HB 1764
In CommitteeHouse
Labor standards
Concerning labor standards.
This status may be delayed. See Action History below for the latest updates.
How does a bill become law?
- Introduced: The bill is filed and assigned a number.
- Committee: A subject-matter committee holds hearings, takes public testimony, and decides whether to advance the bill.
- Floor Vote: The full chamber (House or Senate) debates and votes on the bill.
- Opposite Chamber: The bill repeats the committee and floor vote process in the other chamber.
- Governor: The Governor reviews the bill and decides whether to sign or veto it.
- Signed: The bill has been signed into law.
AI Analysis
This bill raises Washington’s minimum wage to $17.50/hour in 2026, with scheduled increases through 2032 and annual inflation adjustments thereafter. It adds paid vacation and bereavement leave requirements for most workers starting in 2027, extends similar paid leave benefits to ride-hail drivers, and strengthens enforcement tools—including stop-work orders and civil penalties—for labor violations. It also creates new pay and appeals protections for transportation network company drivers.
- Raises the state minimum wage to $17.50/hour on January 1, 2026, and sets a schedule increasing it annually until $25.00/hour by 2032, after which it will adjust annually with inflation using the CPI-W.
- Requires employers to provide paid vacation leave (2.3 hours per 40 hours worked, up to 40 hours carryover) and paid bereavement leave (5 days per year) starting January 1, 2027, with exemptions for unionized construction workers under qualifying collective bargaining agreements.
- Expands paid sick leave protections to include transportation network company drivers, who earn 1 hour of paid sick time per 40 hours of platform time, with compensation based on average hourly earnings.
- Grants the Department of Labor & Industries authority to issue stop-work orders for serious labor violations, with penalties up to $5,000 per day, and requires employers to pay employees for hours they would have worked during the stop-work period.
- Establishes new pay transparency and compensation standards for ride-hail drivers—including per-minute and per-mile minimums, tip protections, itemized trip receipts, and a $0.15 per-trip fee to fund a driver resource center for support and appeals.
Who is affected
- Hourly employees — Most hourly workers in Washington will see higher minimum wages that increase annually through 2032 and then adjust with inflation; they will also gain access to paid vacation and bereavement leave starting in 2027.
- Construction workers in unionized shops — Construction workers covered by union collective bargaining agreements may be exempt from new paid leave requirements if their agreements include equivalent or better leave provisions.
- Transportation network company drivers — Ride-hail drivers (e.g., Uber, Lyft) gain new pay standards (e.g., per-minute and per-mile minimums), paid sick and vacation time, and an appeals process for account deactivations, plus a $0.15 per-trip fee to support a driver resource center.
- Employers (especially small and medium-sized businesses) — Employers must comply with new wage, leave, and reporting requirements; may face stop-work orders and civil penalties for violations; and must provide regular pay transparency to workers.
- Department of Labor & Industries — The Department of Labor & Industries gains new enforcement tools—including stop-work orders and civil penalties—and must implement new rules and reporting requirements.
Pro/Con Analysis
Stronger case for benefits
Potential Benefits (5)
The $17.50 minimum wage in 2026 — rising to $25.00 by 2032 and then indexed to CPI-W — will lift earnings for an estimated 1.2 million Washington workers, especially those in food service, retail, and hospitality, reducing poverty and reliance on public assistance programs; the inflation indexing ensures long-term purchasing power, and tips/service charges are excluded from wage credits, ensuring full compensation.
FinancialPeopleRef: Sec. 2(1)Mandating paid vacation, bereavement, and sick leave for most workers — including ride-hail drivers — improves health outcomes by enabling preventive care, reducing presenteeism, and supporting mental health during grief or illness; paid leave also reduces the spread of infectious disease in workplaces and public spaces, especially during flu season or pandemics.
HealthcarePeopleRef: Sec. 7, Sec. 8, Sec. 14Requiring employers to pay employees for hours they would have worked during a stop-work order — and making that payment subject to RCW 49.48.082 (wage payment penalties) — ensures workers are made whole when violations shut down operations, reducing financial insecurity during enforcement actions.
Public SafetyPeopleRef: Sec. 3(2), Sec. 16(2)Establishing a just-cause appeals process for ride-hail drivers facing account deactivation — including representation by a driver-centered nonprofit, binding arbitration, and back-pay awards — strengthens due process rights for gig workers, who are otherwise subject to opaque algorithmic discipline with little recourse.
Rights & LibertiesPeopleRef: Sec. 10(15)(iv)(A)-(G)Mandating itemized trip receipts, weekly earnings summaries, and tip transparency for ride-hail drivers improves pay equity and reduces wage theft — especially for non-English speakers — and gives workers the data needed to verify compensation and report violations, supporting enforcement and informed bargaining.
Business & EmploymentPeopleRef: Sec. 10(7), Sec. 10(8), Sec. 10(9), Sec. 10(10)
Potential Concerns (5)
Raising the minimum wage to $17.50 by 2026 and indexing it to inflation through 2032 will increase labor costs for employers, especially small- and medium-sized businesses, potentially leading to reduced hiring, reduced hours, or price increases — but the wage gains will disproportionately benefit low-wage hourly workers, who are more likely to be women, people of color, and younger workers. The $25.00 floor by 2032 lifts incomes for workers earning near the current minimum, but the phased schedule means earlier gains are modest and may not offset rising costs of living in high-cost regions like Seattle-Tacoma.
FinancialPeopleRef: Sec. 2(1) & Sec. 10(3)(a)(i)-(ii)Mandating paid vacation (2.3 hrs/40 hrs worked), bereavement (5 days/year), and paid sick leave (1 hr/40 hrs worked for employees; same for drivers) increases employer labor costs — especially for employers with high turnover or many part-time workers — but the benefits accrue primarily to workers who can meet the 90-day eligibility threshold and work consistently enough to accrue meaningful leave. Hourly workers in service, retail, and hospitality sectors stand to gain the most, while gig workers gain new protections but may face lower net earnings if employers reduce trip availability or raise platform fees.
FinancialPeopleRef: Sec. 7(1), Sec. 8(1), Sec. 14(1)Granting the Department of Labor & Industries stop-work order authority with civil penalties up to $5,000/day for serious labor violations strengthens enforcement against wage theft and unsafe conditions, deterring bad actors and improving workplace compliance — but this tool is most effective against repeat or large-scale violators, while small employers may lack resources to navigate compliance and could face disproportionate disruption from a single violation.
Public SafetyPeopleRef: Sec. 3(5)(a), Sec. 16(5)(a)The $0.15 per-trip fee on ride-hail companies to fund a driver resource center is a pass-through from passenger fares, not a new cost to the state, but it may be partially absorbed by drivers through reduced net earnings if companies reduce base pay or increase driver fees — and the fee structure benefits the driver resource center, a nonprofit, but does not directly increase driver compensation beyond existing minimums.
Business & EmploymentPeopleRef: Sec. 12(1), Sec. 12(3)Allowing drivers to voluntarily deduct $X/trip to the driver resource center may help fund advocacy and support services, but the requirement that 100+ drivers authorize deductions before the option activates creates a high barrier — and since deductions reduce driver earnings below statutory minimums, most drivers will likely decline to participate, limiting the program’s reach.
Business & EmploymentLean peopleRef: Sec. 12(2)(a)
Who Is Most Affected
Hourly workers, especially those earning near the current minimum wage ($16.66 in 2025), will see significant income gains — particularly women, young workers, and people of color — but may face reduced hours if employers cut schedules to offset higher wage costs. The 90-day eligibility for paid leave may exclude very new hires and part-timers with inconsistent hours.
Ride-hail drivers gain unprecedented pay transparency, paid leave, and due process rights — including a $0.15/trip fee to fund a driver resource center — but may see net earnings squeezed if companies reduce base pay or pass more costs to drivers; the $0.15 fee is a pass-through, so most cost is borne by riders, not drivers.
Small and medium-sized employers face new administrative burdens and wage/leave costs — especially in labor-intensive sectors like retail, food service, and construction — but the phased schedule gives time to adjust; unionized construction workers are exempt if their CBA includes equivalent leave, reducing impact on that sector.
Large employers and corporate chains may absorb costs more easily due to scale and pricing power, and may benefit from reduced turnover and improved worker morale; however, they face higher exposure to stop-work penalties and class-wide enforcement actions.
The Department of Labor & Industries gains new enforcement tools and authority, increasing its capacity to protect workers — but may face resource constraints in monitoring compliance across all sectors, especially in rural areas or among gig-platform workers.