Bill > H1737

This bill establishes a "Commonwealth Living Wage Law" that mandates employers receiving state benefits to pay their employees a living wage, defined as an hourly rate that increases annually and is adjusted for inflation after 2020, starting at $13.89 in 2016 and reaching $15.00 by 2019. An "employer receiving state benefits" is defined as any business that has had a contract with the state worth $100,000 or more in the last three years, received $100,000 or more in tax benefits from the commonwealth, or is a subcontractor to such an employer, with an exception for non-profit human service providers unless their state contract adequately funds a living wage. The bill clarifies that this law does not override any existing provisions that mandate a higher wage, nor does it permit employers to reduce wages set by collective bargaining agreements or to cut non-wage benefits like health insurance or pensions to fund the required wage increases. The Division of Labor Standards will be responsible for enforcing this law, including requiring employers to post notices about the living wage and employee rights, imposing civil penalties of up to $500 per violation, and barring violators from receiving future state benefits after a fair hearing. Employees paid less than the required living wage can sue their employer to recover double the difference owed, plus attorney's fees and costs, and the Attorney General also has the authority to investigate violations and bring legal action.