No, in Washington, employers are not allowed to make workers personally pay for broken or lost equipment. This means that they cannot simply deduct money from their wages. The state’s employment laws make it clear that wage deductions can only occur in very limited circumstances, such as those required by law (i.e., taxes or child support) or those voluntarily authorized in writing by the employee.
Losses like damaged equipment, cash shortages, or fines are specifically excluded. In other words, an employer cannot simply reduce your paycheck to cover those costs. The governing equipment deduction laws are found in Washington Administrative Code (“WAC”) 296-126-025. That law prohibits employers from withholding or diverting wages unless the deduction is expressly permitted by law, authorized by the employee, or allowed under a collective bargaining agreement.
Because deductions for breakage or loss are not listed among those categories, they are considered unlawful. Even if the damage was caused by carelessness, the employer must absorb the cost rather than passing it on to the employee through wage deductions.
That said, employers are not without recourse. If an employee intentionally destroys property or engages in misconduct, then the employer may pursue discipline, termination, or even legal action outside of wage deductions.
However, in ordinary cases of accidental loss or damage, the financial responsibility rests with the employer. Workers who experience improper deductions have the right to file a complaint with the Washington State Department of Labor & Industries (“L&I”) to recover their wages.
Should you have any questions regarding charges for lost or damaged equipment, then it is recommended to set up a Washington lawyer consultation. Washington lawyers in your area will be familiar in handling such matters. They can answer any questions you may have and also assist you in recovering any funds.
In Washington, Can Employers Force Payment To Cover the Loss?
As noted above, under Washington law, employers cannot legally require employees to pay for losses such as broken equipment, cash shortages, or other damages by deducting money directly from their wages.
Once again, wage deductions are only permitted in narrowly defined circumstances, such as those required by law, deductions authorized in writing by the employee, or those allowed under a collective bargaining agreement. Any deduction outside of these categories, including attempts to recover business losses, is considered unlawful.
Even if an employee accidentally damages property or misplaces company equipment, the employer must bear the cost rather than shifting it onto the worker through paycheck deductions. Efforts to make employees cover losses in this way violate Washington’s wage and hour protections. Employees who experience improper deductions may file complaints with the Washington State Department of Labor & Industries to recover withheld wages.
That said, employers are not without remedies. If an employee engages in misconduct or intentionally damages property, the employer may pursue discipline, termination, or civil and criminal action. However, in ordinary cases of accidental damage, the law makes clear that the financial responsibility rests with the employer, not the employee.
Additionally, Washington law provides further safeguards to ensure employees are not unfairly penalized for workplace losses. Under Washington law, employees may bring civil actions to recover wages unlawfully withheld, and courts may award double damages plus attorney’s fees in cases of willful violations. These protections reinforce the principle that wage deductions must strictly comply with statutory requirements and cannot be used to shift business risks onto workers.
Moreover, employers must also comply with broader labor protections when addressing workplace issues. For example, if an employer enforces repayment demands or disciplinary measures in a discriminatory manner, such as if the action is based on race, gender, age, or other protected categories, then such conduct could violate the Washington Law Against Discrimination.
As noted above, employers retain the right to discipline or terminate employees for misconduct. However, they cannot impose financial liability in violation of wage laws, nor can they enforce policies in a discriminatory fashion. Together, both of these statutes ensure that employees are protected both from any unlawful wage deductions and from discriminatory practices in how lost or damaged equipment matters are handled.
Washington State Laws About Charging Employees for Damaged or Lost Property
Once again, in Washington, employers are prohibited from charging employees directly for damaged or lost property through wage deductions. State law is clear that deductions from wages are only permitted in narrowly defined circumstances.
These include deductions required by law, such as federal or state taxes, Social Security, or child support orders, deductions expressly authorized in writing by the employee, or deductions allowed under a collective bargaining agreement.
It is important to note that losses such as broken equipment, missing items, or cash shortages are not included among the lawful categories of deductions. If an employer attempts to deduct wages to cover such losses, it is considered unlawful under Washington’s wage and hour protections.
The governing rule is found in Washington Administrative Code 296‑126‑025, which specifies that employers may not withhold or divert any portion of an employee’s wages unless the deduction is:
- Required by law
- Authorized in writing by the employee for a lawful purpose
- Permitted under a collective bargaining agreement
Importantly, if the damage or loss occurred because of a workplace accident, the matter may instead fall under Washington’s workers’ compensation system (Title 51 Revised Code of Washington). Workers’ compensation provides coverage for injuries and related incidents without shifting the financial burden onto the employee.
Employers must also ensure that their policies regarding damaged or lost property do not result in employment discrimination. For example, if an employer selectively enforces repayment demands or disciplinary measures against certain groups of employees based on race, gender, age, disability, or other protected categories, such conduct could violate the Washington Law Against Discrimination.
While employers may discipline or terminate employees for misconduct or negligence, they cannot impose financial penalties that contravene wage laws or apply them in a discriminatory manner. In cases of intentional misconduct, such as theft or deliberate destruction of property, employers may pursue civil remedies or criminal charges.
However, in ordinary cases of accidental damage, the law makes clear that the financial responsibility rests with the employer, not the employee. Washington law also provides additional safeguards to ensure employees are not unfairly penalized for workplace losses.
Under Washington law, it is unlawful for an employer to willfully withhold wages, and employees may bring civil actions to recover unpaid wages. Courts may award double damages plus attorney’s fees in cases of willful violations. All of these protections reinforce the principle that wage deductions must strictly comply with statutory requirements and cannot be used to shift business risks onto workers.
It should also be noted that independent contractors are not covered by Washington’s wage deduction laws, since they are not classified as employees under the law. Disputes over property damage or loss in these cases are typically governed by contract law rather than employment statutes.
Do I Need a Lawyer if My Washington Employer Charges Me for Lost or Damaged Equipment?
If you are experiencing issues with an employer attempting to charge you for lost or damaged equipment through wage deductions, it is recommended to meet with a Washington employment law attorney. LegalMatch can assist you in locating an attorney who can help you determine whether your employer’s actions violate Washington’s wage and hour protections.
A qualified lawyer will be able to explain your legal rights, guide you through filing a complaint with the Washington State Department of Labor & Industries, and advise you on potential remedies to recover any improperly withheld wages.
Additionally, they can also evaluate whether your situation involves other legal concerns, such as retaliation, wrongful termination, or discriminatory treatment under the Washington Law Against Discrimination.
Although employers may discipline or terminate employees for misconduct, they cannot impose financial penalties that conflict with wage laws. Having legal counsel ensures that you understand the limits of your employer’s authority and that you are protected against unlawful practices in the workplace. Finally, if legal action becomes necessary, an attorney can help you pursue a legal remedy, and represent you in court as needed.