Dear Members, 

By now, many of you have likely seen the news: on July 9, 2026, the Washington Supreme Court ruled in Bolina v. AssureCare Adult Home, LLC that the state’s long-standing minimum wage and overtime exemption for live-in caregivers is unconstitutional as applied to adult family home workers. This decision stems from a 2023 lawsuit brought by six former AssureCare caregivers, represented by the Fair Work Center, who reported working around-the-clock shifts, sometimes seven days a week, for a flat daily rate of $110 to $145, with no overtime, no guaranteed breaks, and no paid sick leave. 

The immediate, practical effect is that live-in caregivers in adult family homes are now entitled to minimum wage for all compensable hours worked, plus overtime pay for hours beyond 40 in a workweek. The case has been sent back to the trial court, which must still determine, among other things, whether the ruling applies retroactively (potentially triggering back-pay claims) or only prospectively going forward.  

We’ve heard from several of you with questions about what this means day to day. A few important clarifications, based on general wage-and-hour principles that may apply here: 

• You are not necessarily required to pay a live-in caregiver for all 24 hours of every day. Generally, compensable hours are those during which the caregiver is required to be available to residents, not hours when they are free to leave and pursue personal activities of their choosing. 

• A commonly used threshold test: could the caregiver leave the home to do something else (go to a movie, run errands, etc.) without needing to arrange coverage? If yes, that time is typically off-duty. If they must remain on-site and available to assist residents, including while sleeping, that time is generally still compensable. 

• You are not required to immediately move caregivers out of your home. Live-in arrangements can likely continue; what changes is how those hours are compensated. 

• Questions about charging rent, and whether room and board can still be offered in lieu of some portion of wages, involve nuanced wage deduction rules under both state law and, potentially, the Domestic Workers’ Bill of Rights taking effect in 2027. We know this is an area of real uncertainty and want to make sure you get accurate, specific guidance rather than general assumptions. 

• If you have general wage-and-hour compliance questions in the meantime, Washington’s Department of Labor & Industries Employment Standards Program (360-902-5316) is also available as a resource. 

What’s Next 

We plan to hold a webinar soon so providers can ask questions directly and get clarity on how to implement these changes correctly, including guidance on timekeeping, scheduling, and compensation structures going forward. In the meantime, please submit your questions to amina@adultfamilyhomecouncil.org so we can better prepare for the webinar. 

We understand this ruling raises real concerns about costs, staffing, and compliance, and that broader changes, including the state’s new Domestic Workers’ Bill of Rights, mean this is likely not the last adjustment providers will need to navigate. We are committed to keeping you informed as more information becomes available. Thank you for your patience as we work through the details together.