Washington Governor Ferguson Signs Key Employment Bills Into Law

Quick Hits

• Washington State Governor Ferguson recently signed a wide range of labor and employment legislation into law, including bills that address reductions in force, pregnancy accommodations, noncompete agreements, traditional labor relations, behavioral health in the construction industry, and wage and hour claims.
• HB 1155, which bans noncompetition agreements with employees and independent contractors, will take effect on June 30, 2026; the other laws will take effect on June 11, 2026.

These bills were signed by the governor in recent weeks:

Separation of employment

• SB 6106 amends the Washington WARN law (called the STABLE Act) to remove “any Indian tribe” from the definition of “employer.” It also limits the disclosure of the names and addresses of employees holding affected jobs.
• HB 1155 bans noncompetition agreements with employees and independent contractors, while expanding what qualifies as such.
• SB 5874 modifies penalties for reporting errors regarding unemployment compensation. It also amends requirements for reporting employee information, including Social Security numbers and standard occupational classifications.
• HB 2264 allows a person to receive unemployment benefits after voluntarily being part of an employer’s reduction in force.

Accommodations and general employee rights

• SB 6014 confirms that employers may not require a certification from a pregnant employee’s healthcare provider for the accommodation of a limit on lifting over seventeen pounds. It also protects records relating to pregnancy accommodations from disclosure through public records requests.
• HB 2303 prohibits employers from requiring, coercing, or requesting employees to implant a microchip and from using subdermal technology for management or surveillance. Employees alleging violations of the law may bring a civil lawsuit for injunctive relief, actual damages, punitive damages, and attorneys’ fees.
• SB 5847 requires employers to notify workers injured on the job that they have the right to choose a medical provider of their choice when seeking workers’ compensation.
• HB 2105 stipulates that employers have five business days to notify employees if a federal agency seeks an inspection of an employee’s I-9 authorization form and related work records.

Wages

• HB 2479 creates the Wage Recovery Program and Wage Recovery Account to allow unpaid, low-wage workers to receive disbursements if certain conditions are met. It gives the Washington Department of Labor and Industries (L&I) discretion to investigate complaints under the Wage Payment Act. It also increases the minimum civil penalty amount and removes the maximum cap for willful violations. Penalties may be assessed for repeat willful violators and willful violators that have previously settled or resolved prior wage complaints.
• SB 6058 grants the L&I more discretion in how it investigates wage complaints. It permits civil penalties for willful violations.
• SB 6039 clarifies that required notices, orders, citations, determinations, and similar communications from the L&I may be provided using electronic means. In certain contexts, the method must allow delivery to be tracked or confirmed.

Labor rules

• HB 2471 authorizes the state to regulate private-sector labor disputes if the National Labor Relations Act ceases to preempt state regulation or if the National Labor Relations Board does not assert jurisdiction over private-sector employment. The Public Employment Relations Commission may oversee union elections, mediate disputes, and address unfair labor practices.
• HB 1128 establishes a childcare workforce standards board.
• HB 2355 establishes labor protections for domestic workers, including mandating minimum wage and overtime, advanced termination notice, and protections against harassment, discrimination, and personal document confiscation.

Construction

• HB 2107 requires the L&I to make a good-faith effort to notify an employer within ten working days if an onsite inspection identifies a hazard at any construction worksite.
• HB 2492 requires state-registered apprenticeship programs in the building and construction trades to provide apprentices with two hours of behavioral health and wellness training. It allows electricians and plumbers to count up to four hours of behavioral health and wellness training toward continuing education requirements for certification renewals.

Income tax

• SB 6346 provides various forms of tax relief paid for through a new 9.9 percent state tax on an individual or household’s Washington taxable income over $1 million, beginning in 2028, with the first payments being due in April 2029, unless litigation, referendum, or repeal initiatives are successful in challenging the law.

Next Steps

These laws will take effect on June 11, 2026, except for the law on noncompete agreements, which will take effect on June 30, 2026.

The state agencies do not release their interpretations or explanatory comments on every new law, and any such administrative guidance is often not released until after new laws take effect.

Ogletree Deakins’ Seattle office will continue to monitor developments and will post updates on the Construction, Employment Law, Healthcare, Reductions in Force, Traditional Labor Relations, Unfair Competition and Trade Secrets, Wage and Hour, Washington, and Workplace Safety and Health blogs as additional information becomes available.

Information on Terminations and RIFs and Pregnancy, Childbirth, and Lactation is available on the Ogletree Deakins Client Portal. These recent updates are referenced on the Washington jurisdiction page and in the Washington WARN and Washington Pregnancy, Childbirth, and Lactation law summaries. Snapshots and updates are available for all registered client users. Detailed information and relevant documents (including updated Washington WARN notices) are available for Premium and Advanced subscribers. For more information on the Client Portal or a Client Portal subscription, please reach out to clientportal@ogletree.com.

Sherry L. Talton is a shareholder in Ogletree Deakins’ Seattle office.

This article was co-authored by Leah J. Shepherd, who is a writer in Ogletree Deakins’ Washington, D.C., office.

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