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Compliance & Risk Trending Articles 5 min read 28 February 2026

Washington state labor law compliance guide (2026): employer requirements & workplace rules

Author: Marketing Team

Washington state labor law compliance guide (2026): employer requirements & workplace rules

Employers operating in Washington State are encouraged to remain familiar with labor standards administered by the Washington State Department of Labor & Industries (L&I). Washington maintains a comprehensive employment framework that builds upon federal labor laws while incorporating several state-specific requirements related to wages, overtime, youth employment, and workplace compliance.

The following overview is intended to provide an employer-focused summary of key Washington Labor Law considerations as they apply in 2026. It is designed to support informed decision-making and ongoing compliance planning.

Minimum wage considerations in Washington

Washington establishes a state minimum wage that exceeds the federal standard and is adjusted annually to reflect economic indicators.

Effective January 1, 2026:

  • State minimum wage: $17.13 per hour
  • Certain cities and counties may adopt higher local minimum wage rates.

Employers are generally expected to pay the highest applicable wage based on where employees perform their work. Organizations with operations across multiple jurisdictions may wish to confirm whether local wage ordinances apply and adjust pay practices accordingly.

Periodic reviews of payroll practices and wage schedules may help employers maintain alignment with both state and local wage requirements and support ongoing compliance efforts.

Overtime and exempted salary considerations

Under Washington law, non-exempt employees who work more than 40 hours within a seven-day workweek are generally eligible for overtime compensation at one and one-half times their regular hourly rate.

Effective January 1, 2026:

  • The minimum salary threshold for employees classified under the executive, administrative, or professional exemptions is scheduled to increase to 2.25 times the state minimum wage, corresponding to a weekly salary of $1,541.70 (approximately $80,168 annually).
  • Exemption status is typically determined based on both the applicable salary level and the primary job duties. Job titles alone are generally not sufficient to establish exemption eligibility.

Employer considerations may include:

  • Reviewing salaried positions to confirm that compensation meets the updated weekly threshold where exemptions are applied.
  • Evaluating job responsibilities to ensure the role meets the executive, administrative, or professional duties criteria, not just the applicable salary threshold.
  • Configuring payroll systems to identify roles that fall below the threshold, such that overtime compensation is applied appropriately where required.

 

Washington State Labor Law

Youth employment and child labor standards

Effective July 1, 2026, updates to Washington law under House Bill 1644 are expected to increase civil penalties for violations of child labor regulations. In certain circumstances, a minor’s work permit may also be subject to revocation for a minimum period of 12 months if an employer is cited or becomes subject to a restraining order related to noncompliance.

Suggested employer considerations:

  • Employers with operations that include workers under the age of 18 may find it beneficial to regularly review compliance with applicable work-hour limitations, permit requirements, and restrictions on hazardous occupations.
  • Awareness of the revised penalty structure may help organizations more effectively assess potential compliance risks associated with youth employment.
  • Employers may also wish to confirm that workers’ compensation coverage and payroll practices for minor employees align with state requirements.

Record-keeping and payroll documentation

Washington law generally requires employers to maintain accurate and complete employment records, which may include:

  • Hours worked
  • Wages paid
  • Payroll and compensation details
  • Employee classification information

Employees may also have the right to request access to certain employment records as permitted under applicable laws.

Consistent record-keeping practices may help support transparency and reduce administrative challenges if audit-related questions arise.

Workplace posters and required notices

Employers in Washington are expected to display labor-law posters issued by the Washington State Department of Labor & Industries (L&I) in locations that are readily accessible to employees.

Common postings may include:

  • Minimum wage notices
  • Wage and hour rights information
  • Paid leave and related benefit notices

Depending on workforce composition, required postings may need to be made available in additional languages. Periodic reviews of workplace postings may help employers ensure that notices remain current, complete, and appropriately displayed.

MovePlus supports organizations in managing employee mobility and related financial processes, including:

  • Supporting the structuring of relocation, cost of living, tax gross up and other allowances with consideration for applicable wage and labor-law requirements.
  • Enabling consistent documentation and expense reporting capabilities across employee moves.
  • Processing relocation-related expenses through a secure portal, with multi-stage verification to support policy alignment, accuracy, and timely reimbursement.
  • Supporting organizations as they navigate varying payroll and mobility-related compliance considerations across U.S. states.

Additional compliance areas to be aware of

Washington law includes a range of provisions intended to promote fair and equitable employment practices, which may include:

  • Restrictions on using an employee’s or family member’s immigration status as leverage during wage-related disputes.
  • Job posting transparency requirements in many situations, including disclosure of salary ranges.
  • Expectations related to non-discriminatory hiring, recruitment and employment practices.

Employers may wish to periodically review job postings, hiring materials, and internal policies to help ensure ongoing alignment, with evolving state requirements.

Bottom line

Washington maintains some of the nation’s more robust minimum wage and overtime standards, with continued updates affecting employer obligations in 2026.

Key areas for employers to be aware of include an increased state minimum wage ($17.13 per hour), higher salary thresholds for exempt classifications (approximately $80,000 annually), strengthened penalties related to child labor compliance, and expanded expectations for workplace postings and record-keeping practices.

Employers may find it beneficial to proactively review and update payroll systems, job classifications, record-keeping processes, and HR policies to help support compliance and reduce the risk of noncompliance as these requirements take effect.

Marketing Team

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