Washington employment and labor laws are made up of a wide variety of legislation aimed at helping to govern the employer and employee relationship while protecting workers throughout the state. Washington labor laws cover various employment situations including areas like hiring and discrimination, pay, leave, breaks, workplace safety and much more.
Managing compliance in any state is no easy task. And employers throughout Washington not only need to comply state law, but with federal labor laws and even local laws in cities like Seattle. Companies that are struggling with Washington labor law compliance may want to consider seeking help from a Washington payroll and HR company like PayNW.
However, employers can use this article as a guide to help understand and manage compliance with legislation and labor laws throughout Washington in a few key areas, which include, but are not limited to:
Washington employers can breathe a sigh of relief when it comes to recruiting and hiring laws, as recruiting and hiring is one of the smaller areas of labor law compliance for the state. However, Washington does have rules that employers need to be aware of when it comes to the criminal history of job applicants and potential new hires.
Also known as the Washington Fair Chance Act, Washington’s Ban the Box law prohibits employers from inquiring about an applicant’s criminal history via:
However, an employer may inquire as to the criminal history of a potential new hire once the employer determines that the applicant is otherwise qualified for the position.
In addition to rules surrounding obtaining criminal history in Washington, employers are also prohibited from:
Some employers are exempt, however, such as employers who are espresso permitted or are required to inquire into or consider information about an applicant's criminal record for employment purposes.
In Washington, anyone may obtain conviction records and information relating to arrests, detentions, charges, indictments, and final dispositions that occurred within the past year and are pending in the state criminal justice system.
In other words, anyone is allowed to obtain said records, so long as they aren’t violating the Washington Fair Chance Act to do so.
Employers may also obtain more complete conviction records if:
Note: Employers may ask applicants about convictions that occurred or resulted in incarceration within the past 10 years if the crime is reasonably related to the requirements of the position, as well as arrests within the past 10 years that involved behavior that could adversely affect job performance
Employers that do seek more complete conviction records, however, are required to:
Employers may not:
Note: Washington's nondiscrimination law applies to employers with 8 or more employees
To request criminal history record information, employers should contact the Washington State Patrol's Identification and Criminal History Section, or contact a Washington HR and payroll provider for help.
Washington state employers must submit information regarding new hires as well as certain employees returning to work. Information must be submitted to the Washington New Hire Reporting Program.
Employers need to report the following information for each new hire, or recalled employee:
Employers must submit the above information within 20 days from the date of hire or re-employment. Employers reporting electronically must transmit twice monthly, roughly every 12-16 days.
Aside from new hires, employers must also report the same information for each employee who was previously employed but has been separated from the company for at least 60 consecutive days.
Employers may report new hire information through the Washington New Hire Reporting Program.
Alternatively, employers can submit a new or rehired employee form or W-4 by fax or mail to the new hire reporting program. Employers may also create their own form so long as it contains all of the required information. Lastly, employers may also submit the required information by phone by calling the New Hire Reporting Phone System at (800) 562-0479.
Note: Employers with employees in two or more states who transmit reports magnetically or electronically may designate a single state to which all new hires can be reported after notifying, in writing, the federal Department of Health and Human Services, of this designation.
Failure to report can result in hefty fines, so it's important for employees in Washington to stay on top of new hire reporting. Oftentimes, an outsourced payroll service will include new hire reporting as part of its standard services.
Starting January 1st, 2023, employers needed to start managing compliance with Washington's new pay transparency law.
As part of Washington's goal of furthering equal pay amongst employees, the state has created new guidelines regarding pay transparency.
Washington Pay Transparency applies to employers in the state with 15 or more employees. It requires that employers provide the following in a job description or listing:
The wage scale or salary range should have a clear minimum and maximum and must be established prior to the job posting. Scales or ranges may not be open-ended and include phrases like "up to $xx per month" or "starting at $xx per month".
Employers in the state of Washington must manage compliance with the following wage and hour-related laws and regulations when it comes to processing payroll in Washington State.
Under the federal Fair Labor Standards Act (FLSA), three types of workers are non-exempt, exempt, and independent contractors. Employers should ensure that they properly classify employees, as the misclassification of a worker may have state and federal monetary consequences.
Washington minimum wage updates somewhat regularly to account for changes in the cost of living. Effective January 1st, Washington's minimum wage for 2024 is $16.28 an hour for the majority of the state.
There are some exemptions to the state minimum wage, for instance, employees 14 and 15 years old may be paid 85% of the applicable minimum wage. Effective January 1st, the minimum wage for 14 and 15 year olds is $13.83.
The cities of Seattle, SeaTac, and Tukwila have their own minimum wage requirements as well.
The minimum wage for businesses located in Seattle is $19.97 an hour for employers with 501 or more employees.
However, employers with 500 or fewer employees that also pay at least $2.72 per hour in employer contributions toward medical benefits, or in tips, may use a special minimum wage rate of currently $17.25.
The minimum wage for the city of SeaTac in 2024 is $19.71 per hour for Hospitality and Transportation Industry Employers only.
The Tukwila minimum wage applies to businesses with 15 or more workers worldwide and earns more than $2 million a year in gross revenue in Tukwila.
The minimum wage for businesses located in Tukwila is $20.29 an hour for employers with 500 or more employees.
However, for employers with 500 or fewer employees, the minimum wage is $18.29 an hour.
According to requirements for Washington Wage Deductions, employers in Washington are typically only allowed to deduct wages from an employee if:
However, given consent from the employee, an employer may deduct wages for the following:
Employers are completely prohibited from making pay deductions for the following reasons:
An employer may deduct from an employee’s pay to correct an overpayment, so long as the overpayment was inadvertent, infrequent, and discovered within 90 days of the deduction.
The employer must also provide advance written notice and documentation of the overpayment to the employee before any adjustment is made. The notice must explain how the employer intends to recoup the overpayment and may reduce the employee's gross wages below the state minimum wage.
Deductions from final wages can be made for certain incidents that occurred in the final pay period, however, there must be an agreement between the employee and the employer prior.
Important to note is these deductions may not reduce the employee's final gross wages below the state minimum wage.
According to Washington Final Pay Law, employees who are terminated, or who quit must be paid on the next regularly scheduled payday.
There is no specific law requiring payment of unused benefits in Washington, however, employers must honor any agreements regarding payment of unused benefits made at the time of hire or after.
Under Washington Overtime Law, employees earn overtime pay in Washington for all hours worked in excess of 40 in a week. Overtime pay is 1 ½ times the employee’s regular rate of pay.
The following types of employees are entitled to overtime in Washington:
Washington employers must pay employees, generally, at least once a month on designated paydays. When deciding on a pay frequency, employers may:
In addition to wage laws, employers must also be aware of Washington break laws and requirements for employee meal and rest breaks.
Workers who are on a shift of five hours or more are entitled to a 30-minute meal break. The break must be no earlier than two hours into the shift and no later than five hours.
Minors ages 14 and 15 are entitled to a 30-minute meal break after a shift of four or more hours.
A 30-minute meal period also must be provided before or during any overtime shift that is at least three hours after a normal work day. Meal breaks must be paid unless the employee is relieved of all duties during the entire meal period.
Note: The Washington Supreme Court has held that an employer is not automatically liable if a meal break is missed because an employee may waive the meal break.
Under Washington employee break laws, employees are entitled to a paid rest break of at least 10 minutes for every 4 hours worked.
However, in jobs where the nature of the work allows employees to take rest breaks equivalent to ten minutes for every four hours worked, then the employer is not required to offer rest breaks. This rule does not apply to minors.
Additionally, minors ages 14 and 15 must be given a break of ten minutes or more for every two hours worked instead of three.
In some cases, employers may implement "mini" rest breaks instead of a scheduled rest break. These types of breaks must total at least 10 minutes over a 4-hour period in order for the exception to apply.
Employers in the state must manage compliance with both federal and Washington Child Labor Laws. Where the laws intersect, the more protective of the two always applies.
Under state law, a written order issued by a judge of a superior court of the county in which a minor resides is a prerequisite to the hiring of said minor if they are under the age of 14.
In addition, Washington law has special requirements for the following items when it comes to the employment of minors:
Before hiring a minor, employers must also satisfy the following requirements:
Note: If the employer sponsors bona fide unpaid work-based learning programs approved by the office of the superintendent of public instruction or a local school district, the employer is not required to obtain minor work permit endorsements for those programs.
Washington employers must manage compliance for the following leave laws:
Washington Paid Sick Leave Law generally dictates that employers in Washington state must provide each employee with paid sick leave, with the exception of traditionally exempt employees under FLSA.
Paid Sick Leave is compensated at the employee’s normal rate of pay. However, unused sick leave is not required to be paid out upon termination of employment.
Employees accrue one hour of paid sick leave for every 40 hours worked. Fortunately for employees, there is no cap on how many hours they may accrue, and employers are also required to allow employees to carry over at least 40 hours from one year to the next.
Employees begin accruing sick leave on the first day of employment, however, they may only use paid sick leave starting on their 90th day of employment.
Employees may use paid sick leave:
Employers must provide a general notice to employees regarding Paid Sick Leave rights and regulations as well as provide a monthly notice to each employee notifying them of:
Employers may require 10 days' notice for foreseeable leave, or as early as practicable. For unforeseeable leave, an employer may require an employee to give notice as soon as possible before the start of his or her shift, if practicable. If not practicable, another person may notify the employer.
Notice requirements must be included in a written Washington Sick Leave Policy readily available to all employees.
For absences of three days or more, employers may require verification that the use was for an allowed purpose. Verification requirements must be included in a written policy readily available to all employees.
Employers in Washington must also be aware of any local leave laws that they may be subject to. In particular, Washington has a Seattle Paid Sick and Safe Time Law, as well as a Tacoma Paid Sick Leave Law.
In addition to paid sick leave, employers must also manage compliance with the Washington Paid Family and Medical Leave (PFML) Program. Washington PFML adds to the protections set by the federal Family Medical Leave Act (FMLA).
Between paid sick leave and paid family medical leave, Washington employers may want to turn to leave management software to help streamline leave tracking and compliance.
Employees who take leave and are paid a weekly wage that is 50% or less of the state average are compensated at a rate of 90% of the employee's average weekly wage.
Employees that are paid a weekly wage of over 50% of the state average are compensated at a rate of 90% of 50% the state average weekly wage, plus 50% of the difference between the employee's average weekly wage and one-half of the state average weekly wage.
For 2024, an employee's weekly benefit is capped at $1,456.
For 2024, the premium for Washington PFML is 0.74% of an employee’s gross wages. However, the employee does not pay the full cost of that premium.
Of the 0.74%, employers cover 28.57%, while employee withholding covers the remaining 71.43%.
Employers with under 50 employees are exempt from the paying the employer portion of the premium. Employers, regardless of size, may still pay some or all of the employee share on their behalf.
Premiums are due at the end of the calendar month immediately after the end of the calendar quarter.
Employees who have worked at least 820 hours in the first four of the previous five calendar quarters, or the last four completed calendar quarters immediately preceding the leave request.
Note: The COVID-19 temporary grant to expand eligibility temporarily due to a reduction in available hours to employees ended in March of 2022.
An employee may take leave under Washington’s Paid Family and Medical Leave Law for the following reasons:
Generally, the maximum duration for leave is 12 times the employee's typical workweek hours during 52 consecutive calendar weeks. However, an employee can combine the two benefits (family leave and medical leave) and take leave for 16 times the employee's typical workweek hours. For a female employee who experiences a serious health condition related to pregnancy that results in incapacity, two additional weeks may be added to either total.
Employees must provide notice for using PFML leave for:
Washington employers also need to be aware of special considerations regarding pregnancy in the workplace. Under Washington Pregnancy Disability Leave, employers with eight or more employees must allow up to eight weeks of leave (as determined by a health care provider) to female employees who experience a temporary disability due to pregnancy or childbirth.
Leave is paid, so long as the employer is also covered under Washington Paid Leave. The compensation for pregnancy leave is the same as paid leave as well.
Important for employers to note is that employee health benefits must be maintained during the leave.
Washington Military Family Leave applies to all employers in the state and all employees who work an average of 20 or more hours per week and are the spouses of military personnel.
Using the leave, employees may take up to 15 days of time off, per deployment, during a spouse's deployment, or deployment leave during times of military conflict.
Employers should be aware that this leave can be used intermittently, and is unpaid.
Employees on the other other hand must provide notice of intent to take such leave within five business days of the spouse receiving notice of deployment or deployment leave.
Washington employers are required to allow employees unpaid leave to serve as a juror. Employers may not take any kind of adverse action against an employee for doing so.
For more information on Washington Jury Duty Leave, employers can contact the Washington Courts website.
Washington Victim Leave provides leave to all employees in the state that are victims of domestic violence, sexual assault, and stalking for the following reasons/uses:
Employees should give notice of leave as soon as possible but are not required to do so until the first day of leave. The leave is not required to be paid, however, the employee may choose to use accrued paid sick leave to substitute for the unpaid leave.
Washington employers must manage compliance with federal COBRA laws, as there currently is no mini-COBRA law for the state. However, employers should be aware of the new Washington Cares Program beginning in 2023.
While not yet finalized and established, employers in the state should familiarize themselves with the new Washington Cares Fund Program, a new earned benefit to ensure working Washingtonians can access long-term care when they need it.
Beginning in January 2023, exemption applications will be made available to certain groups, and in July 2023 employees will begin making contributions to the state fund. In July of 2026, benefits will become available for eligible individuals.
Washington employers must pay unemployment taxes on employee wages in the state. Tax reports or tax and wage reports are due quarterly. Liable employers must submit reports even if there are no paid employees that quarter or taxes are unable to be paid.
For more information on Washington Unemployment Insurance, or to see how to get set up with Washington's new Employer Account Management System (EAMS), see the Washington State Employment Security Department.
SOC codes, or Standard Occupational Classification Codes, are a federal coding system used by federal agencies and private businesses for classifying workers into occupational categories. It covers all occupations where work is done for pay or profit.
The Washington SOC draws from the 2018 Standard Occupational system for SOC Classification and Coding Guidelines, which is a federal statistical standard.
Under Washington SOC reporting laws, SOC code reporting for the state will begin with the fourth quarter 2022 report by employers. The quarterly reports themselves are to be submitted in January 2023.
To help employers comprehensively learn about their new SOC reporting requirements, the Washington Employment Security Department (ESD) has provided several helpful resources, including webinars, important links, and more
Employers must comply with safety and health laws either through the federal program administered by the Occupational Safety and Health Administration (OSHA) or through an OSHA-approved state plan. Washington has an OSHA-approved safety and health state plan that covers private sector employees.
The Washington Department of Safety and Health (DOSH) is responsible for ensuring that employers provide safe and healthy working conditions for workers in the state.
Generally, employers are required to:
Washington smoking and tobacco laws require employers to:
In Washington State, all workers are entitled to workers’ compensation benefits. Employers may not discriminate or penalize employees for filing a workers’ compensation claim.
Washington State grants employers the option to be covered under state-insured or self-insured workers’ compensation insurance. Organizations using state-insured workers’ compensation don’t need to worry about fulfilling benefits for accepted claims, as benefits are covered by the Washington State Workers’ Compensation Fund.
For self-insured organizations, workers’ compensation benefits claims are funded by the employer, or a private, third-party insurance provider.
In addition to federal discrimination laws, employers must also manage compliance with Washington Law Against Discrimination (WLAD).
WLAD applies to employers with 8 or more employees in Washington. Covered employers are prohibited from taking any adverse employment action against an individual as a result of:
Washington has the following requirements for postings, notifications, and recordkeeping requirements.
Washington employers are generally responsible for displaying the following posters:
Employers who are self-insured, employers of churches or religious organizations, or fishing boat workers may have additional posting requirements.
For help with labor law posting compliance, consider a labor law poster subscription or e-update service.
Washington requires employers to keep a variety of records for the following things:
Employers must also provide employees access to these records at least annually upon request. Records pertaining to payroll and exposure to toxic materials or harmful physical agents must always be available to employees.
Managing compliance in any state, Washington more so than many, can be difficult for employers. Even more so, employers can't focus on the business of their business while managing compliance at the same time.
For help managing compliance, Washington businesses may want to consider turning to a Washington Payroll and HR provider. For help finding a provider, contact us today.