Starting January 1, Washington 2023 Minimum Wage and Salary, Job Listings and PFML Will Change
Washington 2023 Minimum Wage and Minimum Salary
The State of Washington 2023 minimum wage is going up to $15.74 an hour starting January 1, 2023. The Department of Labor & Industries ties the increase each year to the government’s cost of living allowance. This year’s jump – 7.5 percent – reflects the inflation that plagued the US in 2022.
As well, the minimum salary rate is rising. Certain workers – like executive, administrative, professional or computer workers – must earn a minimum salary to be exempt from overtime. Overtime pay for wage workers is 1.5 times their regular pay for all hours over 40 per week. For 2023, an exempt worker’s salary must be at least 1.75 times the minimum wage ($1,101.80 a week or $57,293.60 a year) for companies with 50 or fewer employees. For companies with 51 or more employees, the salary threshold is double the minimum wage ($1,259.20 a week or $65,478.40 a year).
The state is phasing in the multiplier approach to minimum salaries, with a target of reaching 2.5 times the minimum wage in 2028. After that, increases will link to the Consumer Price Index. The new policy was forged following policy meetings and several public hearings beginning in 2018.
Job Listings Requirement
Starting January 1, 2023, job postings for companies with 15 or more employees will change. A posting must include the salary range or pay scale of the job. As well, the ad must include a general description of all benefits and other compensation for the position.
Paid Family Medical Leave (PFML) Rate
The premium rate for Paid Family Medical Leave (PFML) increases to 0.8 percent starting January1, 2023. The premium is charged against each employee’s gross wages, not including tips.
Another new requirement for 2023: The state requires employers with 50 or more employees to pay 27.24 percent of the premium. Employees pay 72.76 percent (whether or not their employer pays a share).
WA Cares Starts in July
Originally slated to begin in January of 2022, the WA Cares will begin collecting a portion of employee wages on July 1, 2023. You can learn more about the long-term care program here.
Links
L&I has a poster for employees with information about the Washington 2023 minimum wage.
Lastly, you can learn more about our services here!
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