What are the laws governing severance pay?

In Washington, severance pay is governed by the Revised Code of Washington (RCW). This code specifies that employers must pay an employee a certain amount of wages when they are laid off or discharged from employment. The amount of severance pay an employer must pay depends on the employer’s size and the length of the employee’s service. Generally, employers with more than 15 employees must pay one week of wages for every year of service up to 15 years. Additionally, employers with fewer than 15 employees must pay one week of wages for every two years of service. It is important to note that Washington does not require employers to provide paid vacation or other leave benefits. The only exceptions to this rule exist for employers who are subject to collective bargaining agreements or contracts that include paid leave. Furthermore, the Washington State Department of Labor and Industries regulates the calculation of severance pay. This means that an employer must use the last full week of work as the base for calculating an employee’s severance pay. Employers must also include overtime wages, vacation pay, and other wages earned in the last full week of work when calculating severance pay. Finally, if an employer fails to provide an employee with their full severance pay, the employee can file a complaint with the Department of Labor and Industries or take the employer to court. This will ensure that the employee receives the full wages they are legally entitled to.

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