Massachusetts Employment Law Update – July 2018

Massachusetts

Paid Family and Medical Leave, Minimum Wage Increases, and Elimination of Sunday and Holiday Premium Pay for Retail Employees

On June 28, 2018, Massachusetts Governor Charlie Baker signed legislation (H.B. 4640) enacting all of the following:

  • Paid family and medical leave for covered individuals beginning January 1, 2021. The required contributions to the Family and Employment Security Trust Fund must be collected by employers beginning July 1, 2019. The program will be funded through a payroll tax of 0.63 percent, annually adjusted, and split by employers and employees.
  • Minimum wage increases beginning January 1, 2019 through January 1, 2023. Over the course of five years, the state minimum wage will increase from $11 to $15 and the tipped employee hourly wage will increase from $3.75 to $6.75.
  • Elimination of premium pay for work performed on Sundays and holidays effective January 1, 2023.

Read MA H.B. 4640 and the governor’s press release