SB 5328 Washington Senate · 2025-2026 Regular Session

Establishing a new chapter for the licensing and regulation of businesses providing earned wage access services.

Senate Bill 5328 establishes a new licensing and regulation framework for businesses providing "employer-integrated wage access services" in Washington state. These services allow consumers to access their earned but unpaid income, with the amount determined from employment data obtained from their employer. Starting July 1, 2026, companies offering these services must obtain a license from the Department of Financial Institutions. The bill outlines application requirements, including background checks for officers and directors, and specifies that fees from unlicensed transactions must be refunded and any outstanding proceeds become uncollectible. Banks, credit unions, and similar financial institutions are exempt from this specific chapter.

Issues: ✓ Labor & Employment

Bill status passed 3 of 5 stages cleared

Introduction

Jan 2026

Committee Review

Feb 2025

Senate Passage

Mar 2025

House Passage

Governor

Introduced Jan 12, 2026 Last action Feb 26, 2026

Maddy AI version diff · 1 comparison

What changed between versions

Bill → Substitute Bill · 6 edits

MODERATE

The bill was amended to narrow its scope, shifting from regulating all earned wage access services to specifically targeting only 'employer-integrated' services. This change excludes consumer-directed services from the new licensing chapter, directing them instead to existing regulations. Additionally, the short title was updated to reflect this narrower focus, and the bill was re-referred to a committee.

Scope change

The bill's scope was significantly narrowed from covering all earned wage access services to covering only employer-integrated wage access services, while consumer-directed services are now explicitly excluded and governed by existing laws.

SCOPE

The bill was changed to regulate only 'employer-integrated wage access services,' removing the requirement to license providers of 'consumer-directed wage access services.'

DEFINITION

Definitions were updated to remove 'consumer-directed wage access services' and 'employer-integrated wage access services' as distinct categories, focusing the chapter solely on employer-integrated services.

REQUIREMENT

A new provision was added stating that consumer-directed wage access services remain subject to existing Chapter 31.04 RCW, rather than the new chapter.

TIMELINE

The effective date for the prohibition on unlicensed activity was modified to include 'advertise, solicit, provide, or offer to provide' services.

ENFORCEMENT

New consequences were added for violating the licensing requirement, mandating refunds of fees and declaring outstanding proceeds null and void.

TECHNICAL

The bill's short title was changed from 'Washington state earned wage access services act' to 'Washington state employer-integrated wage access services act.'

Floor votes · Senate Mar 7, 2025

How they voted

31–20

Passed

Total votes 51

Mar 7, 2025

D Democratic31

30 Yea 1 Nay

96% Yea

R Republican20

1 Yea 19 Nay

95% Nay

Vote distribution

All Yea All Nay Mixed No data

Full legislative history

Actions timeline

Total actions

Key actions

Committee

Jan 12, 2026

Introduced

By resolution, reintroduced and retained in present status.

upper

Mar 7, 2025

Senate · Passed

Senate Vote: pass (31-20)

senate

Feb 19, 2025

Upper · Passed

Minority; do not pass.

upper

Feb 19, 2025

Upper · Passed

Executive action taken in the Senate Committee on Business, Financial Services & Trade at 8:00 AM.

upper

Jan 30, 2025

Upper · Passed

Public hearing in the Senate Committee on Business, Financial Services & Trade at 8:00 AM.

upper

1 primary · 2 co-sponsors