Washington’s noncompetition law, RCW 49.62, took effect on January 1, 2020 (click the link below for details). Under the law, the Washington Department of Labor and Industries is required to adjust annually for inflation the dollar amounts of annual earnings of an employee and independent contractor. These amounts are the thresholds to evaluate the applicability of the noncompetition covenants on workers.
If employers impose noncompetition covenants on their employees or independent contractors, in 2020, their earnings had to be more than $100,000 and $250,000, respectively. In 2021, the amounts will increase to $101,390 for employees and $253,475 for independent contractors (click here).
Employers may want to review the earnings of their employees and/or independent contractors who are under noncompetition obligations in light of the thresholds for 2021.
DISCLAIMER: The information on this website, including this webpage, is provided for informational purposes only and should not be construed as legal advice. Use of, and access to, this website does not create an attorney-client relationship between our firm and the user. Our firm has made reasonable efforts to ensure the accuracy and adequacy, etc. of the contents of this website; however, we do not warrant or guarantee the information on this website in any respect. Our firm will not be liable or responsible for any damages, losses, and/or injuries arising out of or resulting from your use of, or access to, this website. The contents or URL of this website may be changed or deleted at any time without notice. This disclaimer on this webpage may be changed at any time without notice.