Oregon HR laws for employers (2026)
The Oregon rules employers ask about most: minimum wage, overtime, final pay, unused vacation, paid sick leave and breaks.
Oregon employment law at a glance
| Minimum wage | $15.55 per hour |
|---|---|
| Tipped cash wage | Full minimum wage, no tip credit: tip credits are illegal in Oregon. |
| Overtime | Time and a half after 40 hours a week; daily overtime after 10 hours applies only in certain manufacturing, cannery, packing plant and mill settings. |
| Final pay when fired | By the end of the next business day after termination (also for layoffs and mutual-agreement separations). |
| Final pay when an employee quits | On the last day of work if the employee gave at least 48 hours' notice (excluding weekends/holidays); without that notice, within 5 business days or the next regular payday, whichever comes first. |
| Unused vacation / PTO at separation | Not required by state law; accrued vacation must be paid only if the employer's policy or agreement provides for it. |
| Paid sick leave | Yes: 1 hour per 30 hours worked; paid for employers with 10+ Oregon employees (6+ if they have a Portland location), unpaid but protected for smaller employers. Employers may cap use at 40 hours per year, carryover at 40 and balances at 80. |
| Meal breaks | 30-minute unpaid meal period, relieved of all duties, for work periods of 6 hours or more (timing windows apply); a second meal period for shifts of 14+ hours. |
| Rest breaks | Paid 10-minute rest break for every 4-hour segment of work or major part of one (two breaks in an 8-hour shift). |
Minimum wage note: Three regional rates, effective July 1, 2026 through June 30, 2027: $15.55 standard, $16.80 Portland metro, $14.55 non-urban counties. Earlier 2026 rates (July 1, 2025-June 30, 2026) were $15.05 standard, $16.30 Portland metro, $14.05 non-urban. Adjusted each July 1 for inflation; the July 2027 rate is not yet announced.
Other Oregon rules to know
- Paid Leave Oregon: state paid family, medical and safe leave program (up to 12 weeks/year); employers with 25+ employees pay 40% of the 1% contribution.
- Non-competes are enforceable only for employees earning over a yearly threshold ($119,541 for 2026), last at most 12 months, and require written notice two weeks before employment starts.
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Frequently asked questions
What is the minimum wage in Oregon in 2026?
$15.55 per hour, effective July 1, 2026. Three regional rates, effective July 1, 2026 through June 30, 2027: $15.55 standard, $16.80 Portland metro, $14.55 non-urban counties. Earlier 2026 rates (July 1, 2025-June 30, 2026) were $15.05 standard, $16.30 Portland metro, $14.05 non-urban. Adjusted each July 1 for inflation; the July 2027 rate is not yet announced.
When is a final paycheck due in Oregon?
If the employer ends employment: By the end of the next business day after termination (also for layoffs and mutual-agreement separations). If the employee quits: On the last day of work if the employee gave at least 48 hours' notice (excluding weekends/holidays); without that notice, within 5 business days or the next regular payday, whichever comes first.
Does Oregon require paying out unused vacation?
Not required by state law; accrued vacation must be paid only if the employer's policy or agreement provides for it.
Is paid sick leave required in Oregon?
Yes: 1 hour per 30 hours worked; paid for employers with 10+ Oregon employees (6+ if they have a Portland location), unpaid but protected for smaller employers. Employers may cap use at 40 hours per year, carryover at 40 and balances at 80.
Sources
HR laws in other states
This page is general information for employers, not legal advice. Employment laws change and can vary by city and county. Confirm details with the state labor department or an employment attorney. Read our disclaimer.