Important Washington Wage Change Information

Employers in Washington or with workers in Washington need to take note of some important updates regarding employee wages. Here’s a breakdown of key information:

1. Overtime Exemptions: To be exempt from overtime laws, Washington workers need to earn at least $67,724.80 per year or $1,302.40 per week. This amount is part of a phased implementation, with future thresholds based on the Consumer Price Index. Employers should remember that meeting the salary requirement is just one part of the exemption test; employees must also be paid on a salary basis and meet specific duties criteria. All parts of the test must be met for exemption.

2. Outside Employment Restrictions: In general, employers cannot restrict employees from having outside employment or being self-employed unless they are paid at least $32.56 per hour.

3. Non-compete Thresholds: Employees earning $120,559.99 or more may be subject to non-competition agreements, while independent contractors have a higher threshold at $301,399.98.

4. Dairy & Agricultural Workers: These workers are eligible for overtime if they work more than 40 hours per week. Previously, the policy required agricultural workers to exceed 48 hours for overtime eligibility. The overtime pay rate must be at least 1.5 times the regular rate of pay.

5. Minimum Wages for 2024:
– Washington State: $16.28 per hour
– Seattle: $17.25 to $19.97 per hour (with variations for small business employers)
– SeaTac: $19.71 per hour (Hospitality and Transportation Industry)
– Tukwila: Large employers: $20.29 per hour; Mid-size employers: $18.29 per hour (effective 7/1/2024)

If you have additional questions about this information or any other human resource topic, don’t hesitate to reach out.