Massachusetts S 2574: An Act to prevent wage theft and promote employer accountability

Bill Text

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SENATE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No. 2574 
Senate,  June  21,  2018  –  Text  of  the  Senate  Bill  to  prevent  wage  theft  and  promote  employer 
accountability (being the text of Senate document number 2546, printed as amended) 
 
The Commonwealth of Massachusetts 
 
_______________
 
In the One Hundred and Ninetieth General Court 
(2017-2018) 
_______________
 
 
An Act to prevent wage theft and promote employer accountability. 
 
 Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority 
of the same, as follows: 
 
1 SECTION 1. Section 27C of chapter 149 of the General Laws, as appearing in the 2016 
2Official Edition, is hereby amended by inserting after the words “subsection (a)”, in line 58, the 
3following words:- , or as an alternative to initiating proceedings related to a violation of sections 
4100, 148E and 150C. 
5 SECTION 2.  Said section 27C of said chapter 149, as so appearing, is hereby further 
6amended by striking out, in line 73, the words “, except that” and inserting in place thereof the 
7following words:- ; provided, however, that the maximum penalty for an employer, contractor or 
8subcontractor who commits wage theft as defined in section 148E shall be not more than 
9$25,000; and provided further. 
10 SECTION 3.  Said section 27C of said chapter 149, as so appearing, is hereby further 
11amended by striking out, in line 159, the words “Civil and criminal” and inserting in place 
12thereof the following word:- Criminal. 

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13 SECTION 4.  Said section 27C of said chapter 149, as so appearing, is hereby further 
14amended by adding the following subsection:-  
15 (d)  As a further alternative to initiating criminal proceedings pursuant to subsection (a), 
16or as an alternative to initiating proceedings related to a violation of section 148E, the attorney 
17general may file a civil action for injunctive relief, for any damages incurred, and for any lost 
18wages and other benefits on behalf of an employee or multiple, similarly situated employees. If 
19the attorney general prevails in such an action, the employee or employees on whose behalf the 
20attorney general brought the civil action shall be awarded treble damages, as liquidated damages, 
21for any lost wages and other benefits, and the attorney general shall also be awarded the costs of 
22the litigation and reasonable attorneys’ fees.  
23 SECTION 5.  Chapter 149 of the General Laws is hereby amended by inserting after 
24section 148D the following 4 sections:- 
25 Section 148E.  (a) As used in this section and sections 148F to 148H, inclusive, the 
26following words shall have the following meanings unless the context clearly indicates 
27otherwise:- 
28 “Labor contractor”, a person or entity who obtains, engages or provides 1 or more 
29individuals to perform labor, with or without a written contract, directly or indirectly, to a lead 
30contractor or from a labor subcontractor. 
31 “Labor subcontractor”, a person or entity who engages or provides 1 or more individuals 
32to perform labor, with or without a written contract, directly or indirectly, to a labor contractor. 

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33 “Lead contractor”, a business, regardless of form, that obtains, engages or is provided 
34with 1 or more individuals, directly from a labor contractor or indirectly from a labor 
35subcontractor, to perform labor that has a significant nexus with the lead contractor’s business 
36activities, operations or purposes. 
37 “Wage theft”, a violation of sections 27, 27F, 27G or 27H, the first and third sentences 
38and the fourth paragraph of section 148, sections 148B or 148C, the fourth sentence of section 
39150, section 152A, subsections (c) or (d) of section 159C, sections 1, 1A, 1B, 2A or 7 of chapter 
40151, clauses (4) or (5) of section 19 of chapter 151 or section 20 of chapter 151. 
41 (b)  An employer, except a staffing agency, as defined by section 159C, that is licensed or 
42registered pursuant to sections 46A to 46R, inclusive, of chapter 140, shall provide each 
43employee, not later than 10 days after the commencement of their employment, with written 
44notice in the language the employer normally uses to communicate employment-related 
45information to the employee, of the following information: (i) the rate or rates of pay and the 
46basis for those rates, whether paid by the hour, shift, day, week, salary, piece, commission or 
47otherwise, including methods of calculation for overtime, if applicable; (ii) allowances, if any, 
48claimed as part of the minimum wage, including meal, tip or lodging allowances; (iii) the regular 
49pay day designated by the employer; (iv) the name of the employer, including any “doing 
50business as” names used by the employer; (v) the physical address of the employer’s main office 
51or principal place of business and mailing address, if different; (vi) the telephone number of the 
52employer; and (vii) the