Published December 17, 2021

Governor Jay Inslee has ordered the Washington State Employment Security Department not to collect long-term care premiums from employers, which collections were set to begin January 2022, to allow time for legislators to refine the Long-Term Services and Supports Act, now known as the Washington Cares Fund.  Legislators “have identified some areas that need adjustments” for the new payroll tax to fund the Washington Cares Fund, which would create a long term care insurance benefit for certain qualified individuals. Governor Inslee directed the Employment Security Department to hold off on collecting premiums from employers until the appropriate fixes are made, and employers will “not be subject to penalties and interest for not withholding fees from employees’ wages” during this time. The delay will also give the Long Term Care Commission an opportunity to review how Washington residents can receive the benefit once they retire and move out of the state, and how those who have opted out can maintain their private insurance policies.

For more information, please contact any member of Ryan Swanson’s Employment Rights, Benefits & Labor group.