mass.gov website, offering clearer guidance on the expectations for annual reporting for Massachusetts pay data.