Sen. Chandler On Raising Minimum Wage, Tax Holiday

WORCESTER, MA—The Massachusetts House of Representatives and the Massachusetts State Senate on Tuesday made a legislative proposal to raise the minimum wage; create a framework for paid family and medical leave for most workers; phase out time-and-a-half pay on Sundays; and establish a permanent sales tax holiday.

The legislation, based on months of negotiations with stakeholders sponsoring proposed ballot questions for the November 2018 election, is scheduled to come to the House and Senate floors on Wednesday.

“This compromise is designed to benefit working families, support businesses across the Commonwealth, and grow our economy,” said Senate President Harriette L. Chandler, D-Worcester, in a statement. “I commend the work done by the stakeholders and legislators throughout this process.”

Among other initiatives, this legislative proposal does the following:

• Creates a permanent sales tax holiday, beginning in 2019;
• Increases the minimum wage to $15 over the next five years;
• Increases the tip wage to $6.75 over the next five years;
• Phases out premium pay on Sundays and holidays over the next five years;
• Establishes a Department of Family and Medical Leave within the Executive Office of Labor and Workforce Development;
• Creates a framework for family leave of 12 weeks; family leave for the care of a service member of 26 weeks; and medical leave for up to 20 weeks; and
• Exempts small businesses from financial contribution to the paid family and medical leave fund.

The proposal leaves the sales tax unchanged, and does not impose a teen sub-minimum wage, said the announcement from the office of the Massachusetts Senate.

“After fighting for paid family and medical leave for over a decade, I am thrilled to see paid leave included in this proposal, because no one should ever have to choose between a paycheck and caring for themselves or their families members," stated Senator Karen E. Spilka, D-Ashland, chair of the Senate Ways & Means Committee, in a statement. "Today, the Senate is making an important statement that we support our workers and businesses, as paid family leave programs benefit both employees and employers in terms of improved productivity, job security and economic mobility, and health outcomes. I look forward to seeing this proposal signed into law."

“I am pleased to put forward this bill which empowers workers, recognizes the needs of business owners, and ensures that Massachusetts residents will no longer have to choose between caring for a sick relative or losing their job,” said Representative Paul Brodeur, D-Melrose, in a statement. “This bill is the result of months of negotiations and demonstrates that regardless of what happens in Washington, here in Massachusetts we focus on cooperation and compromise.”

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