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FY2022-24: Wage Act and Termination Procedures

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Recently, the Massachusetts Supreme Judicial Court issued an opinion stating that  a terminated employee of a public employer is entitled to all earned wages, including accrued vacation benefits, on the day of discharge. An employer who violates this section of the law is responsible for treble the amount of the late wages, plus attorneys’ fees and costs.

In light of this decision, the Office of the Comptroller offers the following guidance to departments when terminating employees: Timing of the date of discharge is an important factor in your ability to successfully calculate and enter this type of transaction into HR/CMS. You should not discharge on Payroll Tuesday, as the system is not available for necessary transactions. Instead, CTR recommends that you suspend the employee using the code “Suspended No Pay” (SNP) on the timesheet until you have taken the steps necessary to ensure proper payment.