Washington State Exempt Salary Threshold 2025 refers to the minimum salary that an employer must pay an employee in order to exempt them from overtime pay requirements under the Fair Labor Standards Act (FLSA). The threshold is set by the Washington State Department of Labor & Industries and is adjusted periodically to keep pace with inflation. Effective January 1, 2023, the exempt salary threshold in Washington state is $1,340 per week, or $70,000 per year. This means that any employee who earns less than $1,340 per week must be paid overtime for any hours worked over 40 in a week. For employees who are exempt from overtime pay, there is no limit to the number of hours they can be required to work.The exempt salary threshold is important because it helps to ensure that employees are fairly compensated for their work. It also helps to prevent employers from exploiting employees by requiring them to work long hours without overtime pay.
The exempt salary threshold has been a controversial topic in Washington state in recent years. Some employers have argued that the threshold is too high and that it makes it difficult to attract and retain qualified employees. Others have argued that the threshold is too low and that it does not provide adequate protection for employees.In 2021, the Washington State Legislature passed a bill that would have raised the exempt salary threshold to $1,500 per week, or $78,000 per year. However, Governor Jay Inslee vetoed the bill, arguing that it would have placed an undue burden on businesses.The exempt salary threshold is likely to remain a topic of debate in Washington state in the years to come. As the cost of living continues to rise, it is likely that there will be increasing pressure to raise the threshold. However, it is also important to consider the impact that a higher threshold would have on businesses.