Washington D.C.'s expansive, dynamic, and innovation-friendly market makes it ideal for starters. This state boasts one of the quickest-growing economies in the U.S. and ranks consistently high among the top states for business expansion.
Gaining comprehensive knowledge of Washington labor laws is the first step to tackling international business challenges.
This guide to WA state employment laws covers every stage of the employment process to ease things for you.
With a clear understanding of these laws, you can make sure your business is compliant with the legal standards, and it also supports a fair and thriving workplace for your employees.
Overview of Washington Labor Laws
With new technology taking over our lives, the impact of globalization on HRM and employment has been massive. Hence, understanding and adhering to local labor laws is a key element of not just staying afloat but being a successful internationally-run business.
Washington is a dynamic and business-friendly state. It boasts one of the most progressive markets in the world that is open to innovation.
However, navigating the complex nature of Washington state labor laws requires holistic knowledge in it.
Failing to comply with regulations like mandatory Washington overtime laws, WA state employee break laws, and strict Washington state paid time off laws can lead to hefty fines.
You can build a productive and law-abiding work environment by adhering to such laws to thrive in Washington, the hub for innovation and growth.
Working from home avoids commuting, and fewer commuters result in
lower greenhouse gas emissions.
Key Washington State Employment Laws
Washington State is the ideal place for setting up business due to its progressive approach to worker rights and protections.
As an employer in the state, you need to know all about the complexities of Washington labor laws to ensure fair treatment, safety, and benefits for employees.
These regulations are applicable to remote teams as well.
Let’s begin by looking at what is considered full-time in Washington State, as per wage and hour laws in Washington state.
Standard Full-time Hours Washington State
The maximum working hours set by the Washington labor laws are 40 hours weekly (8 hours per day). Employees exceeding 40 hours of work time have to be compensated with overtime pay.
Minimum Wage and Overtime Requirements
The Washington labor laws mandate fair wages to all employees for their service. Employers operating across different localities or managing remote employees must be vigilant about the minimum wage standards of the country they want to expand.
- The current minimum Washington state hourly wage: 16.28 USD per hour.
Some areas have higher wages. They are:
- Tukwila: 20.29 USD/hr
- Seattle: 19.97 USD/hr
Workers aged 14–15 can be paid 85% of the minimum wage (13.84 USD/hr).
The Overtime pay laws in Washington state require 1.5 times the regular pay for hours worked over 40 per week, with exemptions for some salaried employees based on duties and income.
As per the Washington state salary laws, tips and service charges can’t count toward the minimum wage.
Employee Classification and Contracts
Washington state laws mandate the proper classification of employees to remain compliant. Workers generally fall into each of the three categories mentioned below.
Each comes with its own legal and tax implications:
| Salaried employees (exempt/non-exempt) |
- Typically full-time
- Can qualify as exempt or non-exempt under the laws on mandatory overtime in Washington state
- Entirely depends on what duties they have and how much salary they receive
|
| Contract workers |
- Bound by fixed-term agreements
- Do not get the same benefits as WA state overtime pay laws
|
| Freelancers |
|
Under the Employee protection laws (Washington state), an employment contract should clearly define certain terms. These include pay, duties, and termination conditions to avoid future disputes.
Payroll and Tax Obligations in Washington
When it comes to payroll management, you need to consider certain international compensation and benefits. The payroll laws in Washington state mandate companies to adhere to these federal and state payroll responsibilities:
- The FICA (Federal Insurance Contributions Act)
Covers Social Security and Medicare taxes. Both employers and employees share this cost equally.
- UI (Unemployment Insurance)
Employers need to contribute to this program based on what their industry is as well as their claims history.
- Federal Unemployment Tax Act (FUTA)
A tax that employers need to pay to fund unemployment benefits to employees with an annual earning of less than 7000 USD.
Employer Contribution Summary Table
The Washington labor laws demand timely payment of taxes and proper reporting for compliance. Adhering to it ensures seamless payroll operations and additionally fosters employee trust.
| Tax Type |
Employer Rate |
Employee Rate |
| Social Security |
6.2% |
6.2% |
| Medicare |
1.45% |
1.45% |
| Washington UI |
2.7% (standard tax rate for new employers. May vary.) |
N/A |
| FUTA |
6% on the first 7000 USD of wages |
N/A |
Benefits and Insurance Requirements
As per the mandates enforced by the Employment laws in Washington State, these are the benefits and insurance requirements that employers must provide:
- Washington State Sick Leave Law
Employers need to provide paid sick leave for salaried employees in Washington state. Employees must earn 1 hour of sick leave for every 40 hours. This leave can be issued for both personal or family health needs. It can also be issued for instances related to domestic violence.
- Paid Family and Medical Leave (PFML)
The Washington labor laws also enforce paid leave for family or medical reasons. It can be caring for a newborn, military-related events, or a grave health condition. The premium is 0.74% of wages, shared between employees (71.43%) and employers (28.57%) unless exempt due to size.
- Unemployment Insurance (UI)
The Washington state employment laws for termination mandate employers to donate to the state unemployment insurance fund to support employees if they lose their jobs.
While not mandatory, employers with 50 or more full-time employees must provide health coverage under the Affordable Care Act (ACA)
Employers can offer additional benefits such as life insurance, vacation time, professional development, and health and wellness stipends.
Workers’ Compensation and Liability
The labor laws in Washington state mandate employers to provide a compensation system that gives employees no-fault insurance for job-related injuries or diseases. It covers the following:
- Medical treatment
- Wage replacement
- Vocational rehabilitation
Claims are either state funds (for employers paying premiums) or self-insured claims (for employers managing claims directly).
Regarding employer liability, The Washington employment law protects employers from lawsuits by injured workers. However, they are not exempt from penalties for fraud, unsafe work conditions, or discouraging claims.
Workplace Breaks and Rest Periods
According to the state of Washington employee rights, employers have to provide the following breaks:
Employees can take a 10-minute paid rest break after every 4 hours of work, which should be taken in the middle of the work period. (It accounts for a 4-hour minimum shift in Washington State)
Employees with a total working time of more than 5 hours are entitled to a 30-minute unpaid meal break. However, this break must be provided after the first two hours of starting work but before the end of the fifth hour.
These Washington labor laws for breaks do not apply to freelancers and contractors who are exempt under the Washington state work schedule laws.
Anti-Discrimination and Equal Opportunity Laws
Washington's WLAD (Washington Law Against Discrimination) makes workplace discrimination based on race, gender, age, disability, sexual orientation, etc., a criminal offense.
This applies to companies with 8 or more workforce in Washington. For employers working with 15 or more employees, Federal laws like the Civil Rights Act and EPOA offer additional protections. The Washington labor laws also enforce the Equal Pay and Opportunities Act for gender pay equality.
Leave Policies in Washington
The Washington labor laws mandate the following leave benefits:
- Paid Family and Medical Leave (PFML)
It allows paid leave for illness and family care. It also includes the maternity leave laws in Washington state, which allow eligible employees to take up to 12 weeks of paid leave. It also includes an additional 12 weeks of bonding leave for new parents, and up to two extra weeks for complications due to pregnancy.
- Paid sick leave law in Washington state
As per Washington state paid sick leave policy, employees get 1 hour of sick leave for every 40 hours of work.
Falls under the Washington labor laws and offers unpaid, job-protected leave for personal or family health reasons. This is only applicable to employers with 50 or more employees.
- Washington state bereavement leave
Falls under the WAC 357-31-250, which states that employees can apply for three days of bereavement leave.
Employee Termination and Severance Policies
At will employment in Washington state is the default. An employer or employee can terminate the relationship for any reason, at any time, as long as it does not fall under discriminatory or retaliatory cases registered under state and federal laws (RCW 49.44.210).
Employers must adhere to anti-discrimination laws when terminating employees and avoid retaliating against employees who assert their legal rights (e.g., filing complaints or taking family leave).
Severance Pay Practices
Severance pay is not legally required in Washington as it is regarded as a voluntary benefit the employer offers. Many employers offer such packages, but the exact amount varies by company.
If an employee is promised severance pay in their employment or union contract or the company policy manual, the employer has to provide it to avoid legal harassment.
Workplace Safety and Health Obligations
Washington's WISHA mandates the safety of the work environment. Employers must comply with specific safety regulations to avoid hefty fines and accidents.
Here are some of the key requirements:
- General duty: Employers must keep workplaces free of recognized hazards (RCW 49.17.060).
- Safety programs: Written programs for hazard assessments and training exist. Periodic audits are also mandatory for high-risk industries.
- Reporting injuries: Serious work-related incidents must be reported to L&I and recorded for a minimum of five years.
- PPE: Personal protective equipment has to be provided as per the Washington labor laws.
- Training and inspections: Employers must train employees on safety protocols and regularly conduct safety inspections.
How to Simplify Washington Employment Compliance
Managing employment in Washington can be much easier if you partner with an Employer of Record (EOR) like Skuad. They will handle payroll and employment, benefits, taxes, and compliance, ensuring you meet state laws while efficiently managing global employees.
Benefits of Using Skuad for Washington Employment
If you want to simplify HR operations in Washington, turn to Skuad. They offer comprehensive and reliable solutions to these mandatory needs:
- Compliance management: Skuad ensures your business adheres to Washington’s labor laws, taxes, and reporting requirements.
- Have a well-structured payroll: Skuad’s expert team promises accurate and timely payroll processing, which includes tax deductions and filings.
- Reap employee benefits: With Skuad, you can manage benefits like paid leave, healthcare, and retirement plans while adhering to Washington labor laws.
- Save on resources and cost: If you choose Skuad, you won’t need an in-house HR and compliance team. This will help you save on resources and cut down on costs.
- Work with global expertise: Skuad’s team of experts can seamlessly hire and manage local and international employees.
- Focus on growth: Skuad allows companies to concentrate on scaling their business while managing employment complexities. With Skuad, you can remain compliant and manage a business while working on business growth.
Hire, Pay, and Manage Employees with Skuad
With Skuad’s EOR solution, navigating Washington labor laws becomes easier than you think.
You can hire top talent, ensure accurate payroll, and handle compliance with local Washington state labor and industries laws effortlessly. Skuad is well-known for its expertise in managing global teams allowing you to stay focused on business growth.
Let Skuad simplify the complexities of managing your workforce, whether in Washington or globally.
Start your journey by booking a demo today!
FAQs
1. What are the labor laws in Washington state?
The most important Washington labor laws concern minimum wage, overtime, discrimination protections, meal/rest breaks, and workplace WA safety.
2. How long can you work without a break in Washington?
According to Washington state break laws, employees are entitled to receive both paid and unpaid breaks. The paid rest break is 10 minutes every 4 hours, and the unpaid meal break is 30 minutes for 5-hour shifts.
3. How much notice does an employer have to give for a schedule change in WA?
While there are no strict statewide laws regarding advanced scheduling notice, Seattle's Secure Scheduling Ordinance requires employers in certain industries to provide employees with their schedules 14 days in advance.
4. What is an unfair labor practice in Washington state?
Discrimination, employer retaliation, etc., are some unfair labor practices falling under Washington labor laws.
5. What is wrongful termination in Washington state?
Employers cannot terminate an employee for discrimination, retaliation, or breach of contract. These are cases of wrongful termination.
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