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WashingtonSB 55252025-2026 Regular SessionSenateWALLET

Concerning employment loss due to businesses closing or mass layoffs.

Sponsored By: Annette Cleveland (Democratic)

Signed by Governor

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Bill Overview

Analyzed Economic Effects

4 provisions identified: 3 benefits, 1 costs, 0 mixed.

Workers get pay for missing layoff notice

Since July 27, 2025, workers who lose employment without required notice can recover back pay for up to 60 violation days. Pay uses the higher of their average regular pay over the last three years or their final regular pay rate. Employers also owe lost benefits, including medical expenses that the employee’s benefit plan would have covered. Wages paid, unconditional employer payments, federal layoff-notice payments, and employer benefit contributions reduce the amount owed. Workers, their bargaining representative, or the Employment Security Department can sue within three years of the alleged violation. Winning plaintiffs can receive reasonable attorney fees. Courts can reduce penalties when employers reasonably investigated and had reasonable grounds to believe they complied. The law does not let courts block a closing or mass layoff.

Workers on paid leave gain layoff protection

Since July 27, 2025, employers generally cannot include workers currently on Washington paid family or medical leave in mass-layoff orders. Exceptions apply for unforeseeable business circumstances, natural disasters, and specified construction-project circumstances. The exception for efforts to obtain capital or business does not remove this paid-leave protection.

Workers get advance notice of major layoffs

Since July 27, 2025, covered Washington employers must give 60 days’ written notice before qualifying closings or mass layoffs. Notice goes to affected workers or their bargaining representative and the state Employment Security Department. Employers must have at least 50 Washington employees, not counting part-time workers; state and local governments are excluded. A closing must cause at least 50 job losses at one site or operating unit. A mass layoff must cause at least 50 job losses within any 30-day period, excluding part-time workers. Part-time workers still receive protections once the law applies, subject to collective bargaining agreements. Part-time means working under 20 hours weekly or employed for fewer than six of the previous 12 months. Collective bargaining agreements can override that definition. Job loss includes layoffs lasting over six months and hours cut by more than 50% each month for six months. Firings for cause, voluntary departures, and retirement do not count. Neither do qualifying transfers within reasonable commuting distance with no more than a six-month employment gap. Notices must identify the site, company contact, affected jobs and workers with addresses, and the expected schedule. They must also explain whether the action is permanent, involves relocation or outsourcing, or is temporary for over or under three months. Employers must update notices when the action extends beyond the original schedule. Exceptions cover capital or business efforts that notice would jeopardize, unforeseeable events beyond employer control, natural disasters, and specified construction projects. Employers must document exceptions and resume notice when an exception ends.

Employers face penalties for missing layoff notice

Since July 27, 2025, employers missing required notice to Washington’s Employment Security Department face penalties up to $500 per violation day. The penalty does not apply when employers pay all amounts owed to workers within three weeks, or 21 days. That deadline runs from ordering the mass layoff, relocation, or termination. Federal layoff-notice penalties count toward the state penalty. State penalty money goes to the general fund, not directly to workers.

Sponsors & Cosponsors

Sponsor

  • Annette Cleveland

    Democratic • Senate

Cosponsors

  • Bob Hasegawa

    Democratic • Senate

  • Javier Valdez

    Democratic • Senate

  • Manka Dhingra

    Democratic • Senate

  • Marcus Riccelli

    Democratic • Senate

  • Rebecca Saldaña

    Democratic • Senate

  • Steve Conway

    Democratic • Senate

  • T'wina Nobles

    Democratic • Senate

Roll Call Votes

All Roll Calls

Yes: 118 • No: 76

Senate vote • 4/22/2025

Final Passage as Amended by the House

Yes: 29 • No: 19

House vote • 4/9/2025

Final Passage as Amended by the House

Yes: 59 • No: 38 • Other: 1

Senate vote • 3/4/2025

3rd Reading & Final Passage

Yes: 30 • No: 19

Actions Timeline

  1. Effective date 7/27/2025.

    5/13/2025Senate

  2. Chapter 277, 2025 Laws.

    5/13/2025Senate

  3. Governor signed.

    5/13/2025legislature

  4. Delivered to Governor.

    4/27/2025legislature

  5. Speaker signed.

    4/26/2025legislature

  6. President signed.

    4/25/2025legislature

  7. Passed final passage; yeas, 29; nays, 19; absent, 0; excused, 0.

    4/22/2025Senate

  8. Senate concurred in House amendments.

    4/22/2025House

  9. Third reading, passed; yeas, 59; nays, 38; absent, 0; excused, 1.

    4/9/2025Senate

  10. Rules suspended. Placed on Third Reading.

    4/9/2025Senate

  11. Committee amendment(s) adopted with no other amendments.

    4/9/2025Senate

  12. Rules Committee relieved of further consideration. Placed on second reading.

    4/8/2025Senate

  13. Referred to Rules 2 Review.

    4/1/2025Senate

  14. LAWS - Executive action taken by committee.

    3/28/2025Senate

  15. Minority; do not pass.

    3/28/2025Senate

  16. LAWS - Majority; do pass with amendment(s).

    3/28/2025Senate

  17. First reading, referred to Labor & Workplace Standards.

    3/6/2025Senate

  18. Third reading, passed; yeas, 30; nays, 19; absent, 0; excused, 0.

    3/4/2025Senate

  19. Rules suspended. Placed on Third Reading.

    3/4/2025Senate

  20. Floor amendment(s) adopted.

    3/4/2025Senate

  21. 1st substitute bill substituted.

    3/4/2025Senate

  22. Placed on second reading by Rules Committee.

    2/26/2025Senate

  23. Passed to Rules Committee for second reading.

    2/18/2025Senate

  24. Minority; do not pass.

    2/14/2025Senate

  25. LC - Majority; 1st substitute bill be substituted, do pass.

    2/14/2025Senate

Bill Text

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