Introduction
Washington is a state of innovation and beauty , with unique advantages — and high costs to do business . The 2025 Competitiveness Redbook takes it all into account with a detailed , data-driven look at how our state compares to the rest of the nation on 60 key economic indicators .
Some are strong , like the fact that we have the third-highest percentage of renewables in our electricity grid ( Table 45 ). Washington ’ s expansive hydroelectric system provides affordable , reliable , green electrical power — although that advantage is under threat . Washington ’ s industrial customers have the fifth-most affordable electricity in the nation , down from the No . 1 spot last year as our costs go up and energy prices decline elsewhere ( Table 42 ).
CNBC ’ s rankings of Top States for Business show Washington slipping , too — from second-best in 2022 to tenth-best today , due to the high cost of doing business ( 39th ) and the cost of living ( 42nd ) ( Table 13 ).
Washington employers continue to pay nearly half ( 49.7 %) of all state and local taxes ( Table 11 ), and the state has :
• the highest minimum wage in the nation ( Table 27 )
• the second-highest unemployment benefits paid
( Table 25 )
• a workers ’ compensation system that pays the most benefits per covered worker ( Table 26 )
• the fifth-highest motor fuel taxes in the nation
( Table 12 )