The Minimum Wage Undermined the Au Pair Program in Massachusetts

Abstract

The au pair visa program allows young foreign-born individuals to provide in-home childcare in the United States as part of a cultural exchange. Regulated by the U.S. Department of State, au pairs are paid a minimum of 195.75 for a 45-hour work week by sponsor host families in addition to room, board, educational expenses, and other forms of compensation. A ruling by the U.S. Court of Appeals for the First Circuit in December 2019 required sponsor host families in Massachusetts to pay au pairs the state’s considerably higher minimum wage. On January 1, 2020, wage compensation for au pairs rose to $528.63 for a 45-hour work in Massachusetts — a 170 percent increase in the minimum wage. Consequently, the number of new au pairs arriving in Massachusetts in 2022 was 68.1 percent below 2019. The number of new au pairs in all states unaffected by the court’s ruling rose 4.4 percent over the same time. The court-mandated wage increase reduced the number of au pairs and inflicted high costs on American families and au pairs who were not hired.