In 2018, the Massachusetts legislature passed a law, known as the Grand Bargain, that phased out paid holidays and gradually increased the state’s minimum wage.

According to that law, as of January 1, 2021, the following changes will occur:

• Minimum wage for non-tipped employees increases to $13.50 per hour.

• Minimum wage for tipped employees increases to $5.55 per hour.

• Premium pay for hours worked on Sundays and qualifying holidays by retail employees reduced to 1.2 times the employee’s regular rate of pay.

Also, as of January 1, 2021, the premium pay requirement for hours worked on a holiday by retail employees will be extended to June 19th, a date known as Juneteenth Independence Day. Click here to read more about which employees may qualify for premium pay for hours worked on Sundays or holidays.