2 | Massachusetts Wage & Hour Peculiarities, 2025 ed. © 2025 Seyfarth Shaw LLP I. THE MASSACHUSETTS WAGE ACT The Massachusetts Wage Act (Massachusetts General Laws Chapter 149, Section 148) is the most common vehicle by which employees sue for unpaid wages and other wage and hour violations under state law. The statute governs the timing and frequency of wage payments in the Commonwealth and defines what constitutes wages.1 The language of the statute is complex and difficult to interpret, but it broadly addresses the following: What is included in wages (and what is not)? How frequently must wages be paid? When must wages be paid (i.e., how long after the end of the pay period)? How must wages be paid (i.e., in what form)? When are wages “earned”? What deductions can an employer make from an employee’s wages? These questions do not always have clear answers, and the law in Massachusetts is continually evolving. Plus, the statute may apply to individuals working outside of the Commonwealth, not just within, provided there are sufficient connections to Massachusetts.2 The statute is enforced through Section 150 of Chapter 149, which among other provisions, provides for automatic treble damages, regardless of the employer’s good faith, interest and attorneys’ fees for violations.3 This section summarizes the current law to help employers navigate these muddy waters. A. Wages Under Massachusetts Law 1. What Is Included in Wages (and What Is Not)? This question has been the subject of much debate in Massachusetts in recent years. The Wage Act specifically states that wages include commissions that are due and payable, as well as holiday and vacation pay due under an oral or written agreement. Otherwise, it does not explicitly define the term “wages.” Interpreting the statute, Massachusetts courts have held that 1 The Payment of Wages statute contains two narrow exemptions. See M.G.L. ch. 149, § 148. First, the statute does not apply to an employee of (1) a hospital “supported in part by contributions from the commonwealth or from any city or town,” (2) “an incorporated hospital which provides treatment to patients free of charge,” or (3) a hospital “conducted as a public charity,” unless the employee requests that the hospital pay him or her weekly. Id. Second, the statute does not apply to an employee of a cooperative association if the employee is a shareholder in the association, unless the employee requests that the association pay him or her weekly. Id. 2 See, e.g., Dow v. Casale, 83 Mass. App. Ct. 751 (2013) (affirming trial court’s determination that employee working from his home in Florida could sue under the Wage Act). A discussion regarding Dow and its progeny is contained in Section XIV. 3 M.G.L. ch. 149, § 150. A complete discussion regarding remedies for wage and hour violations can be found in Section XIV.
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