Compliance Stuff

On January 22, 2026, in  Pres v. Sensys Gatso USA, Inc. , a Massachusetts trial court ruled that the Massachusetts Wage Act (the Wage Act) encompasses quarterly bonuses not conditioned on defined contingencies. This decision highlights the importance of Massachusetts employers identifying and addressing explicit conditions or contingencies in employee bonus agreements. The draconian ramifications of failing to abide by the Wage Act include unpaid wages, mandatory treble damages, and attorneys’ fees. The Wage Act The Wage Act does not explicitly define the term “wages.” It provides that wages  include  “any holiday or vacation payments due an employee under an oral or written agreement,” and “commissions when the amount of such commissions, less allowable or authorized deductions, has been definitely determined and has become due and payable.” Massachusetts appellate courts have uniformly concluded that conditional or contingent compensation falls outside the scope of the ...

Unlimited vacation” sounds like a dream—no accrual tracking, no caps, no payouts upon separation. What’s not to love? Plenty, if you’re in California. Although the concept of unlimited paid time off can offer flexibility and reduce administrative burden, poorly implemented policies can lead to liability, employee resentment, and confusion about time off entitlements. What Is “Unlimited Vacation,” Really? In theory, employees can take as much vacation time as they need, as long as they meet performance expectations. In practice, many “unlimited” policies operate more like “untracked accrual with no payout,” which is risky—especially in California. Under California law, earned vacation is considered wages, and must be paid out upon termination unless the time off truly us discretionary and unlimited in practice. Common Pitfalls We See Calling it “unlimited,” but restricting usage . If you require pre-approval, cap the number of days, or deny most requests, your policy isn’t really unlimi...