Massachusetts labor rate bill sent to governor

Language taken from the Massachusetts Auto Body Labor Rate Bill, H-1085, was included in the final version of the Budget Conference Committee and sent to Gov. Deval Patrick for his signature, according to a news release from the Alliance of Automotiv
Jan. 1, 2020
2 min read
Untitled Document

 

Language taken from the Massachusetts Auto Body Labor Rate Bill, H-1085, was included in the final version of the Budget Conference Committee and sent to Gov. Deval Patrick for his signature, according to a news release from the Alliance of Automotive Service Providers (AASP).

The Labor Rate language was included as Outside Section 108 of the Budget
Conference Report, which represents the budget document sent from the
state legislature to the executive branch. At press time, Gov. Patrick had 10 days to sign it or reject it. Section 108 can be vetoed as a separate line item; however, leading legislators believe any veto could be overridden, the release adds.

The section calls for a special commission that will study the way labor rates are currently set, investigate the benefits and costs of developing a rate setting system, including a shop rating system, average national rates, and using a Bureau of Labor Statistics (BLR) multiplier based on Massachusetts labor wages.

This commission also will look into the number of existing shops and the number that have closed since 2000. Additionally, this document requires the commission to hold at least two public hearings and file a report to include legislative or regulatory recommendations with various committees and officers by Dec. 31.

The commission will consist of three representatives from the collision industry –- two will be appointed by the Massachusetts chapter of the Alliance of Automotive Service Providers (AASP MA/RI) and one from the Massachusetts State Auto Dealers Association (MSADA) –- three insurance industry representatives and five state legislators.

The chairperson is to be designated by the Secretary of Consumer Affairs and Business Regulation.

The bill was introduced into the state legislature in January of 2007 by the AASP MA/RI and the Central Mass. Auto Rebuilders Association (CMARA), and sponsored by State Rep. Robert Spellane (D) of Worcester, Mass.

Nearly half of all legislators had declared their support for the bill with more than two dozen allowing the use of their names on the website, www.passthelaborratebill.org.

For more information, call (978) 749-9695.

Sign up for our eNewsletters
Get the latest news and updates