Oregon employment rules for employers
Last verified Sep 24, 2026 · 17 verified rules · How we verify every rule
General information, not legal advice. This page is for general information only and isn’t legal, financial or tax advice. Laws vary by state and change; check the official source or talk to a qualified professional about your situation. Every rule on this page links to its official source.
Minimum wage
Employers in Oregon's non-urban counties must pay at least $14.55 per hour (current BOLI rate; see notes for the period). (U.S. DOL WHD, State Minimum Wage Laws (Oregon)) Employers in the Portland metro area (inside the urban growth boundary) must pay at least $16.80 per hour (current BOLI rate; see notes for the period). (U.S. DOL WHD, State Minimum Wage Laws (Oregon)) Employers in Oregon's standard counties must pay at least $15.55 per hour (current BOLI rate; see notes for the period). (U.S. DOL WHD, State Minimum Wage Laws (Oregon))
What is the minimum wage?$14.55 to $16.80 per hourVerified Sep 24, 2026 · 2 official sources
Non urban: Employers in Oregon's non-urban counties must pay at least $14.55 per hour (current BOLI rate; see notes for the period). (U.S. DOL WHD, State Minimum Wage Laws (Oregon))
“Basic Minimum Rate (per hour): $15.55 (standard state rate); $16.80 (Portland Metro Area); $14.55 (Non-Urban counties)”
“$14.55 per hour - Non-urban”
dol.gov · oregon.gov · verified Sep 24, 2026 · 2 official sources
Portland metro: Employers in the Portland metro area (inside the urban growth boundary) must pay at least $16.80 per hour (current BOLI rate; see notes for the period). (U.S. DOL WHD, State Minimum Wage Laws (Oregon))
“Basic Minimum Rate (per hour): $15.55 (standard state rate); $16.80 (Portland Metro Area); $14.55 (Non-Urban counties)”
“$16.80 per hour - Portland metro”
dol.gov · oregon.gov · verified Sep 24, 2026 · 2 official sources
General rule: Employers in Oregon's standard counties must pay at least $15.55 per hour (current BOLI rate; see notes for the period). (U.S. DOL WHD, State Minimum Wage Laws (Oregon))
“Basic Minimum Rate (per hour): $15.55 (standard state rate); $16.80 (Portland Metro Area); $14.55 (Non-Urban counties)”
“$15.55 per hour - Standard”
dol.gov · oregon.gov · verified Sep 24, 2026 · 2 official sources
Used in: How to hire your first employee
Paydays
How often do you have to pay?MonthlyVerified Sep 24, 2026 · 2 official sources
Oregon employers must keep regular paydays; paydays may not be more than 35 days apart (DOL table: monthly). (U.S. DOL WHD, State Payday Requirements)
“Oregon X Pennsylvania”
“Employers must establish and maintain regular paydays. Paydays may not be more than 35 days apart or more than 35 days from the date the employee entered upon their work.”
Used in: How to hire your first employee
Meal breaks
Do adult employees get a meal break?Verified: see ruleVerified Sep 24, 2026 · 2 official sources
Oregon employers must give a ½ hour (30-minute) meal period, relieved of all duty, to non-exempt employees who work 6 or more hours in a work period. (Administrative (Oregon), per U.S. DOL WHD meal period table)
“½ hour, with relief from all duty, for each work period of 6 to 8 hours, between 2nd and 5th hour for work period of 7 hours or less and between 3rd and 6th hour for work period over 7 hours”
“Meal periods of at least 30 minutes must be provided to non-exempt employees who work 6 or more hours in one work period. No meal period is required if the work period is less than 6 hours. Additional meal periods are required to be provided to employees who work 14 hours or more in a shift.”
Oregon break laws: full page · Break laws by state
Rest breaks
Do adult employees get paid rest breaks?10 min per 4 hoursVerified Sep 24, 2026 · 2 official sources
Oregon employers must give a paid rest period of at least 10 minutes for every 4 hours worked (or major part thereof), separate from the meal period. (Administrative (Oregon), per U.S. DOL WHD rest period table)
“Paid 10-minute rest period for every 4-hours worked or major portion thereof in one work period; as feasible, approximately in middle of each segment of work period.”
“Oregon law requires an employer-paid rest period of not less than 10 minutes for every segment of four hours or major part thereof (two hours and one minute through four hours) worked in one work period.”
Oregon break laws: full page · Break laws by state
Final paycheck
If you fire someone, when is the last paycheck due?Next business dayVerified Sep 24, 2026 · 2 official pages from the same agency
A fired or laid-off employee must receive the final paycheck by the end of the next business day. (Oregon BOLI, Paychecks (ORS 652.140))
“If you are let go or fired, your final paycheck is due by the end of the next business day.”
“If you are fired or laid off, you must get your last paycheck by the end of the next business day, with limited exceptions.”
If an employee quits, when is the last paycheck due?Depends on the caseVerified Sep 24, 2026 · 2 official pages from the same agency
With notice: An employee who quits with at least 48 hours’ notice (excluding weekends and holidays) must be paid on the last day of employment; if that day is a weekend or holiday, by the next business day. (Oregon BOLI, Paychecks (ORS 652.140))
“If you quit with at least 48 hours notice, your final check is due on your last day of employment, unless that day is a weekend or a holiday. In that case, your check is due on the next business day.”
“If you quit with at least 48 hours’ notice, you must get your last paycheck on your last day of employment.”
oregon.gov · oregon.gov · verified Sep 24, 2026 · 2 official pages from the same agency
Without notice: An employee who quits with less than 48 hours’ notice must be paid within five business days or on the next regular payday, whichever comes first. (Oregon BOLI, Paychecks (ORS 652.140))
“If you quit with less than 48 hours’ notice (not including weekends and holidays) your paycheck and any wages owed are due within five business days or on the next regular payday, whichever comes first.”
“If you do not give 48 hours’ notice, you must get your last paycheck within 5 business days or the next payday, whichever is first.”
oregon.gov · oregon.gov · verified Sep 24, 2026 · 2 official pages from the same agency
Oregon final paycheck law: full page · Final paycheck laws by state · Final paycheck date calculator
Used in: How to fire an employee in your state · Employee no call, no show: what to do · An employee resigned: what to do next
Unused vacation (PTO) at separation
Do you have to pay out unused vacation when someone leaves?Depends on your policyVerified Sep 24, 2026 · 2 official pages from the same agency
Oregon law does not require employers to offer vacation pay, but an employer must honor any established policy or agreement on paying accrued vacation at termination. If the worker qualifies under the policy, it must be paid at termination. (Oregon BOLI, Benefits, holiday and vacation pay)
“Vacation pay, holiday pay, bonuses, and severance pay are examples of wage agreements which may be made between employers and employees as a part of the employee’s total compensation. There is no legal requirement to offer these benefits. Your employer is required to honor any established policy or agreement relating to the payment of benefits such as accrued vacation or severance pay upon termination.”
“You are, however, required to honor any established policy or agreement relating to the payment of benefits such as accrued vacation or severance pay upon termination. If the worker qualifies for payment of benefits under your policy, you should pay these upon termination.”
Used in: How to fire an employee in your state · An employee resigned: what to do next
Paid sick leave
Do you have to give paid sick leave?Yes, statewideVerified Sep 24, 2026 · 2 official pages from the same agency
Accrual: Oregon sick time: employees accrue at least 1 hour of protected sick time for every 30 hours worked (employers may instead frontload at least 40 hours at the start of the year). (Oregon BOLI, Sick time (For Workers))
“You get at least 1 hour of protected sick time for every 30 hours you work up to 40 hours per year. (Employers can choose to frontload at least 40 hours of sick time at the beginning of the year.)”
“All Oregon workers get protected sick time. You get at least 1 hour of protected sick time for every 30 hours you work up to 40 hours per year.”
oregon.gov · oregon.gov · verified Sep 24, 2026 · 2 official pages from the same agency
Annual cap: Accrual is required up to 40 hours of sick time per year. (Oregon BOLI, Sick time (For Workers))
“You get at least 1 hour of protected sick time for every 30 hours you work up to 40 hours per year. (Employers can choose to frontload at least 40 hours of sick time at the beginning of the year.)”
“All Oregon workers get protected sick time. You get at least 1 hour of protected sick time for every 30 hours you work up to 40 hours per year.”
oregon.gov · oregon.gov · verified Sep 24, 2026 · 2 official pages from the same agency
Employer coverage: Sick time must be paid if the employer has 10 or more employees (6 or more if it has a location in Portland); smaller employers must still provide protected but unpaid sick time. (Oregon BOLI, Sick time (For Workers))
“You get paid sick time if your employer has 10 or more employees (6 or more if they have a location in Portland). Otherwise, sick time is protected but unpaid.”
“You get paid sick time if your employer has 10 or more employees (6 or more if they have a location in Portland). Otherwise, sick time is protected but unpaid.”
oregon.gov · oregon.gov · verified Sep 24, 2026 · 2 official pages from the same agency
Oregon paid sick leave law: full page · Paid sick leave laws by state
At-will employment
Yes. Oregon follows at-will employment, with these exceptions (U.S. District Court, D. Or., No. 6:04-cv-06326 (Oct. 5, 2005), quoting Sheets v. Knight, 308 Or. 220 (1989)):
- Public policy: Recognized (U.S. District Court, D. Or., No. 3:06-cv-01012 (Dec. 3, 2007), citing Sheets v. Knight, 779 P.2d 1000, 1006 (Or. 1989) and Nees v. Hocks, 536 P.2d 512 (Or. 1975))
- Implied contract: Recognized (U.S. District Court, D. Or., No. 3:23-cv-00136, citing Yartzoff v. Democrat-Herald Publ'g Co., 281 Or. 651, 656-57 (1978) and Lawson v. Umatilla Cnty., 139 F.3d 690, 693 (9th Cir. 1998))
- Good faith and fair dealing: Not recognized (U.S. District Court, D. Or., No. 6:04-cv-06326 (Oct. 5, 2005), quoting Sheets v. Knight, 308 Or. 220 (1989))
Public policy exception: recognized?RecognizedVerified Sep 24, 2026 · 2 official pages from the same agency
Oregon recognizes the common-law tort of wrongful discharge as a narrow exception to at-will employment, in two situations: discharge for performing a public duty or fulfilling a societal obligation (for example jury duty, Nees v. Hocks), and discharge for exercising an important job-related right. (U.S. District Court, D. Or., No. 3:06-cv-01012 (Dec. 3, 2007), citing Sheets v. Knight, 779 P.2d 1000, 1006 (Or. 1989) and Nees v. Hocks, 536 P.2d 512 (Or. 1975))
“Oregon courts have recognized two circumstances that give rise to this tort: (1) discharge for performing a public duty or fulfilling a societal obligation and (2) discharge for exercising an important job-related right.”
“Oregon courts have recognized two circumstances that give rise to this tort: (1) discharge for performing a public duty or fulfilling a societal obligation and (2) discharge for exercising an important job-related right.”
Implied contract exception: recognized?RecognizedVerified Sep 24, 2026 · 2 official pages from the same agency
Statements in an employee handbook can become part of the employment contract (Yartzoff v. Democrat-Herald), but a clear disclaimer in the handbook or personnel policies keeps the employee at will. (U.S. District Court, D. Or., No. 3:23-cv-00136, citing Yartzoff v. Democrat-Herald Publ'g Co., 281 Or. 651, 656-57 (1978) and Lawson v. Umatilla Cnty., 139 F.3d 690, 693 (9th Cir. 1998))
“Under certain circumstances, an employee’s acceptance of workplace policies may constitute a valid contract with the employer.”
“(“[S]tatements in the [employee] handbook were intended and considered by both parties to be a part of plaintiff’s original contract of employment” and “[i]t follows that her continued employment after receiving the handbook provided sufficient consideration for any such modification of the original contract of employment”)”
Good faith and fair dealing exception: recognized?Not recognizedVerified Sep 24, 2026 · 2 official pages from the same agency
The Oregon Supreme Court (Sheets v. Knight) declined to apply the duty of good faith and fair dealing to an employer's right to discharge an at-will employee. (U.S. District Court, D. Or., No. 6:04-cv-06326 (Oct. 5, 2005), quoting Sheets v. Knight, 308 Or. 220 (1989))
“This Court has never held that the duty of good faith and fair dealing applies to at-will employment contracts, insofar as the right to discharge at will is concerned.”
“In the context of at-will employment contracts, there is no duty of good faith and fair dealing "insofar as the right to discharge at will is concerned."”
Used in: How to write up an employee (the right way, in your state) · How to put an employee on a performance improvement plan · Employee no call, no show: what to do · Insubordination: what counts, and how to handle it
Service letter (reason for termination)
Do you have to give a written reason for the termination on request?Not verified yetCheck the official source
We have not verified this rule for Oregon yet. Check the official source: oregon.gov.
Used in: How to write up an employee (the right way, in your state) · How to fire an employee in your state
Separation notice
Do you have to give a separation notice when someone leaves?YesVerified Sep 24, 2026 · 2 official sources
Oregon requires each subject employer to post, where all employees can read it, the Employment Department's notice concerning unemployment insurance (Form 11). The stored official sources describe only this posting requirement, not a separate notice handed to employees at separation. (OAR 471-031-0010 (Posting of Notices By Employers))
“Each subject employer shall post, in a place conspicuous to all employees, a notice provided by the Employment Department stating that the employer is subject to the Employment Department Law.”
“If you are a subject employer, you'll also need to post the notice concerning Unemployment Insurance (Form 11) where your employees can read it.”
Used in: How to fire an employee in your state
Oregon topic pages
Final pay after firing, neighbors
| State | Final pay after firing |
|---|---|
| Oregon | Next business day |
| Washington | Next regular payday |
| Idaho | Not verified |
| Nevada | Not verified |
| California | Immediately |
Only verified rules are shown. "Not verified" means we have not checked that state's rule yet; open its rulebook for the official source.
What an employee costs in Oregon
Beyond the salary, an employer pays these payroll taxes on each employee. Rates for 2026, from official sources:
- Social Security: 6.2% of wages, up to $184,500 per employee in 2026 (Publication 15).
- Medicare: 1.45% of all wages, with no wage base limit (Topic 751).
- Federal unemployment (FUTA): 6.0% of the first $7,000 of each employee's wages, with a credit of up to 5.4% for state unemployment taxes paid, so usually 0.6% (Topic 759).
- FUTA credit reduction: Oregon is not on the DOL list for 2025 (final) or 2026 (potential), so the full 5.4% credit is available if state unemployment taxes are paid in full and on time (U.S. DOL, FUTA credit reductions; Topic 759).
- Oregon unemployment insurance: taxes apply to the first $56,700 of each employee's wages. Rates for experience-rated employers run from 0.90% to 5.40%; the new-employer base rate is 2.4%. Source: U.S. DOL, Significant Provisions of State UI Laws, effective July 2026, page 4. The DOL notes that higher rates may apply by industry and that the table "is not an official interpretation of state UI laws". Find the Oregon unemployment agency.
A worked example: $40,000 salary
Estimate, before benefits and workers' comp; check with your payroll provider. It assumes a new employer, a full year of wages and the full FUTA credit.
| Tax on a $40,000 salary | Per year |
|---|---|
| Social Security, 6.2% (Topic 751) | $2,480 |
| Medicare, 1.45% (Topic 751) | $580 |
| Federal unemployment (FUTA), 0.6% of the first $7,000 (Topic 759) | $42 |
| Oregon unemployment insurance, new-employer rate 2.4% of the first $56,700 (DOL, July 2026) | $960 |
| Estimated total employer taxes | $4,062 |
Estimate: $4,062 is about 10.2% on top of the salary. It leaves out health insurance, retirement contributions, workers' compensation, state disability or paid leave programs and any local taxes.
Federal wage enforcement in Oregon
In FY2021 to FY2025, the U.S. Department of Labor's Wage and Hour Division concluded 245 cases in Oregon (n = 245), finding $4,850,927 in back wages owed to 3,781 employees (DOL enforcement data). Enforcement data is not a violation rate: it shows where federal investigators looked, and many states handle wage claims through their own agencies. Wage violations by industry.
Changes coming in 2027
- Minimum wage, from Jul 1, 2027: the new amount is not announced yet (oregon.gov).
Changelog
- Sep 24, 2026: first verified, 17 rules.
Questions about Oregon employer rules
What is the minimum wage in Oregon?
Employers in Oregon's non-urban counties must pay at least $14.55 per hour (current BOLI rate; see notes for the period). (U.S. DOL WHD, State Minimum Wage Laws (Oregon)) Employers in the Portland metro area (inside the urban growth boundary) must pay at least $16.80 per hour (current BOLI rate; see notes for the period). (U.S. DOL WHD, State Minimum Wage Laws (Oregon)) Employers in Oregon's standard counties must pay at least $15.55 per hour (current BOLI rate; see notes for the period). (U.S. DOL WHD, State Minimum Wage Laws (Oregon))
Is Oregon an at-will state?
Yes. Oregon follows at-will employment, with exceptions. Of the 3 common exceptions, we have verified 3, and 2 are recognized in Oregon (U.S. District Court, D. Or., No. 6:04-cv-06326 (Oct. 5, 2005), quoting Sheets v. Knight, 308 Or. 220 (1989)).
When is the final paycheck due after firing someone in Oregon?
A fired or laid-off employee must receive the final paycheck by the end of the next business day. (Oregon BOLI, Paychecks (ORS 652.140))
Sources (25)
- U.S. DOL WHD, State Minimum Wage Laws (Oregon)
- Oregon BOLI, Minimum Wage
- U.S. DOL WHD, State Payday Requirements
- Oregon BOLI, Paychecks (ORS 652.120)
- Administrative (Oregon), per U.S. DOL WHD meal period table
- Oregon BOLI, Meals and Breaks
- Administrative (Oregon), per U.S. DOL WHD rest period table
- Oregon BOLI, Breaks & Meals / Overtime & Paychecks printable notice
- Oregon BOLI, Benefits, holiday and vacation pay
- Oregon BOLI, Sick time (For Workers)
- Oregon BOLI, Your Rights at Work
- U.S. District Court, D. Or., No. 6:04-cv-06326 (Oct. 5, 2005), quoting Sheets v. Knight, 308 Or. 220 (1989)
- O'Donnell v. Ameresco, Inc., No. 3:23-cv-00085 (D. Or.), citing Sheets v. Knight, 308 Or. 220, 233 (1989) and Elliot v. Tektronix, Inc., 102 Or. App. 388, 396 (1990)
- U.S. District Court, D. Or., No. 3:23-cv-00136, citing Yartzoff v. Democrat-Herald Publ'g Co., 281 Or. 651, 656-57 (1978) and Lawson v. Umatilla Cnty., 139 F.3d 690, 693 (9th Cir. 1998)
- U.S. District Court, D. Or., No. 3:16-cv-02072, quoting Yartzoff v. The Democrat-Herald Pub. Co., 281 Or. 651, 656 (Or. 1978)
- U.S. District Court, D. Or., No. 3:06-cv-01012 (Dec. 3, 2007), citing Sheets v. Knight, 779 P.2d 1000, 1006 (Or. 1989) and Nees v. Hocks, 536 P.2d 512 (Or. 1975)
- U.S. District Court, D. Or., No. 3:07-cv-01002, citing Sheets v. Knight, 779 P.2d 1000, 1006 (Or. 1989)
- OAR 471-031-0010 (Posting of Notices By Employers)
- Oregon Employment Department, Employer Responsibilities
- IRS Publication 15 (2026), Circular E, Employer's Tax Guide
- IRS Topic no. 751, Social Security and Medicare withholding rates
- IRS Topic no. 759, Form 940, Employer's Annual Federal Unemployment (FUTA) Tax Return
- U.S. DOL, Employment and Training Administration: FUTA credit reductions
- U.S. DOL, Office of Unemployment Insurance: Significant Provisions of State Unemployment Insurance Laws, effective July 2026
- U.S. Department of Labor: State labor offices
Checked Sep 24, 2026 · How we verify every rule · Report an error