Bill
S 1377
The bill strengthens wage-theft enforcement by defining wage theft, mandating employee notice, adding stop-work remedies, and capping penalties at $25,000.
Note on source materials
- The provided bill metadata (title: “Creates a legislative task force on outdoor environmental education and recreation”) conflicts with the bill text supplied. The bill text and most substantive content below concern amendments to Massachusetts wage-and-labor law titled “An Act relative to wage theft and due process.” This summary describes the wage-theft bill as reflected in the text.
Summary — purpose and intent
- The bill strengthens enforcement and procedural tools for addressing “wage theft” in Massachusetts. It (1) defines wage theft broadly, (2) imposes employer notice requirements, (3) creates new enforcement remedies (including stop-work orders), (4) establishes certain affirmative defenses and bonding options for employers, and (5) caps a specified penalty for wage-theft violations at $25,000. It also provides procedural protections for appeals and directs administrative agencies and the Attorney General to adopt implementing regulations.
Key provisions and changes
- Definitions (new Section 148E): Establishes a statutory definition of “wage theft” to include violations of multiple existing wage-, hour- and labor-related provisions (e.g., certain sections of chapter 149 and chapter 151).
- Employer notice requirement (148E(b)): Employers (except staffing agencies) licensed/registered under chapter 140 §§46A–46R must give each employee, within 10 days of hire, written or electronic notice in the language the employer normally uses containing: pay rate(s); regular payday; employer legal and DBA name(s); physical and mailing addresses; and telephone number.
- Affirmative defenses (148E(c)): Employers can avoid certain penalties by showing specified actions, including (i) demanding/reviewing sign-in sheets and proof of payments, (ii) operating five years without violations, (iii) proving impossibility of performance not caused by law violation, or (iv) purchasing a surety bond sufficient to cover claimed wages.
- Non-waiver clause (148E(e)): Parties cannot contractually waive the listed rights and remedies; other legal remedies remain available.
- Penalty cap (amend. to §27C): Establishes that the maximum penalty for an employer who commits wage theft as defined in §148E shall not exceed $25,000.
- Stop-work authority (148F; 148G — partially shown): Authorizes the Director of the Department of Unemployment Assistance (DUA) to issue stop-work orders against an employing unit that fails to make required unemployment-related contributions; establishes notice, service, effective-date rules (order effective 7 business days after service), successor-liability rules (applies to successor entities with shared principals and same trade), and appeal procedures (10 days to request hearing; hearing within 15 days; stop-work not in effect during timely appeal). Section 148G (text truncated) appears to give the Attorney General similar stop-work authority after a wage-theft determination.
- Unemployment benefits adjustment (148E(d)): If the Attorney General notifies DUA that an employer committed wage theft or failed to timely pay wages, the employee’s unemployment benefit calculation will treat those wages as if they had been timely paid.
- Rulemaking: Both the Attorney General and DUA authorized to promulgate implementing regulations.
Who would be affected
- Employers operating in Massachusetts (especially those licensed/registered under chapter 140 §§46A–46R), excluding certain staffing agencies.
- Employees — increased protections, notice and remedies; potential impact on unemployment benefit calculations.
- Attorney General and Department of Unemployment Assistance — added enforcement responsibilities and rulemaking duties.
- Surety companies providing bonds and successor entities with related liability exposure.
Procedural status and timeline (as provided)
- Introduced / filed early 2025 (text shows filed 1/17/2025). Legislative entries show various actions: passed the Senate (3/11/2025), delivered to the Assembly, referred to Governmental Operations, with hearings scheduled 10/28/2025. There are multiple duplicate/overlapping committee referrals and dates in the source material; consult official legislative tracking (Massachusetts General Court website) for the authoritative current status.
Potential impacts and considerations
- Strengthens enforcement tools to halt operations of employers who fail to pay wages or make unemployment contributions, which could accelerate recovery of back wages but may also raise short-term business interruptions.
- Bonds and affirmative defenses offer compliance pathways for employers but may shift financial burdens (e.g., bond premiums).
- The $25,000 maximum penalty sets a statutory ceiling; actual fines, restitution, or civil liability under other statutes may still apply.
- Implementation will depend on regulatory details established by the Attorney General and DUA and on how stop-work authority is applied in practice.
If you want, I can:
- Produce a redline of affected statutory sections;
- Draft a one-page fact sheet for employers or employees summarizing immediate compliance steps (e.g., required notice content);
- Check and report the bill’s current official status on the Massachusetts legislative website.
Compiled from official sources — confirm details with the bill’s official record.
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