WSR 98-18-053

PERMANENT RULES

DEPARTMENT OF LICENSING

[Filed August 28, 1998, 4:09 p.m.]

Date of Adoption: August 19, 1998.

Purpose: To adjust fees in order to defray the cost of administration of the employment agency program and assist in reducing the revenue deficit. Also to clarify and simplify the language and requirements with no major changes to content or the intent of the rules.

Citation of Existing Rules Affected by this Order: Repealing WAC 308-33-020 and 308-33-080; and amending WAC 308-33-011, 308-33-030, 308-33-060, 308-33-071, 308-33-090, 308-33-095, and 308-33-105.

Statutory Authority for Adoption: Chapter 19.31 RCW and RCW 43.240.086 [43.24.086].

Other Authority: Chapter 346, Laws of 1998.

Adopted under notice filed as WSR 98-13-028 on June 8, 1998.

Changes Other than Editing from Proposed to Adopted Version: WAC 308-33-105, the fee increase is as follows: Main office original application and license - $783.00; renewal - $648.00. Branch office original application and license - $540.00; renewal - $540.00.

Number of Sections Adopted in Order to Comply with Federal Statute: New 0, amended 0, repealed 0; Federal Rules or Standards: New 0, amended 0, repealed 0; or Recently Enacted State Statutes: New 0, amended 7, repealed 2.

Number of Sections Adopted at Request of a Nongovernmental Entity: New 0, amended 0, repealed 0.

Number of Sections Adopted on the Agency's Own Initiative: New 0, amended 7, repealed 2.

Number of Sections Adopted in Order to Clarify, Streamline, or Reform Agency Procedures: New 0, amended 7, repealed 2.

Number of Sections Adopted Using Negotiated Rule Making: New 0, amended 0, repealed 0; Pilot Rule Making: New 0, amended 0, repealed 0; or Other Alternative Rule Making: New 0, amended 7, repealed 2.

Effective Date of Rule: Thirty-one days after filing.

August 28, 1998

Mary L. Jelvik

Administrator

OTS-2248.2

AMENDATORY SECTION (Amending Order PM 658, filed 10/21/87)

WAC 308-33-011  ((Fees.)) Are the fees charged by employment agencies regulated? (((1) The fees which employment agencies may contract to charge applicants shall not be regulated. However, no agency shall use a fee schedule or contract which has not been approved for use by the director as provided for in RCW 19.31.050.

(2))) Although fees are not regulated, ((no)) employment ((agency shall)) agencies cannot require by contract or otherwise that an applicant ((make payments)) pay in any one month period ((in)) an amount which exceeds ((the applicant's)) their gross earnings for that period.

(((3) In the event of termination an applicant shall be required to pay no more than twenty percent of the gross earnings actually received, or the full placement fee set forth in the contract with the agency, whichever is less, if the applicant was employed for sixty days or less.

If the employment is terminated after sixty days, the applicant shall be obligated for the full placement fee set forth in the contract with the agency.

(4) The applicant may submit payroll information to the agency within seventy days after reporting to work for reevaluation to reflect a fee based on actual gross earnings for the first sixty days.)) Employment termination: How much does an applicant owe the employment agency?

Employed sixty days or less - An applicant must pay up to twenty percent of the gross earnings received, or the full placement fee established in the employment agency contract, whichever is less.

Employed over sixty days - An applicant must pay the full placement fee established in the employment agency contract. Within seventy days after reporting to work, an applicant may submit payroll information to the agency to reevaluate the fee due based on the actual gross earnings for the first sixty days of employment.

[Statutory Authority: RCW 19.31.070. 87-21-088 (Order PM 658), § 308-33-011, filed 10/21/87; 81-02-031 (Order PL 359), § 308-33-011, filed 1/5/81; Order PL 272, § 308-33-011, filed 7/26/77, effective 9/21/77; Order PL 243, § 308-33-011, filed 4/1/76; Order PL-142, § 308-33-011, filed 1/24/73. Formerly WAC 308-33-010.]

AMENDATORY SECTION (Amending Order PM 658, filed 10/21/87)

WAC 308-33-030  ((Manner of setting forth fees in agency contracts.)) What are the guidelines for establishing fees in employment agency contracts? (1) The contract must list the fee ((to be)) charged to an applicant((, under usual circumstances, must be set forth in the employment agency contract)) under the following headings:

(a) Monthly salary((.));

(b) ((The)) Range of agency's fee expressed in dollars((.)); and

(c) Agency's fee as a percentage of the expected monthly ((compensation)) salary.

(2) The agency may list((,)) the annual salary and agency fee as a percentage of the expected annual salary in addition to ((the monthly salary and agency fee as a percentage of the expected monthly compensation, the annual salary and agency fee as a percentage of the expected annual compensation)) column C in the example above.

(3) ((An agency must set forth additional information concerning its fees within its contract)) The contract must contain any additional information concerning fees as required by law ((and the rules in support thereof)).

(4) Agencies ((may not)) cannot indicate, ((either)) orally or in writing, that their contract and fee schedules ((have been)) are "approved" or in any way "recommended" by the state. However, ((a licensee may)) they can indicate ((that)) their contracts are "approved for use."

(5) An example of contract terms acceptable to the director are available upon request.

[Statutory Authority: RCW 19.31.070. 87-21-088 (Order PM 658), § 308-33-030, filed 10/21/87; 81-02-031 (Order PL 359), § 308-33-030, filed 1/5/81; Order PL-142, § 308-33-030, filed 1/24/73; Order 337001, § 308-33-030, filed 2/26/70, effective 4/1/70.]

AMENDATORY SECTION (Amending Order PM 658, filed 10/21/87)

WAC 308-33-060  ((Informing applicants of agency fee after employment gained.)) Does an employment agency have to notify the applicant of their fee in writing once a job has been accepted? ((As soon as practicable after an applicant has accepted employment)) If an applicant accepts a job through the efforts of an employment agency, ((the applicant shall be notified of the amount of the agency fee in a form containing at least)) the agency must notify the applicant of their fee in writing. The document must contain the following ((information)):

(1) Amount of fee expressed in dollars;

(2) Expected monthly or annual salary (whichever the fee is based upon); ((and))

(3) Date applicant began or ((is to)) will begin ((employment)) working; and

(4) Date payment is due to the agency.

[Statutory Authority: RCW 19.31.070. 87-21-088 (Order PM 658), § 308-33-060, filed 10/21/87; Order PL 118, § 308-33-060, filed 3/22/72, effective 4/21/72.]

AMENDATORY SECTION (Amending Order PL 272, filed 7/26/77, effective 9/21/77)

WAC 308-33-071  Signing of contracts--Applicant's rights. (1) ((Before a contract shall be signed by an applicant the applicant)) You must have an opportunity to discuss the contract and its terms with an authorized representative of the agency before signing.

(2) ((The applicant)) You must be given a signed carbon or duplicate copy of the contract immediately after signing.

(3) ((In the event an applicant seeks only positions in which the fee is paid by the employer)) If you request only jobs in which the employer pays the agency fee, the agency ((shall)) must note ((such fact)) that on all contracts prior to ((signature by the applicant)) your signing the contract.

(4) ((The provisions of subsection (3) above shall not preclude)) If you accept a job and the fee is paid by the employer, the agency ((from having an applicant)) can request that you sign a contract obligating ((him or her for a fee in the event the applicant)) you to pay the agency fee if the job terminates within sixty days and the employer is reimbursed by the agency. All such contracts must contain the necessary information required by RCW 19.13.040 and must be approved by the director prior to their use.

(((5) Any contracts in accordance with subsection (4) shall contain the necessary information required by RCW 19.31.040 and shall be approved by the director prior to its use by an agency.))

[Order PL 272, § 308-33-071, filed 7/26/77, effective 9/21/77; Order PL-142, § 308-33-071, filed 1/24/73. Formerly WAC 308-33-070.]

AMENDATORY SECTION (Amending Order PL-142, filed 1/24/73)

WAC 308-33-090  Definition of a branch office((--Defined)). A branch office is ((defined to mean)) any location physically separated from the principal place of business of a licensee ((from which)) where the licensee or his employees conduct any activity meeting the criteria of an employment agency ((under the definition of that term)) as defined in RCW 19.31.020.

[Order PL-142, § 308-33-090, filed 1/24/73.]

AMENDATORY SECTION (Amending Order PM 658, filed 10/21/87)

WAC 308-33-095  General manager examination((s)). (1) Examinations for general managers ((shall be)) are written and ((shall)) consist of multiple choice questions covering the subject matter set forth in RCW 19.31.100((, as now or hereafter amended)).

(2) The minimum passing grade ((for the examination shall be)) is seventy-five percent.

(3) Examinations ((will be)) are conducted ((before the fifteenth of each)) at least once per month at locations specified by the director.

(4) The application((s)) and fee((s for examination)) must be received by the department by the first of each month to be scheduled for the examination ((to be held)) the following month. The fee is not refundable.

(5) Applicants failing the examination ((shall)) must submit a new application and fee ((on each occasion of application for reexamination)).

(6) General managers who have passed the examination and ((do not remain active)) become inactive in the employment agency business ((shall, if not so actively engaged for longer than one year, be)) for more than one year are required to retake and pass the examination prior to being qualified to serve as a general manager.

(((7) Examination fees are not refundable.

(8) This section shall take effect June 1, 1987.))

[Statutory Authority: RCW 19.31.070. 87-21-088 (Order PM 658), § 308-33-095, filed 10/21/87; Order PL 272, § 308-33-095, filed 7/26/77, effective 9/21/77.]

AMENDATORY SECTION (Amending WSR 90-06-052, filed 3/2/90, effective 4/2/90)

WAC 308-33-105  Employment agency fees. The following fees shall be charged by the ((professional licensing)) business and professions division of the department of licensing:

[Statutory Authority: RCW 43.24.086. 90-06-052, § 308-33-105, filed 3/2/90, effective 4/2/90; 87-10-028 (Order PM 650), § 308-33-105, filed 5/1/87. Statutory Authority: 1983 c 168 § 12. 83-22-060 (Order PL 446), § 308-33-105, filed 11/2/83; 83-17-031 (Order PL 442), § 308-33-105, filed 8/10/83. Formerly WAC 308-33-100.]

REPEALER

The following sections of the Washington Administrative Code are repealed:

WAC 308-33-020 Director's review of fees and contracts.

WAC 308-33-080 Contract term guidelines.