Quiet Quitting Washington: Business leaders warn of tipping point, outline fixes
During the “Quiet Quitting: The Silent Exit from Washington,” session of ELC 2025, local leaders discussed rising costs, tax policy, and the growing phenomenon of residents and employers quietly reducing their footprint in the state. The conversation underscored near-term risks to Washington’s competitiveness and urged constructive engagement with lawmakers — an issue with direct implications for Bellevue’s business climate and talent pipeline.
Dean Deutz (RBC Wealth Management) and Colllin Hathaway (Flint Group) discuss why people are exiting Washington in a breakout room panel moderated by Kari Magill (Rowley Properties).
Panelists described a widening gap between Washington’s quality-of-life promise, and the day-to-day realities of doing business, recruiting, and retaining employees. They pointed to fewer visible jobs, higher costs, and growing frustration, especially among mid-income renters and small employers, warning that sentiment is shifting from advocacy to exit.
Panelists stressed that this is not about any single issue; it’s the cumulative effect of cost pressures and policy choices. For the Eastside, where employers compete nationally for talent, these dynamics can slow hiring, complicate relocation decisions, and increase the cost of doing business.
Speakers differed on whether Washington has already hit a “point of no return,” but agreed the window to course-correct is narrowing. They warned that the most visible signal would be a major employer’s relocation; meanwhile, a quieter trend is already underway.
“I think the most obvious one will be when one of the big companies relocates.” — Collin Hathaway
Panelists also noted “quiet leaving,” where individuals spend significant time out of state for tax reasons while maintaining local ties, making the outflow harder to track and easier to underestimate.
Collin Hathaway (Flint Group) discusses the tipping point for Washington and government spending.
Tax Policy, Front & Center
Capital gains and estate taxes dominated the policy conversation, as panelists argued that current rates discourage investment and prompt some high earners and founders to delay transactions or spend more time out of state, constraining the capital circulation that fuels startups, jobs, and philanthropy.
“The 7% capital gain tax is just too much ... and then 10 for over a million? It's too much.” — Dean Deutz, RBC Wealth Management
Others favored returning to earlier (circa 2010–2011) tax and regulatory settings, arguing that strong revenue growth during those years demonstrates Washington can fund priorities without rates that drive people and capital away. While views diverged, the emphasis was on pragmatic changes that broaden the base and stabilize the climate for investment.
The Case for Dialogue and Data
The panel also urged business leaders — both on the Eastside and statewide — to engage lawmakers with real-world data and constructive solutions.
“It was actually kind of challenging to find people who have already left the state ... Because nobody wants to be the poster child.” — Kari Magill, Rowley Properties
“People are leaving or making decisions, but they're not talking about it out loud, because there's no benefit.” — Collin Hathaway, Flint Group
Panelists recommended moving debates away from partisan frames and toward shared objectives like growth, affordability, and safe, vibrant communities.