by Emily Sixta
As we all look forward to the new year and what it will bring, employers should also be looking to the WA Department of Labor & Industries to stay up-to-date on changes coming in 2021 that affect their business.
Minimum Wage
The state minimum wage will rise to $13.69 per hour on January 1st, 2021. In addition, local minimum wage rates will increase in Seattle ($16.69 per hour) and SeaTac ($16.57 per hour). Employers should also keep in mind that the rise in the state minimum wage means the minimum salary threshold for overtime exempt workers will increase for both small and large employers. To learn more about updates to the Washington State overtime rules that you’ll see in the coming years, see our previous article in the Voice, https://thurstonchamber.com/july-updates-to-washington-state-overtime-rules-what-you-need-to-know/
Non-Compete Agreement Restrictions
Non-compete agreements prevent employees who leave a company from doing similar work for a competitor or for themselves as their own business for a stated length of time. Washington State has implemented an annual earnings minimum which companies must meet in order to utilize these types of agreements. These minimums are adjusted by the Consumer Price Index each year and as of January 1, 2021, that minimum will be $101,390 for employees and $253,475 for independent contractors.
Prohibited Employment Restrictions
Prohibited employment restrictions allow employees earning under a certain wage to moonlight or work other jobs at one time. In other words, employers cannot prohibit an employee from a second (or more) job or running their own side business unless they are paid greater than twice the minimum wage. Starting in January 2021, that threshold will be $27.38 per hour, or $56,950.40 per year.
Isolated Worker Protections
The Sexual Harassment Prevention Act, which originally went into effect in January of 2020, requiring businesses within certain industries to provide isolated workers with sexual harassment prevention training, resources for seeking help and a panic button to keep them safe on the job, will expand to include employers in the following industries:
Required Signage
A new year, a new poster. There have been updates made to the required “Your Rights as a Worker” poster and the new version must be properly displayed in the workplace. This poster can be found at: https://www.lni.wa.gov/forms-publications/F700-074-000.pdf
For further information regarding the various changes in 2021, please see the resources below.
Minimum Wage
https://lni.wa.gov/workers-rights/wages/minimum-wage/
Minimum Salary Thresholds for Exempt Workers
https://content.govdelivery.com/accounts/WADLI/bulletins/2a3b068
Non-Compete Agreement Restrictions
https://app.leg.wa.gov/RCW/default.aspx?cite=49.62
Prohibited Employment Restrictions
https://app.leg.wa.gov/RCW/default.aspx?cite=49.62
Isolated Worker Protections
https://app.leg.wa.gov/Rcw/default.aspx?cite=49.60.515
Poster Requirements