1 of 12 HOUSE . . . . . . . No. 4109 The Commonwealth of Massachusetts ______________________________________ HOUSE OF REPRESENTATIVES, October 3, 2023. The committee on Ways and Means, to whom was referred the Bill relative to salary range transparency (House, No. 4100), reports recommending that the same ought to pass with an amendment substituting therefor the accompanying bill (House, No. 4109). For the committee, AARON MICHLEWITZ. 2 of 12 FILED ON: 10/3/2023 HOUSE . . . . . . . . . . . . . . . No. 4109 The Commonwealth of Massachusetts _______________ In the One Hundred and Ninety-Third General Court (2023-2024) _______________ An Act relative to salary range transparency. Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows: 1 SECTION 1. Chapter 9 of the General Laws is hereby amended by adding the following 2section:- 3 Section 32. (a) As used in this section, the words “annual report”, “covered employer”, 4“EEO-1 data report”, “EEO-3 data report”, “EEO-4 data report”, “EEO-5 data report” and “wage 5data report” shall, unless the context clearly requires otherwise, have the same meanings as 6defined in section 105E of chapter 149. 7 (b)(1) Annually, not later than April 1, the state secretary shall provide to the executive 8office of labor and workforce development the EEO-1 data reports of each covered employer for 9the prior calendar year. 10 (2) Not later than April 1 of each even-numbered year, the state secretary shall provide to 11the executive office of labor and workforce development the EEO-3 data reports and EEO-5 data 12reports of each covered employer, as applicable, covering the prior 2 calendar years. 3 of 12 13 (3) Not later than April 1 of each odd-numbered year, the state secretary shall provide to 14the executive office of labor and workforce development the EEO-4 data reports of each covered 15employer, as applicable, covering the prior 2 calendar years. 16 (c)(1) The state secretary shall accept wage data reports filed by covered employers 17subject to the filing requirements of an EEO-1 data report as a supplement to their annual report 18and shall be filed at the same time as the covered employer’s annual report. 19 (2) The state secretary shall accept wage data reports filed by covered employers subject 20to the filing requirements of an EEO-3 data report, EEO-4 data report or EEO-5 data report 21through the least restrictive means available and reports by covered employers may be submitted 22through a web portal, email submission or paper form. 23 (3) The state secretary may establish a web portal or online form to facilitate the 24submission of the wage data reports by covered employers. 25 (d) Wage data reports in the custody of the state secretary shall not be considered “public 26records” as defined by clause 26 of section 7 of chapter 4 and shall not be subject to chapter 66 27or chapter 66A. 28 SECTION 2. Chapter 23 of the General Laws is hereby amended by adding the following 29section:- 30 Section 27. (a) As used in this section, the following words shall, unless the context 31clearly requires otherwise, have the following meanings: 32 “Aggregate wage data report”, a report reflecting aggregate data from wage data reports, 33collected from covered employers pursuant to subsection (c) of section 32 of chapter 9 and 4 of 12 34provided to the executive office of labor and workforce development by the state secretary 35pursuant to subsection (b) of said section 32 of said chapter 9. An aggregate wage data report 36shall be separated by the following industries consistent with the North American Industry 37Classification System (NAICS): 38 (i) agriculture, forestry, fishing and hunting; 39 (ii) mining; 40 (iii) utilities; 41 (iv) construction; 42 (v) manufacturing; 43 (vi) wholesale trade; 44 (vii) retail trade; 45 (viii) transportation and warehousing; 46 (ix) information; 47 (x) finance and insurance; 48 (xi) real estate rental and leasing; 49 (xii) professional, scientific and technical services; 50 (xiii) management of companies and enterprises; 51 (xiv) administrative support and waste management and remediation services; 5 of 12 52 (xv) education services; 53 (xvi) health care and social assistance; 54 (xvii) arts, entertainment and recreation; 55 (xviii) accommodation and food services; 56 (xix) public administration; and 57 (xx) other services. 58 “EEO-1 data report”, as defined in section 105E of chapter 149. 59 “EEO-3 data report”, as defined in section 105E of chapter 149. 60 “EEO-4 data report”, as defined in section 105E of chapter 149. 61 “EEO-5 data report”, as defined in section 105E of chapter 149. 62 “Wage data report”, as defined in section 105E of chapter 149. 63 (b) The executive office of labor and workforce development shall publish on the office’s 64website aggregate wage data reports consisting of data received pursuant to subsection (c) of 65section 105E of chapter 149 as follows: 66 (i) annually not later than June 1, an aggregate wage data report consisting of data from 67all EEO-1 data reports; 68 (ii) every even-numbered calendar year, not later than June 1, an aggregate wage data 69report consisting of data from all EEO-3 data reports and EEO-5 data reports; and 6 of 12 70 (iii) every odd-numbered calendar year, not later than June 1, an aggregate wage data 71report consisting of data from all EEO-4 data reports. 72 SECTION 3. Section 1 of chapter 149 of the General Laws, as appearing in the 2022 73Official Edition, is hereby amended by striking out, in lines 31 and 32, the words “one hundred 74and five A to one hundred and five C, inclusive” and inserting in place thereof the following 75words:- 105A to 105C, inclusive, 105E and 105F. 76 SECTION 4. Said section 1 of said chapter 149, as so appearing, is hereby further 77amended by striking out, in lines 39 and 40, the words “one hundred and five A to one hundred 78and five C, inclusive” and inserting in place thereof the following words:- 105A to 105C, 79inclusive, 105E and 105F. 80 SECTION 5. Said chapter 149, as so appearing, is hereby further amended by inserting 81after section 105D the following 2 sections:- 82 Section 105E. (a) As used in this section, the following words shall, unless the context 83clearly requires otherwise, have the following meanings: 84 “Annual report”, an annual report required to be filed by a covered employer with the 85state secretary pursuant to section 45 of chapter 108A, section 63 of chapter 109, sections 12 and 8648 of chapter 156C, section 16.22 of chapter 156D or other applicable law or regulation. 87 “Covered employer”, an employer: (i) with not less than 100 full-time employees in the 88commonwealth at any time during the prior calendar year; and (ii) subject to the federal filing 89requirements of a wage data report. 7 of 12 90 “EEO-1 data report”, a completed copy of all required components of an employer’s 91Employer Information Report, as issued by the U.S. Equal Employment Opportunity 92Commission, including any successor report containing the same or substantially similar 93workforce demographic and pay data categorized by race, ethnicity, sex and job category. 94 “EEO-3 data report”, a completed copy of all required components of a local union’s 95Local Union Report, as issued by the U.S. Equal Employment Opportunity Commission, 96including any successor report containing the same or substantially similar workforce 97demographic and pay data categorized by race, ethnicity, sex and job category. 98 “EEO-4 data report”, a completed copy of a State and Local Governmental Information 99Report, as issued by the U.S. Equal Employment Opportunity Commission, including any 100successor report containing the same or substantially similar workforce demographic and pay 101data categorized by race, ethnicity, sex and job category. 102 “EEO-5 data report”, a completed copy of an Elementary-Secondary Staff Information 103Report, as issued by the U.S. Equal Employment Opportunity Commission, including any 104successor report containing the same or substantially similar workforce demographic and pay 105data categorized by race, ethnicity, sex and job category. 106 “State secretary”, the state secretary pursuant to chapter 9. 107 “Wage data report”, an EEO-1, EEO-3, EEO-4 or EEO-5 data report. 108 (b)(1) Annually, at the time of filing its annual report, a covered employer, subject to 109federal EEO-1 data report filing requirements, shall submit to the state secretary a copy of its 8 of 12 110EEO-1 data report covering the prior calendar year as a supplement to its annual report, pursuant 111to section 32 of chapter 9. 112 (2) Each even-numbered year, a covered employer, subject to federal EEO-3 data report 113or EEO-5 data report filing requirements, shall submit to the state secretary a copy of its EEO-3 114data report or EEO-5 data report, as applicable, covering the prior 2 calendar years, pursuant to 115section 32 of chapter 9. 116 (3) Each odd-numbered year, a covered employer, subject to federal EEO-4 data report 117filing requirements, shall submit to the state secretary a copy of its EEO-4 data report covering 118the prior 2 calendar years, pursuant to section 32 of chapter 9. 119 (c) Annually, not later than April 1, the executive office of labor and workforce 120development shall receive from the state secretary the wage data reports of each covered 121employer for the prior calendar year, pursuant to section 32 of chapter 9. 122 (d) Wage data reports in the custody of the secretary of labor and workforce development 123shall not be considered “public records” as defined by clause 26 of section 7 of chapter 4 and 124shall not be subject to chapter 66 or chapter 66A; provided, however, that the publishing of 125aggregate wage data reports, as defined by section 27 of chapter 23, by the executive office of 126labor and workforce development on the executive office’s website pursuant to section 27 of 127chapter 23 shall be considered public records. 128 (e)(1) The attorney general shall have the exclusive jurisdiction to enforce this section 129and may obtain injunctive or declaratory relief for this purpose. Any covered employer who 130violates this section shall be punished by a warning for the first offense, not more than $500 for 9 of 12 131the second offense and not more than $1,000 for a third offense. A fourth or subsequent offense 132shall be subject to paragraphs (1) and (2) of subsection (b) of section 27C. 133 (2) No violation of this section shall be construed to carry treble damages pursuant to 134section 150. 135 Section 105F. (a) As used in this section, the following words shall, unless the context 136clearly requires otherwise, have the following meanings: 137 “Covered employer”, any employer, public or private, that employs 25 or more 138employees in the commonwealth; provided, however, that a covered employer shall not include a 139state or local government employer that makes employee pay range or salary information 140publicly available. 141 “Pay range”, the annual salary range or hourly wage range that the covered employer 142reasonably and in good faith expects to pay for such position at that time. 143 “Posting”, any advertisement or job posting intended to recruit job applicants for a 144particular and specific employment position, including, but not limited to, recruitment done 145directly by a covered employer or indirectly through a third party. 146 (b) A covered employer, or agent of said covered employer, shall disclose the pay range 147for a particular and specific employment position within the posting of the position. 148 (c) A covered employer, or agent of said covered employer, shall provide the pay range 149for a particular and specific employment position to an employee offered a promotion, or 150transfer, to a new position with different job responsibilities. 10 of 12 151 (d) A covered employer, or agent of said covered employer, shall provide the pay range 152for a particular and specific employment position to an employee holding such position, or to an 153applicant for such position, upon request. 154 (e) It shall be unlawful for a covered employer to discharge or in any other manner 155retaliate or discriminate against any employee or applicant because such employee or applicant 156has taken action to enforce their rights pursuant to this section, or has made any complaint to 157their employer, an agent of the employer or the attorney general, or instituted, or caused to be 158instituted, any proceeding under this section, or has testified or is about to testify in any such 159proceeding. 160 (f)(1) The attorney general shall have the exclusive jurisdiction to enforce subsections (b) 161through (e) of this section and may obtain injunctive or declaratory relief for this purpose. Any 162covered employer who violates this section shall be punished by a warning for the first offense, 163not more than $500 for the second offense and not more than $1,000 for a third offense. A fourth 164or subsequent offense shall be subject to paragraphs (1) and (2) of subsection (b) of section 27C. 165 (2) For enforcement pursuant to paragraph (1), an offense shall include 1 or more job 166postings for positions made by the same employer during a 48-hour period. 167 (3) No violation of this section shall be construed to carry treble damages pursuant to 168section 150. 169 SECTION 6. The attorney general shall conduct a public awareness campaign to provide 170information to covered employers pursuant to sections 105E and 105F of chapter 149 of the 171General Laws, which shall include, but not be limited to, making information available on the 11 of 12 172attorney general’s website and otherwise informing covered employers of said sections 105E and 173105F of said chapter 149. 174 SECTION 7. (a)(1) The state secretary shall provide the executive office of labor and 175workforce development with initial EEO-1, EEO-3 and EEO-5 data reports pursuant to 176paragraphs (1) and (2) of subsection (b) of section 32 of chapter 9 of the General Laws, as 177inserted by section 1, not later than April 1, 2024. 178 (2) The state secretary shall provide the executive office of labor and workforce 179development with initial EEO-4 data reports pursuant to paragraph (3) of subsection (b) of 180section 32 of chapter 9 of the General Laws, as inserted by section 1, not later than April 1, 2025. 181 (b)(1) The executive office of labor and workforce development shall publish the first 182aggregate wage data reports pursuant to clauses (i) and (ii) of subsection (b) of section 27 of 183chapter 23 of the General Laws, as inserted by section 2, not later than June 1, 2024. 184 (2) The executive office of labor and workforce development shall publish the first 185aggregate wage data report pursuant to clause (iii) of subsection (b) of section 27 of chapter 23 186of the General Laws, as inserted by section 2, not later than June 1, 2025. 187 (c)(1) Covered employers subject to EEO-1, EEO-3 and EEO-5 data reports shall submit 188the first reports to the state secretary pursuant to paragraphs (1) and (2), inclusive, of subsection 189(b) of section 105E of chapter 149 of the General Laws, as inserted by section 5, beginning in 190calendar year 2024. 12 of 12 191 (2) Covered employers subject to EEO-4 data reports shall submit the first report to the 192state secretary pursuant to paragraph (3) of subsection (b) of section 105E of chapter 149 of the 193General Laws, as inserted by section 5, beginning in calendar year 2025. 194 SECTION 8. For the first 2 years after the effective date of sections 105E and 105F of 195chapter 149 of the Generals Laws, as inserted by section 5, a covered employer shall have 2 196business days after notice of a violation to cure any defect before a fine is imposed. 197 SECTION 9. Section 105F of chapter 149 of the General Laws, as inserted by section 5 198shall take effect 1 year after the effective date of this act. 199 SECTION 10. Section 6 shall take effect 1 year after the effective date of this act.