Several new laws are taking effect in 2025. As a business owner in the Washington state, it's important to stay on top of new laws and regulations. Here are some of the most notable new laws that business owners should be aware of.
State Minimum Wage
According to the Washington State Department of Labor & Industries, the state minimum wage is being raised in 2025. Increasing 2.35% from 2024, the new minimum wage is now $16.66 for ages 16 and up. Workers aged 14 and 15 have a minimum wage of $14.16.
Non-Compete Agreements
You can only utilize non-competition agreements if you pay more than $123,394.17 per year to workers or $308,485.43 per year for independent contractors.
Employer Incentives
In order to help injured workers return to work within their medical restrictions, maximum wage reimbursements for Stay at Work and Preferred Worker programs will increase to $25,000 per claim. This offers greater support for retaining employees and reducing workers compensation costs!
Paid Sick Leave
Washington is now going to expand the paid sick leave to cover more caregiving situations. Employees will now be able to use paid sick leave to care for anyone living in their home or anyone they have a caregiving relationship with. This will benefit many, especially workers who may have to use it for emergency closures with school or daycare. Also, upon termination employers are not required to pay out unused sick leave, except for certain construction workers.
In addition, employees (including ride share drivers) must accrue 1 hour of paid sick leave per 40 hours worked and up to 40 hours of unused sick leave can be carried over. Companies are required to have an accessible system for requesting sick leave and protect employees. Employers must keep employees updated and informed of their sick leave balance regularly.
Ride Share Drivers
To add to the previous statement, there are more app-based worker protections to take note of. The deactivation process of these apps are required to have clear, fair policies. Workers must receive a 14-day notice unless there is extreme circumstances. These workers will be able to utilize 90 days to challenge their deactivation and companies have to respond within 14 days.
Paid Family and Medical Leave Premiums
The premium rate will increase from .74% to .92% for paid family and medical leave due to higher demand. Cost-sharing ratios will remain the same where employers pay 28.48% and employees pay 71.52%.
Vulnerable Workers
To reduce disparities among disadvantaged communities, especially Black and Latino workers, employers must provide a notice of rights in the worker's primary language.
Smoke Evacuation System Requirement
Health care employers have use new smoke evacuation systems during surgical procedures that involve lasers, radio frequency devices, or power tools. This will neutralize smoke before it reaches eyes or respiratory tract of anyone in the operating room and will protect staff from smoke exposure.
These are just a few new laws some employers might find helpful to know in 2025. Washington is known for keeping laws updated with what is going on in the world currently, so these new regulations should ensure beneficial updates for everyone. A strong commitment to protecting workers and companies will lead to an evolving economy and a healthier work environment.
