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H 2132

An Act relative to commission sales rates

194th Legislature (2025-2026) Introduced by Kim Ferguson and 4 co-sponsors

Creates a 9-member task force to study commission-based pay in Massachusetts, assessing fairness and reporting recommendations for regulating commission income within 12 months.

Accompanied a study order, see H5070
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Bill Summary · H 2132

Summary: House Bill 2132 — An Act relative to commission sales rates

Overview

  • Bill Number: H. 2132
  • Title: An Act relative to commission sales rates
  • Status: Senate concurred
  • Introduced: February 27, 2025
  • Primary sponsor: Rep. Bradley H. Jones, Jr. (House Docket No. 2132)
  • Topic: Establishment of a special task force to study commission-based sales pay structures and related regulation

Purpose and intent

The bill would create a special task force to study the economic impact of sales commission rate structures in Massachusetts. Its goal is to assess fairness, transparency, and equality in compensation for workers paid largely or wholly by sales commissions, and to develop recommendations for legislative procedures to regulate commission income.

Key provisions

  • Establishment of a 9-member task force to review commission sales rate structures and their effects on workers and the economy. Members come from:

    • The Senate and House chairs of the joint committees on Labor and Workforce Development and on Economic Development and Emerging Technologies (or their designees), who shall serve as co-chairs.
    • One member appointed by the Senate minority leader.
    • One member appointed by the House minority leader.
    • The Executive Director of the Massachusetts Workforce Development Board (or designee).
    • The Massachusetts Attorney General (or designee).
    • Three individuals appointed by the Secretary of Labor and Workforce Development, with specifics:
    • At least one appointee must be an employee of the Commonwealth in the office of the secretary.
    • Two appointees selected from a list of five individuals nominated by the Massachusetts Business Roundtable.

  • Duties of the task force:

    • Identify and review state laws, regulations, and administrative directives related to commission sales rates.
    • Identify key labor sectors that would benefit from reviewing and potentially improving commission rate structures.
    • Instruct the Department of Labor and Workforce Development to create a report based on a customized survey of Commonwealth employers that use commission-based pay.
    • Develop recommendations for legislative procedures to provide and regulate commission rate income in Massachusetts.

  • Deliverable and timeline:

    • The task force must submit a report (including any draft legislation and regulations) to the clerks of the House and Senate within 12 months of passage.

Affected parties

  • Workers paid on commission or with blended wage structures, across sectors where commissioned pay is common.
  • Employers and businesses employing commission-based workers, who may be subject to future regulatory or legislative changes.
  • State agencies: Department of Labor and Workforce Development, Massachusetts Workforce Development Board, and the Attorney General’s Office may interact with the task force’s work and resulting recommendations.

Procedural and timeline aspects

  • Legislative actions to date:
    • Referred to the Joint Committee on Labor and Workforce Development (February 27, 2025).
    • Senate concurred (February 27, 2025), indicating alignment between chambers on the measure as acted upon.
  • Related context: Similar matter previously filed as House 1906 (2023-2024); House Bill 2132 is noted as related to House Docket 1411 and HD 1411 (replaces).

Potential impact and considerations

  • The bill would not directly regulate current commission rates today but would establish a structured review process to inform future policy or legislation.
  • By requiring a comprehensive survey and sector-specific recommendations, it could shape potential reforms aimed at fairness and transparency in commission-based pay structures.
  • The focus on a broad set of stakeholders (legislators, executives, the attorney general, and business representatives) suggests an intent to balance worker protections with business considerations.

This bill therefore initiates a 12-month study to assess and guide potential regulatory approaches to commission sales rates in Massachusetts.

Compiled from official sources — confirm details with the bill’s official record.

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