Upcoming Changes to Washington State Employment Laws
As we ring in the new year, employers should be aware of some changes on the employment horizon. First, the total premium rate for the Washington State Paid Family and Medical Leave (PFML) program will increase to 0.8% as of January 1, 2023. Employers will pay 27.24% of the total premium, and employees will pay 72.76%. Businesses classified by the Employment Security Department as having fewer than 50 employees are not required to pay the employer portion of the premium. Find out more about the premium rate increase here.
While the premium deduction from the employee’s pay is mandatory (and therefore written authorization from the employee is not required to make the deduction), employers should provide employees with notice of the January 1st premium rate increase. The PFML website does not specify what type or form of notice is required. The Associated Industries legal team has drafted a sample notice form that employers may distribute to employees, notifying them of this increase. Employers may choose to have employees sign the notice, although the PFML website does not indicate that written acknowledgment is required. The sample notice form can be found here.
Additionally, the PFML poster has been updated to reflect the new premium rate and should be replaced at the worksite and distributed to remote workers in the same manner as other posters. The updated poster can be found here.
Finally, employers should be aware of the January 1, 2023, changes to the salary threshold for exempt employees, found here. and new pay transparency requirements for job postings, including disclosure of wage scales, salary ranges, and benefits. The Department of Labor and Industries has issued a detailed Administrative Policy outlining these new requirements and others in effect under the Equal Pay and Opportunities Act. The Administrative Policy can be found here. Discussion of pay transparency requirements begins on page 3.
As 2022 draws to a close, all of us at Associated Industries would like to thank you for your continued trust and support. We are here to serve our members and look forward to working with each of you in 2023.