Update On WA Cares Fund Improvements

Update on WA Cares Fund Improvements

On January 27, Governor Inslee signed two bills passed by the Legislature making key improvements to WA Cares Fund. These reforms will address coverage gaps and delay program implementation by 18 months.

Changes include:

Workers near retirement (born before 1968) will be able to qualify for partial benefits on a pro-rated basis.

Workers who live out of state and work in Washington, military spouses, workers on non-immigrant visas, and certain veterans with disabilities will be able to opt out of the program if they choose.

Workers will begin contributing to the fund in July 2023. Employers will refund any premiums collected in 2022 so far.

The WA Cares Fund website is being updated to reflect these changes . For details on the changes, you can read House Bill 1732 and House Bill 1733

ESD has updated instructions for employers and will be providing additional information and guidance in February.

Employer update:

In February, employers will receive updated information and guidance via the ESD employer newsletter, postal mail to the address on file and on the ESD website.

For now, employers should:

○ Stop withholding WA Cares premiums from employee earnings.

○ Reimburse employees for WA Cares premiums within 120 days of the date premiums were collected.

○ Continue to maintain copies of exemption approval letters for workers who’ve provided them.