​Washington state has long been at the forefront of minimum wage legislation in the United States. Known for its progressive policies, the state has consistently adjusted its minimum wage to reflect economic conditions and the cost of living. This blog post will explore the history of Washington’s minimum wage law, its effects on businesses, and the upcoming changes in 2025.

Washington's minimum wage law is governed by the Washington Minimum Wage Act (MWA), which was first enacted in 1961. Over the years, the state has made several significant adjustments to ensure that wages keep pace with inflation and the cost of living. One of the most notable changes occurred in 1998 when voters approved Initiative 688, which tied the minimum wage to the Consumer Price Index (CPI). This initiative ensured that the minimum wage would increase annually based on inflation.

In recent years, Washington has consistently had one of the highest minimum wages in the country. For instance, in 2024, the state minimum wage was $16.28 per hour. Cities like Seattle, SeaTac, and Tukwila have even higher local minimum wages, reflecting the higher cost of living in these areas.

The impact of minimum wage increases on businesses has been a topic of much debate. On one hand, higher wages can lead to increased consumer spending, as workers have more disposable income. This can be beneficial for local economies and businesses that rely on consumer spending.

However, there are also challenges. Small businesses often struggle with the increased labor costs. Studies have shown that while some businesses can absorb these costs, others may need to reduce their workforce, cut hours, or increase prices to maintain profitability (2). For example, a study from the University of Washington found that the $15 minimum wage in Seattle led to a reduction in hours worked for low-wage employees, although their overall earnings increased.

Starting January 1, 2025, Washington’s minimum wage will increase to $16.66 per hour, a 2.35% increase from 2024 (3). This adjustment is based on the CPI, ensuring that wages keep pace with inflation. Additionally, several cities will have even higher minimum wages. For instance, Seattle’s minimum wage will rise to $20.76 per hour, and Tukwila’s will reach $21.10 per hour for large employers.

These changes will also affect the salary thresholds for exempt employees. For small employers (up to fifty employees), the minimum annual salary will be $69,305.60, while for large employers (more than fifty employees), it will be $77,968.80. These adjustments ensure that salaried employees are fairly compensated and not overworked without proper overtime pay.
​
Washington State’s approach to minimum wage reflects its commitment to ensuring fair wages for its workers. While the increases present challenges for some businesses, they also offer benefits such as increased consumer spending and reduced employee turnover. As we move into 2025, it will be crucial for businesses to adapt to these changes and for policymakers to continue monitoring the impacts to ensure a balanced approach that supports both workers and businesses.

Congratulations to Magnolia Studios on their ribbon cutting and grand opening ceremony on October 25! Magnolia Studios is mixed-use property with a coffee shop, flower shop boutique, studio warehouse, and professional offices. The beautiful space is located at 20 N. Benton St. in Downtown Kennewick.

Congratulations to Hayden Homes on the ribbon cutting of their new model home in Peach Tree Estates! The beautiful new house is located at 2202 Fire Time Loop in Richland.

Thanks to everyone who attended our monthly membership luncheon on Wednesday, October 23 at the Red Lion Hotel and Conference Center Pasco. Greg Cullen, Vice President of Energy Services and Development at Energy Northwest; David Reeploeg, Vice President for Federal Programs at the Tri-City Development Council (TRIDEC); and Sean O’Brien, Executive Director of the Energy Forward Alliance discussed regional and local energy challenges, as well as the many opportunities for the Tri-Cities to continue serving as the Pacific Northwest’s energy hub. A huge thanks to Tri-Cities Chaplaincy for sponsoring the luncheon!

Celebrating Excellence: Hanford Mission Integration Solutions and Pacific Northwest National Laboratory Shine at the Governor’s Employer Awards
The Washington State Employment Security Department’s Governor’s Employer Awards program is a prestigious event that recognizes the outstanding efforts of employers who have significantly contributed to improving employment opportunities for people with disabilities. This year, two notable organizations from Richland, Washington, have been honored: Hanford Mission Integration Solutions (HMIS) and Pacific Northwest National Laboratory (PNNL).

Hanford Mission Integration Solutions: Leading the Way in Private Sector Inclusion
Hanford Mission Integration Solutions received recognition in the Large Private Employer category. This recognition highlights HMIS’s commitment to creating an inclusive workplace that values diversity and provides equal opportunities for all employees. HMIS has implemented comprehensive programs and initiatives aimed at recruiting, hiring, and retaining individuals with disabilities.

Pacific Northwest National Laboratory: A Beacon of Nonprofit Excellence
Pacific Northwest National Laboratory received the award in the Large Nonprofit Employer category. PNNL’s dedication to inclusivity and accessibility is evident through their robust employment practices and support systems for employees with disabilities. By prioritizing diversity and inclusion, PNNL has set a benchmark for other nonprofit organizations.

The Impact of the Governor’s Employer Awards
The Governor’s Employer Awards program serves as a powerful platform to celebrate and promote the achievements of employers who are making a difference in the lives of people with disabilities. By recognizing the efforts of organizations like HMIS and PNNL, the program encourages other employers to adopt similar inclusive practices. This not only benefits individuals with disabilities but also enriches the workplace with diverse perspectives and talents.
​
Looking Ahead
As we celebrate the accomplishments of HMIS and PNNL, it is essential to continue advocating for inclusive employment practices. These awards remind us of the positive impact that inclusive workplaces can have on individuals, organizations, and the broader community.
Join us in congratulating Hanford Mission Integration Solutions and Pacific Northwest National Laboratory for their well-deserved recognition. Their achievements inspire us all to strive for a more inclusive and equitable workforce.

Congratulations to BestMed Urgent Care on their ribbon cutting and grand opening of their new Kennewick Clinic on Monday, October 21! The walk-in urgent care clinic aims to bridge the gap between hospital emergency rooms and scheduled visits with your primary care provider. Visit the beautiful new facility at 3601 Plaza Way, Ste. 110 near Bob's Burgers & Brew.

Chamber by-laws govern the process for the selection and election of the Board of Directors. In compliance with those by-laws, a Nominating Committee was appointed. The Nominating Committee assembled to select candidates to fill vacancies coming due on December 31 of this year. After having been nominated by the Nominating Committee and approved by the Board of Directors, the Chamber submits the following individuals to serve on the Chamber's Board of Directors:

RETURNING  1- year term
Amy Basche, HMIS
 
RETURNING 2-year term
Trish Herron, PNNL
 
RETURNING 3-year term
Mike Eutsey, Cascade Natural Gas
Megan Hughes, Barnard Griffin Winery
Michael Lemon, CLA
 
NEW 3-year term
Gina Donangelo Barnecut, Hayden Homes
Kathy Hibbs, Navarro
Jon Meyer, Benton PUD
Jon Patterson, Highstreet Insurance
Will Wang, HFG Trust 

Nominations by petition may be made by endorsement of ten (10) members in writing and presented to the Secretary by November 15. If no additional nominations are made, the new directors shall be deemed to be elected, and the Secretary will certify their election at the December Board Meeting.

The 2024 General Election is about three weeks away (November 5). ​Ballots should be hitting voter mailboxes by the end of this week. Each year, the Regional Chamber publishes the Vote for Business General Election Guide, in which we ask  candidates four questions relating to business and government policies.

This year, candidates responded to these four questions:

1. What background or experience qualifies you to understand and respond to the unique needs of the local business community?
2. What are three actions you would support to strengthen small businesses and entrepreneurship?
3. If elected, how will you use your position to influence regional prosperity?
4. What do you believe is the greatest economic challenge facing our region and what would be your approach to address it?

This year, we also conducted video interviews for some races. We teamed up with Apple Valley News and Nonstop Local News to moderate the videos. We were not able to feature all the races, but we invite you to check out the videos and the print guide here.

​As mentioned, we invited all the candidates to respond. Unfortunately, not everyone submitted their responses by the deadline.
​
It is important that you make an informed decision this election cycle and make sure you get your ballots back by November 5. 

​For the August 20, 2024, primary election in Washington state, there were 4,874,877 registered voters. However, only 1,994,096 people participated, resulting in a turnout of just 40.91%. This is a significant drop compared to the 2020 presidential election cycle, where over 54% of registered voters returned their ballots.

Franklin County had the second lowest voter turnout in the state, with only 32.01% of registered voters participating. Yakima County followed closely with a turnout of 33.61%. Adams County had the lowest turnout. In contrast, during the last presidential election, voter turnout was much higher at 84.14%, although Yakima and Franklin Counties still ranked at the bottom for voter participation.

Elections often include a variety of issues on the ballot, ranging from federal to state and local matters. Local elections can be particularly impactful, as they often involve decisions on tax rate increases, spending proposals, and additional regulations. Each vote in these elections can have a significant impact on the outcome.

Many registered voters feel disillusioned with the election process and believe their vote does not matter. However, while it might seem like one vote is insignificant, elections can be decided by very small margins. Every vote contributes to the overall outcome. Additionally, voting is a collective action; when many people think their vote does not matter and choose not to vote, it can significantly impact the results.

In Benton and Franklin counties, there were 128,708 and 44,999 registered voters, respectively. In Benton County, a swing of just 12,870 votes represents a 10% change. In Franklin County, 10% represents fewer than 4500 votes. Legislative districts in Central Washington consist of about 45,000-50,000 voters, making a 10% swing quite significant.
​
So, if you think your vote does not matter, think again. Make sure you return your ballots by November 5th and make your voice count.

Congratulations to Flynn Tri-Cities on the Ribbon Cutting and Grand Opening Ceremony for their new location in Pasco! The facility is located at 2060 N. Commercial Ave., Bldg. A, Ste. 102.