Washington State Senate passes bill removing penalties for retired nurses returning to workforce

The Washington State Senate passed a bill Monday aimed at addressing the state’s healthcare worker shortage by removing penalties for retired nurses who want to rejoin the workforce.

Currently, retired nurses in Washington state who return to work face a penalty of losing their retirement benefits. Retirees of the Public Employees’ Retirement System and the Public Safety Employees’ Retirement System can work up to 867 hours per year while receiving a retirement benefit; anyone who works more than 867 hours loses that benefit.

Senate Bill 5538, introduced by Sen. Annette Cleveland (D-Vancouver), gets rid of that penalty through June 2026 and lets retired nurses work up to 1,040 hours without losing retirement benefits.

“It is crucial that we do what we can to address our healthcare workforce shortage,” Sen. Cleveland said. “Removing this barrier for our retired nurses to return to work is one step we can take to broaden our nursing workforce and better serve patients in our state right now.”

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