New Employment Laws in Oregon: What HR Pros Need to Know

The past two years have meant big changes for Oregon employers. The state has put over 20 new laws on the books that affect employee rights and workplace policies since 2023. The Oregon Bureau of Labor and Industries states that these changes influence everything from minimum wage increases to expanded family leave benefits, making it a priority for HR professionals to stay in the loop.

Why is this relevant to you? Employers in Oregon must adhere to these laws. But it’s also about fostering a workplace where people thrive, and your company can succeed. Your commitment to these regulations shows that your company is responsible, competitive, and honest.

Ignoring or misinterpreting these employment laws can lead to major headaches like fines, lawsuits, and damage to your brand. For example, failure to adhere to the new paid family leave requirements could lead to penalties and increased employee turnover, breaking the bank and disrupting your business operations.

Oregon labor statistics

• Employs nearly 2.2 million people
• 4% unemployment rate
• $270 billion GDP
• Median household income of $77,000

Oregon labor laws employers need to know

Agricultural labor laws:

Oregon’s agricultural workers are eligible for the state minimum wage, which varies by region, ranging from $13.70 to $15.95 per hour, as mandated by the Oregon Bureau of Labor and Industries.

Updates on overtime pay:

In 2023, Oregon rolled out new overtime rules for agricultural workers. These employees are now entitled to overtime pay at one and a half times their usual pay rate for any hours worked beyond 55 in a workweek. The threshold for overtime pay will gradually decrease to 40 hours by 2027.

Rest periods:

The Oregon Bureau of Labor and Industries requires agricultural workers to take at least a 30-minute meal break every 6 to 8 hours and an additional rest break of 10 minutes every 4 hours worked. Employers are expected to comply with Oregon OSHA's health and safety regulations, which means providing sanitary facilities, safe drinking water, and training on handling pesticides and other chemicals properly. In-depth criteria can be found on the Oregon OSHA website.

Protected and productive:

Employers who supply housing for migrant workers have to meet specific safety, capacity, and cleanliness protocols instituted by the Oregon Health Authority. These agricultural labor laws protect employee rights and guarantee ethical working conditions within Oregon’s agricultural industry. Adhering to these regulations prevents legal troubles and supports a positive workplace environment.

Child labor:

Oregon’s child labor laws guarantee minors’ health and safety in the workforce. These rules say what kind of work minors are permitted to do, how many hours they may work, and under what conditions they may legally work.

In Oregon, the minimum age to start working is 14 years old. Most non-hazardous jobs allow individuals under 18 to work. However, minors are prohibited from engaging in dangerous occupations involving heavy machinery operations, handling toxic chemicals, and construction work. These limitations help keep young employees safe and injury-free while they’re on the clock.

Permits and documentation:

Employers must obtain an employment certificate for each minor they hire. This certificate, issued by the Oregon Bureau of Labor and Industries, verifies the minor’s age and ensures compliance with child labor laws. As an employer, you’re also required to keep records of the minor’s work hours and wages.

Family and Medical Leave (FMLA):

Oregon’s family and medical leave laws offer more generous benefits than federal requirements. The Oregon Family Leave Act provides eligible employees up to 12 weeks off without pay for medical and family reasons, including the birth or adoption of a child, certain health conditions, and care for a sick family member. In 2023, the state rolled out paid family and medical leave, giving employees the chance to take up to 12 weeks (more in specific situations) with partial wage replacement.

Minimum wage:

Oregon’s minimum wage laws reflect regional living costs and safeguard fair worker compensation. As of 2023, the state has three different minimum wage rates. The minimum wage is $14.70 per hour, covering many cities and towns outside the Portland Metro and nonurban areas.

In the Portland Metro area, the minimum wage is higher at $15.95 per hour, due to higher living costs. This includes Portland and its surrounding urban areas. Non-urban counties have a minimum wage of $13.70 per hour, which reflects their lower living expenses.

Oregon’s minimum wage is adjusted annually using the Consumer Price Index (CPI) based on inflation and the cost of living. These changes are made on July 1st every year to help maintain workers' purchasing power. Oregon requires all workers, including those who earn tips, to be paid at least the minimum wage for their area so everyone has a consistent base income.

In Oregon, minors and trainees earn the same minimum wage as adults; there are no lower wages for younger workers or trainees. So, stick to these rules to avoid any legal headaches or fines.

For more information and updates, visit the Oregon Bureau of Labor and Industries (BOLI).

Pay transparency:

Oregon has strong pay transparency laws to promote fairness and equity in the modern workplace. Employers must pay employees equally for comparable work, regardless of race, gender, or other protected characteristics, according to the Oregon Equal Pay Act.

Employers are prohibited from asking applicants about their salary history before making a job offer. This law aims to close the wage gap by preventing longstanding pay disparities from affecting future salaries.

In Oregon, these laws are designed to promote a work environment that’s fair and just for all employees. The goal is to make sure employers comply with state regulations and treat all employees equally.

Stay ahead of compliance updates with BambooHR^®

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At BambooHR, we understand you need to focus on what really matters—building an exceptional workplace. Check out how BambooHR can support your compliance efforts and schedule a free demo today!