8. DECENT WORK AND ECONOMIC GROWTH

Pay Transparency Developments: Washington Limits Its Equal Pay & Opportunities Act in 2025 Amendments – Workforce Bulletin

Pay Transparency Developments: Washington Limits Its Equal Pay & Opportunities Act in 2025 Amendments – Workforce Bulletin
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Pay Transparency Developments: Washington Limits Its Equal Pay & Opportunities Act in 2025 Amendments  Workforce Bulletin

 

Report on Washington’s 2025 EPOA Amendments and Alignment with Sustainable Development Goals

Introduction: Fostering Equality and Decent Work

In early 2025, the state of Washington enacted amendments to its Equal Pay and Opportunities Act (EPOA), effective July 27, 2025. These amendments refine the state’s pay transparency laws, which have been in effect since 2023. The legislative changes are significant not only for employers but also for their contribution to achieving several United Nations Sustainable Development Goals (SDGs), particularly SDG 5 (Gender Equality), SDG 8 (Decent Work and Economic Growth), and SDG 10 (Reduced Inequalities). By mandating transparency and providing clear legal frameworks, the EPOA and its amendments directly address systemic issues of pay disparity, promoting fairer economic outcomes for all workers.

Advancing SDG 10: Reduced Inequalities Through Enhanced Pay Transparency

Core Mandates of the Equal Pay and Opportunities Act

The EPOA is a critical instrument for advancing SDG 10 by directly targeting wage inequality. Its primary requirements include:

  • Employers with 15 or more employees, including at least one in Washington, must disclose the wage scale or salary range in all job postings.
  • This transparency is designed to empower applicants and employees, reducing information asymmetry that often perpetuates pay gaps based on gender, race, and other protected characteristics.

Strengthening SDG 16: Justice and Strong Institutions via New Remedial Frameworks

Temporary Opportunity to Cure

The 2025 Amendments introduce a temporary mechanism that supports the principles of SDG 16 by promoting compliance through restorative, rather than purely punitive, measures. This provision allows for more efficient resolution of disputes, strengthening the role of institutional oversight.

  1. An individual must provide written notice to an employer of a non-compliant job posting before seeking remedies.
  2. The employer has five business days to correct the posting and notify any third-party posting sites.
  3. Successful correction within this timeframe absolves the employer of liability for damages or penalties from courts or the Department of Labor & Industries (L&I).
  4. This opportunity to cure is temporary and will sunset on July 27, 2027.

Administrative and Civil Remedies

For violations that are not rectified, the amendments establish a clear and robust legal framework, reinforcing SDG 16’s call for effective and accountable institutions. An affected applicant or employee may pursue one of two distinct paths for recourse:

  • Administrative Complaint with L&I: If a violation is found, L&I may assess statutory damages from $100 to $5,000 per violation, civil penalties, and actual damages. The assessment considers factors such as employer size, frequency of violations, and willfulness, ensuring a just and proportional response.
  • Civil Lawsuit: A court may award statutory damages from $100 to $5,000 per violation, in addition to reasonable attorneys’ fees, costs, actual damages, and other equitable relief.

These remedies are established as the exclusive recourse for pay disclosure violations, preventing duplicative claims and ensuring a streamlined judicial process.

Broadening the Scope of SDG 5 and SDG 8: Gender Equality and Decent Work

Expansion of Protections and Legislative Clarifications

The amendments and related expansions to the EPOA reinforce Washington’s commitment to SDG 5 and SDG 8 by broadening protections and clarifying employer obligations, ensuring fair compensation and decent work for a wider population.

  • Expanded Protections: Effective July 1, 2025, the EPOA’s anti-discrimination provisions were expanded beyond gender to prohibit compensation discrimination based on numerous other protected classes, a direct contribution to SDG 5 and SDG 10.
  • Fixed-Rate Positions: The law now clarifies that job postings for roles with a fixed wage must state that rate rather than a range, improving transparency.
  • Third-Party Postings: Employers are not liable for non-compliant job postings that are replicated and published by third parties without the employer’s consent, closing a significant legal loophole.

Strategic Guidance for Employers in Support of SDG Compliance

Recommendations for Action

To ensure compliance with the revised EPOA and contribute positively to the SDGs, covered employers should undertake the following actions:

  • Conduct a thorough evaluation of all job posting practices to ensure full compliance with the ongoing and revised disclosure requirements.
  • Regularly monitor the L&I website for updated administrative guidance and resources related to the 2025 Amendments.
  • Incorporate the “opportunity to cure” process into internal compliance protocols, while remaining aware that it is a temporary provision applicable only to violations occurring after July 27, 2025.

Ongoing Legal Developments

Employers should remain informed about a pending Washington State Supreme Court case that will define “job applicant” under the EPOA. The outcome will determine whether an individual must have a “bona fide” intent to seek employment to have standing, a decision with significant implications for future litigation and compliance strategies. This evolving legal landscape underscores the dynamic nature of institutional frameworks designed to uphold the principles of decent work and reduced inequalities.

Relevant Sustainable Development Goals (SDGs)

  • SDG 5: Gender Equality

    The article discusses Washington’s “Equal Pay and Opportunities Act” (EPOA), which was initially focused on gender-based pay discrimination. Although the act has been expanded, its foundation in pay equity directly addresses the economic empowerment and non-discrimination principles central to SDG 5. The text explicitly notes the law was expanded “to prohibit discrimination in compensation based on numerous protected classes, not just gender,” which reinforces its connection to ending all forms of discrimination.

  • SDG 8: Decent Work and Economic Growth

    The core of the article revolves around labor law, fair compensation, and employee rights. The EPOA’s requirement for employers to disclose wage scales and salary ranges in job postings is a policy aimed at ensuring fair and transparent remuneration. This directly supports the goal of achieving “decent work for all” and “equal pay for work of equal value,” which are key components of SDG 8.

  • SDG 10: Reduced Inequalities

    By mandating pay transparency and prohibiting wage discrimination based on “numerous protected classes,” the EPOA aims to reduce income inequalities that arise from discriminatory practices. The law promotes equal opportunity in the hiring process by providing all applicants with access to the same compensation information, thereby helping to level the playing field and reduce inequalities of outcome as targeted by SDG 10.

  • SDG 16: Peace, Justice and Strong Institutions

    The article details the legal framework for enforcing the EPOA, including the roles of the state’s Department of Labor & Industries (L&I) and the court system. It outlines the processes for filing complaints, the remedies available (damages, penalties), and the statute of limitations. This focus on creating and refining legislation, providing access to justice for aggrieved individuals, and defining the role of state institutions (L&I) aligns with the goal of building effective, accountable, and inclusive institutions at all levels.

Specific SDG Targets

  1. SDG 5: Gender Equality

    • Target 5.1: End all forms of discrimination against all women and girls everywhere.

      The article supports this by discussing the EPOA, a law designed to combat pay discrimination. It explicitly mentions the law was expanded effective July 1, 2025, “to prohibit discrimination in compensation based on numerous protected classes, not just gender.”
  2. SDG 8: Decent Work and Economic Growth

    • Target 8.5: By 2030, achieve full and productive employment and decent work for all women and men… and equal pay for work of equal value.

      The article’s entire focus is on the “Equal Pay and Opportunities Act,” which directly aims to achieve “equal pay for work of equal value” through pay transparency mandates, such as including the “wage scale, salary range” in job postings.
    • Target 8.8: Protect labour rights and promote safe and secure working environments for all workers…

      The EPOA is a legislative tool that protects labor rights related to fair compensation. The article details the mechanisms for enforcing these rights, including filing complaints and seeking remedies in court.
  3. SDG 10: Reduced Inequalities

    • Target 10.3: Ensure equal opportunity and reduce inequalities of outcome, including by eliminating discriminatory laws, policies and practices and promoting appropriate legislation…

      The EPOA is an example of “appropriate legislation” designed to eliminate discriminatory pay practices. The amendments discussed are refinements to this policy to make it more effective.
    • Target 10.4: Adopt policies, especially fiscal, wage and social protection policies, and progressively achieve greater equality.

      The pay transparency requirement is a specific “wage policy” adopted by the state of Washington to achieve greater pay equality among job applicants and employees.
  4. SDG 16: Peace, Justice and Strong Institutions

    • Target 16.3: Promote the rule of law… and ensure equal access to justice for all.

      The article details the legal pathways for individuals whose rights under the EPOA are violated. It describes how an “applicant or employee can either file a complaint with L&I or bring a civil cause of action in court,” ensuring access to justice.
    • Target 16.6: Develop effective, accountable and transparent institutions at all levels.

      The article highlights the role of the Department of Labor & Industries (L&I) as an administrative institution responsible for processing complaints, assessing damages, and resolving violations, demonstrating the development of an accountable institution to enforce the law.

Implied or Mentioned Indicators

  • Existence of legislation promoting pay equity and non-discrimination

    The article is centered on Washington’s “Equal Pay and Opportunities Act” (EPOA) and its 2025 amendments. The existence and ongoing refinement of this law serve as a primary indicator of the state’s commitment to addressing pay discrimination.

  • Proportion of job postings compliant with pay transparency laws

    The law requires employers to “include the wage scale, salary range” in job postings. The article discusses remedies for non-compliance, implying that the number or percentage of compliant postings is a key metric for measuring the law’s success. The “opportunity to cure” provision is directly tied to correcting non-compliant postings.

  • Number of legal and administrative actions filed for violations

    The article explicitly mentions that individuals can “file a complaint with L&I or bring a civil cause of action in court.” The number of such complaints and lawsuits serves as a direct indicator of the law’s utilization and the prevalence of perceived violations.

  • Value of damages and penalties assessed for non-compliance

    The text specifies the financial remedies available, such as “statutory damages between $100 and $5,000 per violation,” “a civil penalty of up to $500 for a first violation or up to $1,000 for subsequent violations,” and “actual damages.” The total value of these assessed penalties is a measurable indicator of the law’s enforcement.

  • Number of violations resolved through the “opportunity to cure” process

    A specific new mechanism mentioned is the employer’s ability to “correct the posting within five business days of receiving notice” to avoid liability. The number of times this cure process is successfully used is a new, specific indicator of employer responsiveness and compliance.

SDGs, Targets, and Indicators Analysis

SDGs Targets Indicators (Mentioned or Implied in the Article)
SDG 5: Gender Equality 5.1: End all forms of discrimination against all women and girls everywhere. Existence and enforcement of legislation (the EPOA) prohibiting discrimination in compensation based on gender and other protected classes.
SDG 8: Decent Work and Economic Growth 8.5: Achieve equal pay for work of equal value.

8.8: Protect labour rights.

Proportion of job postings including the required wage scale or salary range; Number of complaints filed by employees/applicants for violations of pay transparency rights.
SDG 10: Reduced Inequalities 10.3: Ensure equal opportunity and reduce inequalities of outcome by eliminating discriminatory practices.

10.4: Adopt wage policies to achieve greater equality.

Implementation of a specific wage policy (pay transparency law); Number of violations corrected by employers, indicating a reduction in discriminatory practices.
SDG 16: Peace, Justice and Strong Institutions 16.3: Ensure equal access to justice for all.

16.6: Develop effective, accountable and transparent institutions.

Number of administrative complaints filed with L&I and civil lawsuits brought to court; Amount of statutory damages and civil penalties awarded; Number of violations resolved through the “opportunity to cure” process.

Source: workforcebulletin.com

 

Pay Transparency Developments: Washington Limits Its Equal Pay & Opportunities Act in 2025 Amendments – Workforce Bulletin

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