The 8-Or-More-Employees Rule
The Washington State Law Against Discrimination (WLAD) defines “employer” as including any person acting in the interest of an employer, directly or indirectly, who employs eight or more persons, and does not include any religious or sectarian organization not organized for private profit. Only employers that fall within this definition are subject to WLAD.
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(2) TIME OF CALCULATION. A person will be considered to have employed eight if the person either:
(a) Had an employment relationship with eight or more persons for any part of the day on which the unfair practice is alleged to have occurred, or did occur; or
(b) Had an employment relationship with an average of eight or more persons over a representative period of time including the time when the unfair practice is alleged to have occurred.
An employment relationship is most readily demonstrated by a person’s appearance on the employer’s payroll. The representative period of time for (b) of this subsection will ordinarily be the twenty weeks prior to and including the date on which the unfair practice is alleged to have occurred. However, where this period will not accurately reflect the overall employment level, as in a seasonal industry, we will use the month during which the unfair practice is alleged to have occurred plus the preceding eleven months.
(3) PART TIME EMPLOYEES: Part time and full-time employees are counted the same. But on-call employees (such as volunteer firefighters) are considered employed at all times when they are subject to call.
(4) AREA OF CALCULATION: A person who employs eight or more persons is an “employer” under WLAD; even if less than eight of the employees work in Washington.
(5) MULTIPLE PLACES OF EMPLOYMENT. A legal entity that employs eight or more persons is an “employer” under WLAD; even if some of the employed work in different locations or lines within the business.
(6) CONNECTED CORPORATIONS. “Corporations and other artificial persons that are in common ownership or are in a parent-subsidiary relationship will be treated as separate employers unless the entities are managed in common in the area of employment policy and personnel management. In determining whether there is management in common we will consider whether the same individual or individuals do the managing, whether employees are transferred from one entity to another, whether hiring is done centrally for all corporations, and similar evidence of common or separate management.”
(7) PERSONS ON LAYOFF. Not counted.
(8) PERSONS ON LEAVE. Counted; but persons that are on unpaid leave are not counted.
(9) EMPLOYEE OR INDEPENDENT CONTRACTOR. Not counted.
(10) PAY. “Anyone who is paid for work and who otherwise meets the standards in this section will be counted. This includes paid interns and work study program participants. Pay includes compensation for work by the hour, by commission, by piecework, or by any other measure. For the treatment of unpaid persons, see subsection (11) of this section.”
(11) UNPAID PERSONS. “An unpaid person will be counted if he or she is generally treated in the manner that employers treat employees. That is, if management selects the person (particularly if selected in competition with other persons), assigns work hours, disciplines the unpaid person like an employee, or provides employment benefits such as industrial insurance, then the person will be counted as an employee. The typical volunteer firefighter would be counted. A person who comes into the food bank when he or she pleases, is put to work if there is anything to do, who leaves when he or she pleases, who has no expectation of paid employment, and who receives no employment benefits, would not be counted.”
(12) FAMILY MEMBERS. Not counted if the person is employed by his/her parents, spouse, or child; but other family members are counted.
(13) DOMESTIC HELP. Not counted if the person is hired by the employer to simply perform domestic services for the employer.
(14) DIRECTORS OF CORPORATIONS (AND SIMILAR OFFICERS OF OTHER PRIVATE/PUBLIC ARTIFICIAL LEGAL ENTITIES). Not counted if based solely on the fact that they serve in that capacity.
(15) OFFICERS. Counted as employee if officer of a corporation or officer of other private/public artificial legal entity — unless (a) he/she receives no pay from the corporation or other entity; and (b) he/she does not participate in the management of the corporation or other entity beyond participation in formal meetings of the officers.
(16) PARTNERS. Not counted as employed by the partnership or by each other.
(17) MEMBERS OF A PROFESSIONAL SERVICE CORPORATION. Counted as employees of the corporation if they render professional services for it.
(18) TEMPORARY EMPLOYEE PLACEMENT SERVICES. If a person is placed with an on-site employer by a temporary employee placement service, then that person will be counted as an employee of the temporary placement service; and will also be counted as an employee of the on-site employer if the on-site employer generally treated them in the manner that employers treat employees (see the factors listed in WAC 162-16-230).
See WAC 162-16-220 (emphasis added).
If you would like to learn more, then consider contacting an experienced Washington State Employment Discrimination Attorney as soon as possible to discuss your case. Please note: the information contained in this article is not offered as legal advice and will not form an attorney-client relationship with either this author or Williams Law Group, PS; please see our DISCLAIMER.
