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Recent Developments Under The Massachusetts Wage Act August 2006

Labor & Employment Client Alert
August, 2006

Massachusetts Minimum Wage Increased

The Massachusetts Legislature overrode Governor Romney last week and enacted legislature which increases the minimum wage in Massachusetts. Effective January 1, 2007, the minimum wage in Massachusetts will be $7.50 per hour. Effective January 1, 2008, the minimum wage in Massachusetts will be $8.00 per hour.

The Massachusetts Division of Occupational Safety has indicated that, as a result of the increase in the minimum wage, it will issue new wage and hour regulations. The Massachusetts Division of Occupational Safety has indicated that it intends for the new regulations to address some long-standing questions regarding certain wage and hour issues, including the proper payment of employees paid on a commission basis.

Meanwhile, before its Summer Recess, the United States Senate debated a bill which would increase the federal minimum wage to $7.25 per hour over the next three years. The United States House of Representative has approved the bill.

We will keep you advised of any developments in this area.

Please feel free to contact us if you have any questions or would like advice regarding any labor or employment matter.