Pierce County state employees, including workers at Western State Hospital in Lakewood, are covered by two tentative union contracts that ended a statewide walkout but delivered no confirmed wage increase.

The Washington Public Employees Association (WPEA) struck a two-year deal with the state Office of Financial Management (OFM) on Friday, Sept. 11, covering roughly 2,500 workers in nine agencies.

The agreement includes zero across-the-board wage increase, according to a union official. It does allow the union and state to reopen wage talks during the contract period, the Seattle Times reported.

Separately, the Washington Federation of State Employees (WFSE), the state's largest public-sector union, accepted its own tentative two-year deal just after midnight on Saturday, Sept. 12.

That agreement covers 42,000 general government workers. Its terms have not been disclosed.

Both contracts would run from July 1, 2027, through June 30, 2029.

"A zero percent wage increase means another loss in purchasing power, continuing a trend we've seen for the last two decades," WPEA President Amanda Hacker said Friday, Sept. 11.

"The result of this bargaining cycle is more of the same, and that simply isn't sustainable."

Local stakes

WFSE President Mike Yestramski, a psychiatric social worker at Western State Hospital in Lakewood, helped lead a walkout on Aug. 31 that drew workers from 125 sites statewide. Yestramski declined to comment on the tentative WFSE agreement.

During the Aug. 31 walkout, Yestramski said the state "would rather spend money in the courts after another avoidable tragedy than proactively invest in their workforce," pointing to a record $614 million in state lawsuit payouts over the prior year, mostly for child abuse and neglect cases, the Seattle Times reported.

WFSE leaders have said members earn $40,000 to $60,000 a year.

The Seattle-area Consumer Price Index rose 4.5% in the year ending in June 2026, according to federal data. In the prior contract covering 2025–27, WFSE members received cost-of-living raises totaling 5% over two years.

The state's position

OFM negotiators stood firm on no wage increases, citing a lack of money and warning of another budget shortfall. Hayden Mackley, OFM's deputy communications director, confirmed both tentative agreements but said the office could not discuss specific terms while broader bargaining continues.

Brionna Aho, a spokesperson for Gov. Bob Ferguson, said during the Aug. 31 walkout that the state had implemented billions in budget reductions over the prior 18 months and faced additional federal cuts.

A coalition of all state employee unions did secure one win: the state will continue paying 85% of monthly health insurance premiums, with workers covering 15%.

The state had sought a larger employee share. Maintaining that split will cost $348.5 million over the next two-year budget, according to a WFSE leader.

What's next

State law sets a Thursday, Oct. 1 deadline for unions to ratify agreements to be included in the next two-year budget. WPEA members will vote by late September.

WFSE plans to share deal details with members during the week of Sept. 14 before scheduling a ratification vote.

If ratified, OFM's director will determine whether funding is feasible. Gov. Ferguson would then include the costs in his mid-December 2026 budget proposal, which sets the template for the 2027 legislative session.