Two Separate Programs
Washington has two distinct paid leave programs that employers must understand: Paid Family & Medical Leave (PFML), which is a state-run insurance program, and Paid Sick Leave, which is an employer-provided accrued benefit. They serve different purposes and have different rules.
This overview covers employer obligations under both programs.
Paid Family & Medical Leave (PFML)
State-administered insurance program since 2020
Washington's PFML program provides partial wage replacement for employees who need extended time away from work for qualifying reasons. It's funded through payroll premiums and administered by the Employment Security Department (ESD).
Family leave: Care for a family member with serious health condition, bonding with new child (birth, adoption, foster), military family events
PFML Premium Obligations
PFML is funded through payroll premiums shared between employers and employees:
- Total premium rate: 0.92% of wages (2025 rate, adjusted annually)
- Employee share: 71.52% of the total premium
- Employer share: 28.48% of the total premium
- Wage base: Premiums apply to wages up to the Social Security wage base ($176,100 in 2025)
Small employers (fewer than 50 employees) are not required to pay the employer portion, but employees still participate in the program and their share must be collected and remitted.
Voluntary Plans
Employers can opt out of the state program by establishing an approved voluntary plan that provides equal or better benefits. This can offer more flexibility but requires ESD approval and ongoing compliance. Most small to mid-size employers find the state program simpler.
Job Protection Under PFML
As of January 1, 2026, PFML job protection expanded under a phased-in approach. Employers with 25 or more employees must now provide job protection—meaning the employee returns to the same or equivalent position—for employees who have worked at least 180 days before taking leave. Smaller employers don't have this requirement, but should be aware that terminating someone on PFML leave could still raise retaliation concerns.
Washington Paid Sick Leave
Employer-provided accrued benefit since 2018
Unlike PFML, Paid Sick Leave is provided directly by employers for shorter-term absences. It's not a state insurance program—it's an accrued benefit that employers track and provide.
Paid Sick Leave Employer Rules
- No payout at termination: Unlike vacation, employers don't have to pay out unused sick leave when employment ends
- Reinstatement: If an employee is rehired within 12 months, unused sick leave must be reinstated
- Documentation limits: Employers can require verification only for absences exceeding 3 consecutive days
- Notice: Employees must provide notice when absences are foreseeable
- Balance notification: Employees must be informed of their available sick leave balance at least monthly (on pay stubs or through an accessible system)
- Retaliation prohibited: Employers cannot retaliate against employees for using sick leave
PTO Banks and Sick Leave
A combined PTO bank can satisfy Washington's sick leave requirements—but only if the PTO meets all the minimum requirements for accrual, permitted uses, and carryover. If you want different rules for "vacation" time (like payout at termination or use-it-or-lose-it provisions), consider tracking sick-leave-compliant hours separately from vacation hours within your PTO system.
How These Programs Interact with FMLA
The federal Family and Medical Leave Act (FMLA) provides unpaid, job-protected leave for qualifying employees. Here's how it overlaps with Washington's programs:
| Feature | FMLA | Washington PFML |
|---|---|---|
| Employer Size | 50+ employees within 75 miles | All employers participate |
| Employee Eligibility | 12 months employed, 1,250 hours worked | 820 hours worked in Washington |
| Leave Duration | 12 weeks per year | 12-18 weeks per year (depending on circumstances) |
| Pay | Unpaid | Partial wage replacement (up to 90%) |
| Job Protection | Yes (all covered employers) | Yes (employers with 25+ employees, effective 2026) |
| Qualifying Events | Own health, family care, bonding, military | Similar, with some differences in family definitions |
When an employee qualifies for both FMLA and PFML, the leaves can run concurrently—meaning the same absence counts against both entitlements. Under the 2026 rules, if you want to count unpaid FMLA time toward PFML job-protection limits, you must provide written notice to the employee within 5 business days of learning about the leave and provide monthly status updates. This requires careful tracking and documentation.
Washington PFML has a broader definition of "family member" than FMLA, including grandparents, grandchildren, siblings, and individuals who have a family-like relationship. An employee might qualify for PFML leave to care for a grandparent but not FMLA leave.
Employer Notice Requirements
PFML Notice Obligations
- Initial notice: Inform new employees about PFML in writing at hire
- Annual notice: Provide written notice to all employees each year
- Workplace posting: Display the official PFML poster in a conspicuous location
- Response to leave: Within 5 business days of learning about a leave request, provide written notice to the employee about their rights
Paid Sick Leave Notice Obligations
- Initial notice: Inform employees at hire about their sick leave rights
- Pay statement: Show accrued and available sick leave on each pay stub (or provide access to an online system)
- Workplace posting: Display the official "Your Rights as a Worker" poster
Common Employer Questions
Can I require employees to use sick leave before PFML?
No. You cannot require employees to use accrued paid sick leave or other employer-provided leave before or during PFML leave. However, employees may choose to supplement their PFML benefits with accrued leave.
Do I continue benefits during PFML leave?
Under the 2026 rules, health insurance continuation during PFML leave is tied to job-protection eligibility. If your employee qualifies for PFML job protection (employers with 25+ employees and the employee has worked 180+ days), you must maintain health insurance coverage on the same terms as if the employee were actively working. The employee remains responsible for their share of premiums.
What if an employee doesn't return after leave?
If an employee doesn't return to work after PFML leave, you may be able to recover your share of health insurance premiums paid during the leave—but only if the employee fails to return for reasons other than a continued serious health condition or circumstances beyond their control.
How do I handle intermittent leave?
Both FMLA and PFML allow intermittent leave when medically necessary. This requires careful tracking but can't be denied when the need is legitimate. Work with the employee to schedule intermittent leave in a way that minimizes disruption when possible.
Compliance Checklist
- Register with ESD and submit quarterly PFML reports
- Collect and remit PFML premiums correctly
- Track paid sick leave accrual and usage accurately
- Display required workplace posters
- Provide required notices at hire and annually
- Include paid sick leave balances on pay stubs
- Update employee handbook with both policies
- Train managers on leave rights and anti-retaliation rules
- Establish procedures for handling leave requests
- Coordinate FMLA, PFML, and any company leave policies
Questions about leave compliance?
Leave law is complex and changes frequently. Schedule a consultation to review your policies and procedures.
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