Massachusetts Pay Transparency Law 2025: What Employers Need to Know
Effective date: October 29, 2025
Applies to: Employers with 25 or more employees in Massachusetts
Source: Massachusetts Attorney General’s Office: Pay Transparency Guidance (2025)
Overview
Massachusetts has joined a growing list of U.S. states requiring pay transparency in the workplace.
Beginning October 29, 2025, An Act Relative to Salary Range Transparency mandates that employers share pay information to ensure greater equity and accountability across job postings and internal roles.
This guide summarizes the key requirements, penalties, and preparation steps to help employers and HR teams comply.
Key Requirements
1. Wage Range Disclosure in Job Postings
Employers with 25 or more Massachusetts employees must include a pay range for all job postings, both internal and external.
The range must reflect the employer’s good-faith estimate of what they are willing to pay for the role.
2. Employee and Applicant Access to Pay Ranges
Employers must provide the wage range for:
- A current employee’s position (upon request)
- Any position an applicant is applying for
This ensures consistent access to pay information across recruitment and internal mobility processes.
3. Additional Reporting for Larger Employers
Companies with 100 or more employees must submit EEO-type pay data to the state.
This includes gender, race, and ethnicity data aggregated by job category and pay band.
See Aon’s employer guidance on Massachusetts Pay Transparency Reporting
4. Penalties for Non-Compliance
Violations escalate based on frequency and severity:
| Offense | Penalty |
|---|---|
| First | Written warning |
| Second | Up to $500 |
| Third | Up to $1,000 |
| Subsequent | Up to $25,000 per violation |
The state may impose higher fines for willful or repeated violations.
5. Anti-Retaliation Protections
Employers cannot retaliate against an employee or applicant who:
- Requests wage range information
- Discusses pay with others
- Files a complaint related to transparency rights
What Employers Should Do Now
Here’s how to get ready:
- Audit all job postings for pay range visibility and consistency
- Update internal policies to define how wage ranges are determined and shared
- Review HR systems (ATS, job boards, payroll tools) to ensure pay range fields can be captured and published
- Train managers and recruiters on how to handle wage range requests
- Plan reporting readiness if you employ 100+ people in Massachusetts
Why This Matters
The Massachusetts Pay Transparency Law signals a shift toward data-driven equity.
It goes beyond salary posting—it standardizes transparency across hiring, promotions, and performance management.
For HR teams, this means:
- More informed candidates
- Stronger trust in compensation decisions
- Lower risk of pay discrimination claims
Automating pay-range management and compliance tracking can reduce manual effort by up to 80%. Learn how AI-native tools like Sophare streamline transparency reporting.
References
- Massachusetts Attorney General’s Office: Pay Transparency in Massachusetts
- Official Wage Transparency Act Guidance PDF (April 2025)
FAQ: Massachusetts Pay Transparency Law
When does the law take effect?
October 29, 2025.
Which employers must comply?
Employers with 25 or more employees in Massachusetts must include wage ranges in job postings and provide ranges to applicants and employees on request. Employers with 100 or more employees must also submit pay data reports to the state.
What is a wage range under the law?
A good-faith minimum and maximum the employer is willing to pay for a role at the time of posting or at the time of a request. It should reflect the employer’s compensation practices for that role and location.
Do internal transfers and promotions require ranges?
Yes. Provide the wage range for the employee’s current position on request and for any position the employee is being considered for.
Do remote or multi-state postings need a Massachusetts range?
If the job can be performed in Massachusetts or the employer is hiring in Massachusetts, include a wage range that applies to Massachusetts candidates.
Are benefits and bonuses required in the posting?
The law requires a wage range. Listing benefits and variable pay is recommended for clarity and candidate experience but is not a substitute for the range.
What are the penalties for non-compliance?
First offense: written warning. Second: up to 1,000. Subsequent: up to $25,000 per violation. Willful or repeated violations may draw higher penalties.
What reporting is required for 100+ employers?
Submission of EEO-type aggregated pay data by job category and pay band, broken out by gender, race, and ethnicity, on a schedule set by the state.
How should employers determine a defensible wage range?
Use structured job architecture, market benchmarks, internal pay equity analysis, and documented pay policies. Keep rationale for ranges and update as markets move.
Do third-party recruiters need to include the range?
Yes. Postings made on an employer’s behalf should include the employer’s wage range.
What anti-retaliation protections apply?
Employers may not retaliate against applicants or employees who request or discuss pay information or who file complaints about transparency rights.
How long should records be retained?
Keep documentation of ranges, postings, and related communications for a reasonable period consistent with your general HR recordkeeping policy and any state guidance.
How does this relate to equal pay laws?
Transparency reduces the risk of inequities and supports compliance with equal pay statutes by making pay decisions more auditable and consistent.
How can Sophare help?
Sophare centralizes wage ranges, monitors exceptions, auto-checks pay equity compliance, and prepares analytics and reports so HR teams spend less time on manual work.