The town was named for Joseph Hawley[3] of Northampton, a local leader in the American Revolution.

The town originally included the land of its neighbor, Plainfield, which split off in the early nineteenth century.

The town is bordered by Charlemont to the north, Buckland to the east, Ashfield to the southeast, Plainfield to the south, and Savoy to the west.

The hill lies within Kenneth Dubuque Memorial State Forest, which has several recreation sites for all seasons.

Between the two forests lies Stump Sprout Cross-Country Ski Area, which also provides other recreational activities off-season.

The town is roughly equidistant from the two nearest points for rail and air service, Greenfield and North Adams.

Hawley employs the open town meeting form of government, and is led by a board of selectmen and an administrative assistant.

The town only has two full-time employees with most being part-time or volunteer, as in the case with the fire department and emergency services.

In the Massachusetts Senate, the town is part of the Berkshire, Hampshire and Franklin district, represented by Ben Downing, which includes all of Berkshire County and the western portions of Hampshire and Franklin Counties.

[17] The town is patrolled by the Second (Shelburne Falls) Station of Troop "B" of the Massachusetts State Police.

Hawley and neighboring Charlemont make up the Hawlemont Regional School District, a sub-district of the nine-town Mohawk Trail Regional School District, which serves much of western Franklin County.

Town students attend the Hawlemont Regional Elementary School in Charlemont from pre-kindergarten through sixth grades, and all students in the district attend Mohawk Trail Regional High School in Buckland.