Washington State has enacted legislation (Senate Bill 5284), which will eliminate subminimum wage certificates for individuals with disabilities. Senate Bill 5284 takes effect on July 25, 2021.
Background:
Washington State currently allows employers to apply to pay workers with disabilities less than the state minimum wage, also known as a subminimum wage. If the Washington Department of Labor and Industry (DLI) approves the request, they will issue the employer a certificate allowing the subminimum wage for that individual.
Senate Bill 5284:
After July 31, 2023, the DLI will no longer issue subminimum wage certificates to employers who wish to pay individuals with disabilities a subminimum wage. Certificates that have not expired as of July 31, 2023 will remain valid until their expiration date.
For certificates that are valid as of July 25, 2021, the DLI may grant an employer's request to extend the duration of the certificate up to one year. Employers will receive written notice from the DLI 90 days before the expiration of the special certificates that states:
- The certificate expiration date;
- The employer's option to extend the certificate's expiration, provided the employer meets all requirements; and
- Upon request, the contact information for the Department of Social and Health Services and a statement that provides the services available to the individual with disabilities.
Compliance Recommendations:
Employers in the state of Washington should review their pay policies and practices to ensure compliance with the law. Please contact your dedicated service professional with any questions.