According to a recent ranking by a DC-based policy software tracking company, the Massachusetts Legislature was ranked the least effective in the nation in 2023. While more than 10,500 bills were filed, only 21 were enacted and, ironically, were mainly bills that addressed employment and labor policies.
Tax Reform
The biggest legislative news this session was the passage of the $1 billion tax relief bill. Two years in the making, Governor Baker’s tax bill stalled out in 2022, only to be reintroduced by Gover Healey in 2023. While the package included provisions to provide relief for renters, parents, and seniors, small businesses will benefit from the change to the state’s outlier estate tax. The bill eliminates the fiscal cliff while raising the estate tax exemption from $1 million to $2 million.
This may sound like good news, but it is important to remember Massachusetts is only one of twelve states with an estate tax and before the tax reform passed, ranked worst in the nation. This change will now move Massachusetts ahead of Rhode Island and Oregon, making us the third worst estate tax in the nation.
Salary Ranges and Pay Transparency
The legislature also advanced a bill that demands businesses with 25 or more workers change the way they list open positions. Employers must now post a salary range on all job listings based on good-faithed estimates. Additionally, businesses with more than 100 workers are required to submit aggregate wage data to the state to measure whether Massachusetts’ pay equity law is effectively working. While some business organizations representing larger employers supported this proposal, NFIB opposed the legislation as one more bureaucratic and compliance burden placed on smaller businesses who lack a human resource department or in-house legal team.
Paid Time to Vote
In a sneaky, last-minute move, the Massachusetts House passed a bill, in an informal session, requiring employers to give workers paid time to vote at the beginning or end of a shift. There was no debate, no deliberation, and no vote on this proposal that could impact every employer in the state. Making matters worse, an employer is required to provide a full day’s pay as a penalty for violations of this law. The bill has not yet advanced to the Senate and we ask that NFIB members contact their elected officials to tell them small businesses cannot afford ANOTHER paid time-off mandate.
