Massachusetts · Compliance · Updated April 2026

AGO Fair Labor Division: primary state wage enforcement.

The Massachusetts Attorney General's Fair Labor Division is the primary state wage enforcement agency. It investigates and prosecutes violations of: the Wage Act (MGL c. 149 § 148), overtime (§ 1A), Earned Sick Time (§ 148C), prevailing wage on public construction, and independent contractor misclassification under the ABC test (§ 148B) — one of the strictest IC tests in the country. Workers must file a complaint with the AGO before bringing a private suit, with a 90-day waiting period (or sooner with AGO consent). The 3-year statute of limitations runs from the violation date. Civil penalties, restitution, and § 150 mandatory treble damages stack across enforcement routes.

Authority
MGL c. 149 § 148 et seq.
Pre-suit
90-day AGO notice
SOL
3 years
Active

AGO Compliance Workflow

Tracks AGO complaint exposure across all wage compliance categories. Documents ABC test compliance for independent contractors. Routes 90-day pre-suit notices and complaint communications.

Document ABC test compliance per IC engagement
Track AGO complaint and pre-suit notice timelines
Always running

What those rules do across MA wage compliance.

The hero card configuration: Flag on ABC test documentation, Critical on complaint timelines.

Flag · ABC test documentation per IC engagement

When an independent contractor is engaged, Teambridge surfaces a Flag requiring documentation of the three-prong ABC test: (A) free from control, (B) outside usual course of business, (C) independent trade. All three must be satisfied; failing any prong = employee status.

Critical · AGO complaint and pre-suit notice timelines

When the AGO issues a complaint or a worker files a pre-suit notice, Teambridge tracks the 90-day waiting period and surfaces a Critical with response deadlines, settlement-window analysis, and exposure aggregation.

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The rule, plainly stated

AGO-first complaint, ABC test for IC, 3-year SOL.

MA's AGO Fair Labor Division enforcement plus the ABC test plus § 150 treble damages plus the strictest IC-misclassification rules in the country combine to create one of the most aggressive enforcement environments.

MGL c. 149 § 148B; § 150: An individual performing any service shall be considered to be an employee under sections 148, 148A, 148B, 150, 150A and 152 unless: (1) the individual is free from control and direction in connection with the performance of the service; and (2) the service is performed outside the usual course of the business of the employer; and (3) the individual is customarily engaged in an independently established trade, occupation, profession or business of the same nature as that involved in the service performed.

AGO Fair Labor Division as primary enforcement

The AGO Fair Labor Division receives, investigates, and prosecutes wage law violations across all MA categories: regular wages, OT, ESL, PFML, prevailing wage on public construction, IC misclassification, retaliation. The Division has subpoena power, can issue civil citations, and can refer to the AGO for criminal prosecution in willful cases. Roughly 5,000-7,000 wage complaints reach the Division annually.

ABC test for IC misclassification

Massachusetts MGL c. 149 § 148B applies the three-prong ABC test — one of the strictest in the country: (A) the individual is free from control and direction; (B) the service is performed outside the usual course of business; (C) the individual is customarily engaged in independently established trade, occupation, profession, or business of the same nature. ALL three prongs must be satisfied; failing any prong = employee status. The 'B' prong is particularly stringent — many states allow IC arrangements for work core to the business, but MA does not.

On autopilot

Teambridge documents compliance and tracks complaint exposure.

AGO enforcement plus the ABC test plus mandatory treble damages combine to make documentation discipline essential. Records that demonstrate good-faith compliance reduce penalty exposure even though they don't escape § 150 multiplier.

01 · IC engagement validation

ABC test documented at start.

When an independent contractor is engaged, Teambridge requires three-prong ABC test documentation: control, course-of-business analysis, independent trade evidence. Without complete documentation, engagement defaults to employee classification.

02 · Complaint exposure dashboard

All wage categories tracked.

The dashboard aggregates exposure across AGO-investigable categories: regular wages, OT, ESL, vacation pay-outs, tipped reconciliation, pay frequency, wage statements, IC classifications. Per-category and per-worker views drill into underlying records.

03 · 90-day pre-suit notice routing

Workflow on receipt.

When a worker files an AGO complaint, the case routes to compliance with the 90-day clock. Investigation, settlement analysis, and exposure aggregation surface in a unified workflow.

04 · Audit-defensible records

3-year SOL window exportable.

All wage records retain for 7 years (above the 3-year SOL). Records export to AGO on subpoena with complete metadata. Documented compliance reduces civil penalty multipliers and supports good-faith arguments — even though it doesn't escape § 150 trebling.

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FAQ

People also ask.

What does the AGO Fair Labor Division enforce?
All MA wage laws: Wage Act (§ 148), overtime (§ 1A), Earned Sick Time (§ 148C), prevailing wage on public construction, IC misclassification under ABC test (§ 148B), retaliation (§ 148A). The Division has subpoena power, can issue civil citations, and refers willful cases for criminal prosecution.
What's the ABC test for independent contractors?
Three-prong test under MGL c. 149 § 148B. To classify a worker as IC, ALL three must be satisfied: (A) the individual is free from control and direction; (B) the service is performed outside the usual course of business; (C) the individual is customarily engaged in independent trade, occupation, profession, or business of the same nature. Failing any prong = employee.
Is the ABC test really stricter than other states?
Yes — particularly the 'B' prong. Many states allow IC arrangements for work core to the business if other factors point to independence. MA does not — if the work is in your usual course of business, it's employee work, regardless of other arrangements. This effectively prohibits IC arrangements for most rideshare, delivery, gig platform, and similar service models.
Do I have to file with the AGO before suing?
Yes for workers bringing private wage claims under §§ 148, 148A, 148B, 150C, 152, 152A, or 159C. Workers must file with the AGO and either receive AGO assent or wait 90 days before private suit. The AGO uses this window to investigate; many cases resolve at agency level.
What's the statute of limitations?
3 years from the violation date. For continuing violations (systematic underpayment), each pay period is a separate violation triggering its own SOL. AGO complaint filing tolls SOL. Class action filings extend exposure across certification period.
What penalties can the AGO impose?
Civil citations with penalties: $500 first offense, up to $25,000 for repeat or willful. Restitution to affected workers is standard. Workers retain right to subsequent private suit with § 150 mandatory treble damages plus attorney fees. Multiple tracks stack: AGO penalties + worker restitution + trebled damages + fees.
How does Teambridge handle this?
ABC test documentation required at IC engagement. Wage compliance dashboard aggregates exposure across all AGO-investigable categories. AGO complaint workflow tracks the 90-day pre-suit clock. Records retain 7 years and export to AGO subpoena with complete metadata.