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Washington State Announces New Compensation Levels for 2025: Minimum Wage and Salary Exemptions Unveiled

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Washington State has announced its new minimum wage, exempt salary level, and other compensation levels for 2025. All of the following will be in effect as of January 1, 2025:

  • Washington State minimum wage: $16.66 per hour.
    • Note: We are still waiting for announcements on various cities for their 2025 minimum wage levels.
  • To be exempt from overtime and other requirements, an employee must meet a duties test and generally be paid a salary of at least the applicable level:


        
    • Computer professionals can be paid either the above salary level or $58.31 per hour and be exempt from overtime pay.
    • There are some other exceptions to the salary rule, but they are not common. An employer who believes either the Computer Professional exemption or other exceptions may apply should consult with an attorney to be certain.
  • For an enforceable noncompetition provision, in 2025, an employee must be paid an annualized total compensation of at least $123,394.17. An independent contractor must receive at least $308,485.43 in annualized compensation from the entity seeking to enforce a noncompetition provision.

The legal issues impacting this topic are and will continue to be ever-changing (Employment Law in Motion!), and since publication of this blog post, new or additional information not referenced in this blog post may be available.

This article is provided for informational purposes only—it does not constitute legal advice and does not create an attorney-client relationship between the firm and the reader. Readers should consult legal counsel before taking action relating to the subject matter of this article.

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