SB 5894 would expose employers to investigations and sanctions from two different agencies for the same alleged violation but fails to address situations where the two disagree on the outcome
State Director Patrick Connor reports from Olympia on the small business agenda for the legislative and political week ending February 9
Small Business Day
Sen. Mark Mullet will be the keynote speaker at NFIB’s Small Business Day at the Capitol on Tuesday, February 20, at the DoubleTree by Hilton. The hotel is located at 415 Capitol Way North, Olympia, Washington, 98501, near the Farmers Market. The registration link is now live.
Legislative Update
February 5 was the first fiscal cut-off. That deadline further whittled away at the number of bills still alive that NFIB is tracking. However, “dead” bills deemed “necessary to implement the budget” (NTIB) are exempt from most deadlines. It can be difficult to know for certain which bills may be NTIB since budget negotiations are done behind closed doors.
As a result of the cut-off, NFIB is now tracking 50 bills still moving through the process that could impact small businesses if enacted. Here are some of the bills still in play that are of interest to NFIB and its members:
- HB 2072, Antitrust penalties
This bill, seeking to replace the existing $900,000 cap on monetary penalties for antitrust violations with a three-times actual damages lid, passed the House, 59-37, February 8. Its companion, SB 5994, failed to receive a hearing in the Senate Law & Justice Committee. NFIB supports this Attorney General request bill.
- Business licensing
Companion bills requested by the Department of Revenue could both advance from their chamber of origin, but it appears the Senate version will most likely be sent to the governor’s desk. SB 5897 passed the Senate February 8. Meanwhile, HB 1894 is still in House Rules where it may remain. The bills would increase the size of the reserve account used for programming and other updates to the online Business Licensing Service. NFIB’s HB 2430, waiving handling and delinquency fees for businesses closed by government order due to a disaster or declared emergency, is also still in House Rules. We have until February 13 for the House to pass the bill. NFIB supports the bills.
- Employer political speech
The Senate passed SB 5778 February 7, on a nearly party-line vote. Republican Sen. Jeff Wilson joined majority Democrats in favor of the bill while Democrat Sen. Mark Mullet voted no, siding with Senate Republicans. The bill would prohibit employers from requiring workers to attend company meetings where management addresses unionization efforts, discusses new or proposed laws or regulations impacting the business, or where any political or religious matter is the meeting topic. Its companion, HB 1940, passed the House Labor Committee and was sent to the Rules Committee, where it is likely to remain. NFIB opposes the bill.
- SB 5793, Paid sick leave
The Senate narrowed the bill from “sick leave for snow days” to allowing sick leave to be used when a child’s school or care facility is closed due to a declared emergency. On February 7, the bill passed the Senate, 28-21, with Sen. Mullet joining Senate Republicans to oppose the bill. The House has already scheduled the bill for a public hearing and executive action next week. The companion measure, HB 1991, is eligible for a floor vote in the House. NFIB remains opposed to both bills.
- Personnel records
NFIB has successfully opposed bills on this topic for the past few years. The prognosis for the current batch is not looking good for the bills’ sponsors. Both of Sen. Patty Kuderer’s senate bills, 5061 (2023) and 5924 (2024) have been bottled up in the Senate Ways & Means Committee. Similarly, the House companion to SB 5061, HB 1320 (2023), passed the House last year, but was returned to the House Rules Committee at the end of session, because the Senate Ways & Means Committee declined to advance the bill. NFIB has two primary objections to the bills: first, the sponsors refuse to allow employers to redact names or personal information of third parties (such as a coworker or customer who complains about an employee) from the records provided to a worker, potentially inciting retaliation from that worker; and, second, the bills would allow a private right of action as the only remedy for aggrieved workers, so workers would be forced to sue their employer rather than pursue a low or no cost administrative remedy. NFIB opposes the bill.
- HB 1905, adding all protected classes to the Equal Pay Act
Five House Republicans joined majority Democrats to pass this bill, 63-34, including Reps. Dent, Griffey, Rude, Sandlin, and Ybarra. The Senate companion, SB 5894, is still in the Senate Rules Committee. NFIB opposes the bill since it would expose employers to investigations and sanctions from two different agencies for the same alleged violation. The bill fails to address situations where the two agencies may disagree on the outcome.
- HB 2266, Sanitary conditions for construction workers who menstruate or express milk
The House version of this bill is eligible for a floor vote. The Senate companion, SB 6107, received a public hearing, but no further action, in the Senate Labor & Commerce Committee. NFIB remains opposed to HB 2266 despite modest pending floor amendments Labor appears willing to accept. Basically, employers would be required to provide hygiene products to workers, a private, lockable bathroom or lactation station, and chilled storage for breastmilk. This would create numerous challenges for employers, particularly on remote, undeveloped jobsites, and threatens to allow complaints to be filed over the type, size, or quality of products employers would be forced to provide. NIFB opposes the bill.
- HB 1893, SB 5777, Unemployment benefits for striking workers
Both bills are eligible for floor votes in their respective chambers. As previously reported, the bills would have all employers subsidize unemployment benefits for striking workers, relieving or at least heavily reducing union obligations to fund strikes from their own war chests. The Employment Security Department has provided data showing a strike where workers earn $80,000 or more (think Boeing or Amazon) could cost as much as $500 million. That would be a huge hit to our $3.7 billion unemployment insurance trust fund, as of the November report, likely triggering a tax increase on all employers in the state. An action alert for the Senate is live; an alert for the House is forthcoming. NFIB opposes both bills.
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