Workers comp tax may increase

TUMWATER – The state Department of Labor and Industries is proposing a 4.9% increase in the workers compensation tax effective Jan. 1.

Director Joel Sacks said the tax increase is lower than what the agency expects to pay for 2024 claims.

The proposed tax increase is a direct result of higher wages in the state, he said, noting it will cost employers and workers jointly about $65 annually per full-time employee.

The proposed tax hike has Sen. Mark Schoesler, R-Ritzville, fire up.

“It’s an understatement to say I’m unhappy over this proposed rate hike,” Schoesler, R-Ritzville, said. “Some of the ag-related job categories would be much higher than the 4.9% proposed by L&I.

Public hearings are planned for Oct. 26, 27 and 31.

A final decision on the tax increase is set for Nov. 30, with the tax being collected beginning Jan. 1