Seattle Minimum Wage – detail and FAQ of final rules

Seattle Minimum Wage – detail and FAQ of final rules

The Seattle Office of Labor Standards (OLS), a new division within the Seattle Office for Civil Rights (SOCR), has released the final Administrative Rules for the City of Seattle’s new Minimum Wage Ordinance. OLS has also posted a workplace poster and an expanded Frequently Asked Questions (FAQ). The Rules, Poster and FAQs are available to view and download at seattle.gov/minimumwage. The Minimum Wage Ordinance goes into effect on April 1, 2015. The Final Rules cover the following topic areas:

  • SHRR 90-060 Minors – Employers can pay 85% of the hourly rate required by the ordinance for employees under 16 years of age.
  • SHRR 90-070 Service Charges – Service charges (e.g. automatic charges at restaurants or banquet facilities) are not tips, but can be considered commissions to meet Seattle minimum wage requirements above the state’s minimum wage. Employers in the food/hospitality industry must disclose the amount of the service charge payable to the employee on the menu and on an itemized receipt.
  • SHRR 90-080 Work Study – Individuals performing under a work study agreement are not covered by the ordinance. The rules define work study as a job placement program that provides students in secondary and/or post-secondary educational institutions with employment opportunities for financial aid and/or vocational training.
  • SHRR 90-100 Joint employers – The payment rate for employees that are jointly employed by one or more employers (e.g. temporary workers) will be determined by the employer with the most employees. For example, a temporary worker who is provided by a small staffing agency to a large employer must be paid at the Large Employer (Schedule 1) rate, even though the staffing agency is “small.”

Rule revisions from the draft document include minor, non-substantive changes: