Effective Jan.1, 2020 New Washington State Law
Effective January 1, 2020, all employers in Washington with one or more employees will be subject to new non-compete constraints. This law is unique in that no other law like this has been implemented with a salary threshold. The law states the non-compete is unenforceable when individuals earn under $100,000 for an annual salary and $250,000 for independent contractors at implementation. Other factors stated in the new law include:
- Employers must provide specifics of non-compete to applicants prior to offer acceptance
- Any changes to a non-compete after the individual begins employment will require independent consideration
- Typically, non-compete agreements cannot last for more than 18 months after separation unless “clear and convincing” data is provided by the employer to deem otherwise
- Moonlighting is allowed if safety and scheduling does not present an interference for the job or company and they meet the salary specifications
- Layoffs can void a non-compete if there is not specific compensation practices followed
You can read the new law provisions here.
Are you ready? Have questions? JB Consulting may be able to help. We work with our clients on a variety of topics including training and compliance. We also have referral partners for clients seeking legal advice and updates for non-compete agreements. Contact us for more information.