Oregon Payroll Laws (2024 Guide For Employers)

This article will answer the following questions about Oregon payroll laws:

  • What are Oregon’s final check requirements?
  • What are the minimum wage laws in Oregon?
  • How does predictive scheduling work in Oregon?
  • What are recordkeeping requirements in Oregon?

Our one-stop guide to payroll and employment laws in the state of Oregon will break down the key points you need to know. Without wasting any time, let’s dive straight in.

Disclaimer: Despite our best efforts to provide you with accurate information on this topic at the time of writing, we cannot guarantee the accuracy of the content at the time of reading. This blog article is for informational purposes only and should not be considered legal advice. Consult an attorney for specific guidance on Oregon payroll laws.

Oregon’s Minimum Wage Laws (Key Takeaways)

Oregon’s minimum wage laws are designed to ensure that employees are fairly compensated for their labor. The minimum wage in Oregon varies depending on the region.

As of July 2023, the standard rate for the rest of the state is $14.20 per hour.

The minimum wage in the Portland Metro area is $15.45 per hour. In non-urban counties, it’s $13.20 per hour.

It is crucial for both employers and employees to be aware of these regional distinctions and keep track of any updates to the minimum wage rates.

Final Paycheck Requirements in Oregon (How Does It Work?)

When an employment relationship ends, Oregon law mandates that employers provide a final paycheck to the departing employee within specific timeframes. The specific requirements depend on the circumstances surrounding the termination of employment:

  • If an employee quits with at least 48 hours’ notice (excluding weekends and holidays), the employer must provide the final paycheck on the employee’s last working day.
  • If an employee quits without providing 48 hours’ notice, the employer must provide the final paycheck within five business days or on the next regularly scheduled payday, whichever comes first.
  • If an employee is terminated or laid off, the employer must provide the final paycheck by the end of the next business day.

Employers should be aware of these requirements to ensure compliance with Oregon law and avoid potential penalties.

Predictive Scheduling in Oregon (What Are These Laws?)

Oregon has implemented predictive scheduling laws to promote a stable and predictable work environment for employees in certain industries.

Under these regulations, covered employers must provide employees with advance notice of their work schedules and offer additional compensation for last-minute schedule changes.

Predictive scheduling laws apply to large retail, hospitality, and food service establishments with over 500 employees worldwide.

Key requirements of Oregon’s predictive scheduling laws include:

  • Providing new employees with a written estimate of their work schedule upon hire.
  • Providing employees with at least seven days’ advance notice of their work schedules (increasing to 14 days in 2023).
  • Providing additional compensation for employees when their schedules are changed with less than the required advance notice.

Employers subject to these regulations should familiarize themselves with the specific requirements and ensure that their scheduling practices are in compliance with Oregon law.

Employment at Will in Oregon (How Does It Work?)

Oregon is an employment-at-will state, meaning that both employers and employees have the right to terminate the employment relationship at any time and for any reason, as long as the reason is not illegal or in violation of public policy

However, there are several exceptions to the at-will doctrine, including:

  • Employment contracts that specify a definite term or limit the reasons for termination.
  • Collective bargaining agreements that govern the terms and conditions of employment for unionized workers.
  • Federal and state anti-discrimination laws that prohibit employers from terminating employees based on protected characteristics, such as race, color, religion, sex, national origin, age, disability, or sexual orientation.

It is crucial for both employers and employees to understand their rights and responsibilities under Oregon’s employment-at-will doctrine and the various exceptions that may apply.

Overtime Regulations in Oregon (What Are The FLSA Rules?)

Oregon follows the federal Fair Labor Standards Act (FLSA) when it comes to overtime pay.

Under the FLSA, employees who work more than 40 hours in a workweek are generally entitled to overtime pay at a rate of one and a half times their regular rate of pay.

There are, however, certain exemptions to the overtime requirements for specific categories of employees, such as executive, administrative, and professional employees, as well as certain salespeople and agricultural workers.

Employers should carefully review the FLSA and Oregon’s overtime regulations to ensure compliance and avoid potential wage and hour disputes.

Oregon Paid Family & Medical Leave (Who Is Eligible?)

Oregon has enacted a Paid Family and Medical Leave (PFML) program, which provides eligible employees with paid leave for various family and medical reasons, including bonding with a new child, caring for a seriously ill family member, or recovering from a serious health condition.

The PFML program is funded by payroll contributions from both employers and employees, with benefits set to become available starting in 2023.

Key aspects of Oregon’s PFML program include:

  • Up to 12 weeks of paid leave per year, with additional leave available under certain circumstances.
  • Wage replacement benefits based on an employee’s average weekly wage, up to a maximum cap.
  • Job protection and continuation of health benefits for employees who take leave under the program.

Both employers and employees should familiarize themselves with the requirements of Oregon’s PFML program to ensure compliance and take full advantage of the available benefits.

Recordkeeping Requirements for Oregon Employers (What Does This Include?)

Oregon law requires employers to maintain accurate and up-to-date records of employees’ work hours, wages, and other employment-related information. Key recordkeeping requirements include:

  • Maintaining records of employees’ names, addresses, occupations, and work hours.
  • Recording the amount of wages paid to each employee, including regular pay, overtime pay, and deductions.
  • Retaining payroll records for at least three years.

Employers should establish and maintain a thorough recordkeeping system to ensure compliance with Oregon’s employment laws and to facilitate the resolution of any wage and hour disputes that may arise.

Workday, Hours of Work, & Overtime Compensation (What Are Employees Entitled To?)

Oregon labor laws regulate the number of hours employees can work and the payment of overtime compensation. Employees are generally entitled to overtime pay when they work more than 40 hours in a workweek.

The regular hourly rate must be multiplied by one and a half times to calculate the overtime compensation rate. Employers must keep track of hours worked and pay overtime as required by law.

Meal Breaks & Rest Breaks in Oregon (What Are The Labor Laws?)

Oregon labor laws mandate that employers provide employees with meal breaks and rest breaks during their workday. Employees who work at least six hours in a day are entitled to a 30-minute unpaid meal break, while those who work at least four hours are entitled to a 10-minute paid rest break for every four-hour period worked.

Equal Pay & Wage Discrimination

Oregon labor laws prohibit employers from discriminating in the payment of wages based on an employee’s race, color, religion, sex, sexual orientation, national origin, marital status, age, or disability.

The Oregon Equal Pay Act requires employers to pay employees equal wages for substantially similar work, regardless of their protected characteristics.

Sick Leave, Time Off, & Domestic Violence Leave

Oregon requires employers to provide employees with up to 40 hours of paid sick leave per year, depending on the size of the employer and the number of hours the employee has worked. Eligible employees may use sick leave for various reasons, including their own or a family member’s illness, injury, or medical appointments, as well as absences related to domestic violence, sexual assault, or stalking.

Minors & Child Labor Laws

Oregon has specific labor laws governing the employment of minors, including restrictions on the hours they can work, the types of jobs they can perform, and the required documentation. Employers who hire minors must comply with Oregon child labor laws and obtain the necessary work permits from the Oregon Bureau of Labor and Industries.

On-Call, Canneries, & Domestic Workers (Do They Have Unique Provisions?)

Oregon labor laws have unique provisions for certain types of employees and industries. For example, on-call employees may be entitled to pay even when not actively working, depending on the level of control the employer exercises over their time.

Additionally, specific regulations apply to canneries, domestic workers, and other specialized industries. Employers should consult with a labor law attorney to ensure compliance with all applicable laws for their specific industry.

Mutual Agreement & Exempt Employees

In some cases, employers and employees may mutually agree to different wage and hour arrangements, such as flexible work schedules or alternative overtime compensation.

However, any such agreements must still comply with federal and state labor laws, and employers must be cautious not to violate employees’ rights.

Oregon Payroll Laws (Closing Thoughts)

Complying with Wisconsin labor laws is crucial for employers to maintain a productive work environment and avoid potential legal disputes or fines. While this guide offers an overview of the most important aspects of Wisconsin labor laws, but employers should consult with a labor law attorney for guidance specific to their situation.

Disclaimer: Not Legal Advice

The information provided in this article is intended for informational purposes only and does not constitute legal advice. Laws and regulations may change over time, and each employer’s situation may be unique. Employers and employees should consult with an attorney or a qualified professional for specific guidance regarding their rights and obligations under Oregon labor laws and federal regulations.

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