Hiring employees in Washington: the 2026 compliance checklist for employers and recruiters

As of October 2026, an employer hiring in Washington State has to hold a state business license once it plans to hire within 90 days, buy workers' compensation from the Department of Labor and Industries (private coverage is not allowed), report wages and premiums each quarter for Paid Family and Medical Leave and the WA Cares Fund, give each new hire the paid sick leave notice, and report the hire within 20 days. Employers with 15 or more employees must post pay ranges and benefits, and every employer must hold criminal history questions until after a conditional offer, limit credit checks to job-related reasons, skip pay history questions, and announce any interview recording, because Washington requires all-party consent. There is no state income tax withholding form.

This page is the Washington hub: one table with every item and its official source, then a short section on each. Where we already have a full guide to an item, the section summarizes it and links there.

The Washington hiring checklist at a glance

What must be in place before the first Washington hire?

A business license, workers' compensation and the payroll premium programs. The Department of Revenue says to register and get a business license if, among other triggers, "you plan to hire employees within the next 90 days"; see Apply for a business license. Workers' compensation is different from most states: Labor and Industries says "Washington State does not allow private workers' compensation coverage. You must purchase your coverage from L&I or be a certified self-insured employer." Unemployment insurance taxes are paid to the Employment Security Department.

Two state premium programs ride on payroll. The Paid Family and Medical Leave program says "employers of every size are required to collect premiums and submit reports to the state each quarter" and to notify employees about the program, and the WA Cares Fund premium is "0.58% of an employee's gross wages," reported on the same quarterly report. The federal layer (an EIN, Form W-4 and Form I-9 by the third business day) applies on top.

Does a staffing or recruiting agency need a Washington license?

Some do. The Employment Agency Act, RCW 19.31, administered by the Department of Licensing, makes running an unlicensed employment agency a misdemeanor, but names temporary service contractors as exempt, which puts the licensing burden mainly on agencies that charge job seekers for direct placement or career services. Our Washington staffing agency license guide covers fees, the bond and candidate fee caps. Staffing and placement agencies are also covered by the Fair Chance Act.

What must a Washington job posting include, and can you ask about pay history?

A range and a benefits summary, once you have 15 or more employees. RCW 49.58.110 applies to employers with 15 or more employees counted nationally, as long as at least one is in Washington, for any posting a Washington-based person could fill; since a 2025 amendment, a single fixed wage may be posted when that is all that is offered. Our Washington pay transparency guide covers the cure period and damages.

Pay history is off limits at any size. RCW 49.58.100 bars seeking an applicant's wage or salary history from the applicant or a current or former employer, and requiring past pay to meet a minimum or maximum. Pay may be confirmed only if the applicant volunteers it, or after an offer with compensation has been made. Statutory damages start at $5,000; see our Washington salary history ban page.

When can you ask about criminal history or run a credit check?

After a conditional offer. The Fair Chance Act, RCW 49.94, bars employers, including temporary staffing and placement agencies, from asking about, running a background check on or otherwise obtaining an applicant's criminal record until they have found the person otherwise qualified and made a conditional offer. Amendments passed in 2025 apply to employers with 15 or more employees from July 1, 2026 and to smaller employers from January 1, 2027: before rejecting someone over an adult conviction, the employer needs a documented legitimate business reason, must give notice, hold the job open at least two business days and then issue a written decision. Our Washington ban-the-box guide has the full sequence.

Credit checks are limited too. RCW 19.182.020 requires a clear written disclosure, or the applicant's authorization, before a consumer report is obtained, and bars using information that bears on creditworthiness unless it is "substantially job related and the employer's reasons for the use of such information are disclosed to the consumer in writing," or required by law. Before an adverse action, the applicant gets the reporting agency's contact details, a description of their rights and "a reasonable opportunity to respond." See our credit check laws guide.

Can you record or transcribe a job interview in Washington?

Only with everyone's consent, which an announcement can supply. RCW 9.73.030 requires the consent of all participants to record a private call or conversation, but treats consent as obtained when one party announces to everyone, "in any reasonably effective manner," that the conversation is about to be recorded, provided the announcement is itself recorded. So the first words of a recorded or transcribed interview should be the announcement. Our Washington recording consent guide has the wording and the penalties, and recording calls across state lines covers candidates elsewhere.

Does Washington regulate AI in hiring?

Not with a statute as of October 2026. Two 2026 bills on employers' use of AI and electronic monitoring tools, HB 1672 and HB 2144, show a current status of House Appropriations on the Legislature's bill pages, which means they were not enacted. Federal and Washington anti-discrimination law still reach the results of an AI screen; see our state-by-state AI hiring summary.

Can you drug test applicants in Washington?

Yes, with a cannabis limit. Since January 1, 2024, RCW 49.44.240 has made it unlawful to discriminate in initial hiring based on "the person's use of cannabis off the job and away from the workplace" or on an employer-required test that found only "nonpsychoactive cannabis metabolites." Employers may still use "scientifically valid drug screening" that does not screen for those metabolites, and the section does not apply to jobs needing a federal background investigation or security clearance, law enforcement, fire, first responder and corrections roles, airline and aerospace jobs, and safety-sensitive positions where impairment risks death, which the employer must identify before the person applies. See our drug testing laws guide.

Does Washington require E-Verify?

No. Washington has no statute requiring or restricting E-Verify, so a private employer without a federal or local government contract decides for itself. Federal contracts with the FAR E-Verify clause require it, and some Washington cities and counties have required it of their own contractors. See E-Verify requirements in Washington.

Which state withholding form does a new hire complete?

None. The Department of Revenue says "Washington does not currently have an individual income tax." It adds that a new 9.9% tax on individuals and joint filers with adjusted gross income over $1 million, created by the 2026 Legislature, takes effect January 1, 2028, with first returns due in April 2029. New hires complete the federal W-4 only; the payroll deductions to set up are the Paid Family and Medical Leave and WA Cares premiums.

Which notices must a new Washington employee get at hire?

The paid sick leave notice. WAC 296-128-755 requires employers to tell each employee, in written or electronic form, of their entitlement to paid sick leave, the accrual rate, the authorized uses, any PTO program used to meet the law and the ban on retaliation, and for anyone hired since 2018, "no later than the commencement of their employment." The Paid Leave program also requires employers to notify employees about it. If an offer includes a non-compete, check it against RCW 49.62: our Washington non-compete guide covers the $126,858.83 employee threshold for 2026 and the ban that takes effect June 30, 2027.

How do you report a new hire in Washington?

Report to the Washington State Support Registry, part of the Department of Social and Health Services' Division of Child Support. Under RCW 26.23.040, employers report anyone who resides or works in Washington and is newly hired, or rehired after at least 60 consecutive days away, "within twenty days of the hiring, rehiring, or return to work," or in two monthly electronic transmissions 12 to 16 days apart. The report includes the employee's name, address, Social Security number and date of birth, and the employer's name, address and federal identification number. The penalty for failing to report is $25 per month per employee, or $500 where employer and employee conspired not to report.

The Washington hiring steps in order

1. Before the first hire: get the business license, open the L&I workers' compensation account, and set up Paid Leave and WA Cares reporting. Agencies that charge candidates get an employment agency license.
2. Posting: include the wage scale or range and benefits at 15 or more employees.
3. Screening: no pay history and no criminal history before a conditional offer; no credit information unless job related with written reasons.
4. Interview: open every recorded or transcribed interview with an announcement that is itself captured.
5. Conditional offer: background check under the Fair Chance Act and the FCRA; any drug test that does not rely on nonpsychoactive cannabis metabolites.
6. First day: Form I-9 and W-4, the paid sick leave notice, Paid Leave information; check any non-compete.
7. Within 20 days: report the hire to the State Support Registry.

Hiring in more than one state? The same checklist is available for Georgia, North Carolina, Michigan, New Jersey, Virginia and Arizona.