2021 Noncompetition Agreement Enforceability Thresholds

RCW 49.62 requires the Department of Labor & Industries (L&I) to establish annual enforceability thresholds for noncompetition agreements between employers and their employees and/or independent contractors. This means that for a noncompetition enforcement to be enforceable, the employee or contractor must be paid above the threshold established by L&I. L&I set the 2021 thresholds at $101,390.00 for employees and $253,475.00 for independent contractors. Please see WSHA’s August bulletin for more information about RCW 49.62 and changes that took effect earlier this year. (David Streeter)