The proposed bill aims to enhance protections for employees in Washington State facing mass layoffs, relocations, and terminations by mandating that employers provide a 60-day written notice before such actions. This notice must include the reasons for the decision and any alternative measures considered. The bill defines key terms such as "covered establishment," "mass layoff," and "termination," and requires employers to notify affected employees, the employment security department, local government officials, and exclusive bargaining representatives. It also introduces penalties for non-compliance, including financial liabilities for lost wages and benefits, as well as daily fines for failure to provide notice. Additionally, the bill emphasizes support for affected employees by requiring access to rapid response partners and the development of an online survey to collect demographic data on those impacted.

Moreover, the bill seeks to prohibit certain nondisclosure and nondisparagement provisions in employer-employee agreements, particularly those related to workplace conduct and mass layoffs. It declares any provision that prevents an employee from discussing an employer's conduct regarding a mass layoff as void and unenforceable, while also protecting employees from retaliation for disclosing illegal activities. The bill amends existing laws on noncompetition covenants, rendering them unenforceable unless specific conditions are met, and particularly if an employee is terminated due to a mass layoff without proper notice. It also includes a retroactive application to invalidate certain nondisclosure agreements created before June 9, 2022, and establishes an effective date of July 1, 2026, for the new provisions.

Statutes affected:
Original Bill: 49.44.211, 49.62.020
Substitute Bill: 49.44.211, 49.62.020