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Massachusetts Cracks Down on Employment Law Violations:
Mandatory Triple Damages for Pay Violations and
Increased Department of Unemployment Assistance Payroll Tax Audits
By Attorney Morris N. Robinson, LLM
Under a new law, even unintentional and good-faith violations of employment laws may result in mandatory treble damages plus attorneys' fees. The new law covers many violations of the wage and hour laws, including minimum wage, overtime, and wage payment laws. The new law was enacted on April 14, 2008 and becomes effective 90 days later on July 13, 2008. It is possible that aggrieved employees may attempt to apply the new law retroactively. For details, see our expanded article accessible via our home page authored by Attorneys Morris N. Robinson and Christopher G. Beck.
This new law, 2008 Mass. Acts c. 80, comes fast on the heels of Executive Order 499 which Governor Patrick signed into law on March 12, 2008. The Executive Order, among other things, may result in a significant increase in employee misclassification audits by the Massachusetts Department of Unemployment Assistance (DUA). The DUA communicates its audit results with the IRS. The possibility of a follow-up IRS payroll audit significantly magnifies the impact of an unfavorable DUA audit. For details, see our article on Executive Order 499 on our home page authored by Attorney Christopher G. Beck.
The new law and the new Executive Order, combined, represent a serious and perhaps heavy-handed crackdown on violations of employment laws and payroll tax laws in Massachusetts. This crackdown creates huge traps for the unwary Massachusetts employers. In some cases, managers may become personally liable for their employer's obligations.
M. Robinson & Company, P.C. and Danversbank will co-sponsor a seminar on this topic. We are joined by seasoned employment attorney, Daniel Field of Morgan, Brown & Joy. Our seminar will help employers comply with current Massachusetts employment laws and payroll tax laws.
The following are the details for this event:
Attorney Daniel Field
One Post Office Square, Suite 3710
Host: Paul Ricchi, Vice President of Commercial Lending, Danversbank
Monday, May 12, 2008 5:00PM-7:30PM
Admission: This is a Free Event.
Note: Pre-registration is required by Friday, May 9, 2008.
TO REGISTER:
Please email or call Lakia White, Director of Communications of M. Robinson & Company, P.C. to confirm your attendance.
Phone: (617) 428-4994
End of Article
Attorney Advertising. This Tax Alert is a periodical publication of M. Robinson & Company, P.C. and should not be construed as legal advice or a legal opinion on any specific facts or circumstances. The contents are intended for general information purposes only, and you are urged to consult an attorney concerning your own situation and any specific legal questions you may have. Any tax information contained in this communication is not intended or written to be used, and cannot be used by any taxpayer, for the purpose of avoiding any federal tax penalties. |
