Washington State’s Legislature is increasingly relying on Private Rights of Action (PRAs) to shift the enforcement of labor laws from state agencies to individuals. This approach empowers employees to sue for violations, significantly raising the legal risks for employers. Several recent proposals highlight this growing trend:
- HB 1308 requires employers to grant employees access to their personnel files within 21 days of a request. Small retailers, particularly those without dedicated HR staff, may face challenges in complying, exposing them to potential lawsuits.
- HB 1524 mandates that employers provide panic buttons to isolated employees. Non-compliance could lead to legal action.
- HB 1402 restricts when employers can require a driver’s license for a job application. Employers who unknowingly fail to comply risk being sued.
The consequences of this shift are already apparent. For instance, the Pay Transparency Act, which requires salary disclosures in job postings, has resulted in over 200 lawsuits and an estimated $500 million in liability, with average settlements reaching around $2 million.
This trend is also influencing the legislative budget process, where PRAs are being used to reduce agency fiscal notes, thereby transferring enforcement responsibilities to the courts. Unlike previous regulations, these new mandates do not include funding for employer education or outreach, leaving employers to navigate the complex landscape on their own.
As more labor laws incorporate PRAs, employers must remain vigilant to avoid costly litigation. Proactive compliance is essential to mitigate the growing legal risks in Washington State.