Washington State Announces Minimum Wage Rate

?In 2023, the minimum wage rate in Washington State will increase to $15.74 per hour for employees 16 years of age and older, the Washington State Department of Labor & Industries announced on Sept. 30. This represents an increase of $1.25 per hour, or an 8.66 percent increase year over year. Employees aged 14 to 15 years old must earn at least $13.38 per hour in 2023.

Given the steep increase in the minimum wage, the state’s salary requirements for exempt employees are also increasing significantly. In 2023, small employers (with 50 or fewer employees in Washington) must pay exempt employees 1.75 times the minimum wage, meaning that exempt employees of small employers must earn at least $1,101.80 per week (or $57,293.60 per year) to meet the minimum salary requirement to be exempt from overtime pay.

Large employers (with 51 or more employees in Washington) must pay exempt employees at least two times the minimum wage to meet the minimum salary requirements. In 2023, large employers must pay exempt employees at least $1,259.20 per week (or $65,478.40 per year) to meet the state’s minimum salary requirement to be exempt from overtime pay.

Exempt computer professionals who are paid on an hourly basis must earn at least $55.09 per hour, which is 3.5 times the minimum wage.

Adam T. Pankratz, Brenda L. Bannon and Kathryn P. Fletcher are attorneys with Ogletree Deakins in Seattle. © 2022. All rights reserved. Reprinted with permission.

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