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Legislative Updates

The regular session of the Legislative Assembly gaveled down on June 27th, 2025.

Make sure you are aware of new laws that could impact your business operations.

The following information summarizes several bills most likely to impact employers across the state. For access to all the legislation from this year's session, visit the Oregon State Legislature website.

Note: Changes to BOLI administrative rules and the option to receive notifications of changes are available from the BOLI Rulemaking page.

Interested in periodic employment law updates and BOLI training opportunities? Enter your email in the Subscribe for Updates box at the bottom of this page!

Legislation generally takes effect January 1st of the calendar year following passage. ORS 171.022. The assembly can, however, specify an earlier effective date. 

Effective on Passage

HB 2541 – ​Oregon law provides most employees with the right to express breast milk in the workplace. Covered employees have the right to take reasonable rest breaks and access a location (apart from a public restroom or toilet stall) which is close to their work area to express milk in private.

That protection has not applied to employees who are exempt from minimum wage (listed at ORS 653.020), apart from salaried exempt employees.

HB 2541 extends the right to express milk in the workplace to certain agricultural employees who were previously excluded from those protections. These are individuals who:

  • Are employed on a piece-rate basis as a hand harvest or pruning laborers,
  • Commute daily from a permanent residence to the farm on which they are employed, and
  • Have been employed in agricultural labor less than 13 weeks during the preceding calendar year.
​

HB 2541 included an emergency clause and became effective May 7, 2025.​​

​HB 2957 makes two changes to the law regarding the time available for filing a civil action on civil rights violations that would fall within BOLI's authority.

First, the bill prohibits an employer from entering into an agreement with a former, current, or prospective employee that has the effect of shortening a statute of limitations with respect to a violation within BOLI's enforcement authority.

Second, the bill generally requires BOLI to issue a notice on dismissal of a complaint or the one-year anniversary following the filing of the complaint.

If BOLI has completed an investigation and dismissed the complaint after finding no substantial evidence of a violation, the time available to file a civil action is:

  • A minimum of 90 days (if less than 90 days would otherwise be available to file a civil action); or
  • The amount of time that would otherwise be available to file a civil action, up to a maximum of one year from the issuance of BOLI's notice.

​If BOLI does not complete an investigation or if BOLI completes an investigation and finds substantial evidence of a violation, the time available to file a civil action is:

  • A minimum of 90 days (if less than 90 days would otherwise be available to file a civil action); or
  • The amount of time that would otherwise be available to file a civil action.

HB 2957 included an emergency clause and became effective June 24, 2025.

Effective September 26, 2025

​HB 2248 addresses several aspects of BOLI operations.

First, the bill establishes Employer Assistance as a formal Division to provide education, training, and interpretive guidance, including advisory opinions, to employers to assist employers to comply with laws enforced by BOLI.

The bill exempts discussion communications with that division from disclosure under ORS 192.311 to 192.478 and generally makes those communications inadmissible before the Bureau unless the employer requests disclosure.

The bill generally prohibits BOLI from imposing a penalty on an employer (other than those remedies or penalties that go to an employee) when an employer relies on discussion communications in good faith.

Apart from protecting discussion communications, the bill permits BOLI to issue publicly available advisory opinions.

Finally, the bill formalizes BOLI's ability to enter into a settlement with respect to any violation of law over which the agency has jurisdiction.

BOLI may settle a matter through mediation or other alternative dispute resolution processes. In addition, communications made during the course of or in connection with these settlement discussions are largely confidential.

HB 2248 becomes effective September 26, 2025, 91 days after sine die.

HB 2688​ amends the definition of “Public works" to which prevailing wage rate o​bligations would apply by adding certain bespoke offsite fabrication, assembly, preconstruction or construction work when performed for a particular public work.

Note: Although the bill becomes effective September 26, 2025, 91 days after sine die, the amendments to prevailing wage rate law apply to procurements that a contracting agency solicits (or if the contracting agency does not solicit the procurement) to public contracts that a contracting agency enters into, on or after July 1, 2026.​

​HB 3187 ​​generally prohibits an employer, prospective employer, or employment agency from requesting or requiring an applicant to disclose:

  • Their age, or date of birth, or
  • When they attended or graduated from any educational institution.

This prohibition applies until the completion of an interview or a conditional offer of employment (where there is no interview).​

An exception applies if requesting age-related information is required to:

  • Affirm the applicant meets bona fide occupational qualifications; or
  • Comply with any provision of federal, state or local law, rule or regulation.

HB 3187 becomes effective September 26, 2025, 91 days after sine die.​

​SB 69 makes several relatively minor changes to leave provisions of the Oregon Family Leave Act (OFLA), Paid Leave Oregon and Oregon's sick time law.

Regarding Paid Leave, the bill transfers rulemaking authority over job protections and retaliation and discrimination protections to the Bureau of Labor and Industries (BOLI). This portion of the bill does not become operative until January 1, 2026.

The bill also extends (tolls) the time available to file a complaint to enforce employee rights under Paid Leave Oregon. Specifically, the bill extends the available period by any amount of time during which a Paid Leave Oregon appeal is pending with the Oregon Employment Department.

Under the bill, an employer may require ​​fitness for duty certification from an employee prior to restoring them to their position following medical leave under Paid Leave Oregon. An employer may only require this certification pursuant to a uniformly applied practice or policy. ​Employers should note that unless the leave is entirely covered by laws like OFLA, FMLA, and Paid Leave, which specifically authorize fitness for duty certification, such requirements are generally limited to job-related circumstances and are consistent with actual business needs. ​

SB 1515 (2024) clarified that an employer may limit an employee's use of accrued paid leaves to an amount that, when combined with Paid Leave Oregon benefits, equals 100% of wage replacement. ORS 657B.030(2). Under SB 69, the Employment Department may disclose information needed by employers to compute and pay accrued paid leaves up to full wage replacement.  

Regarding OFLA, the bill codifies that sick child leave is available to care for a child under the age of 18 or an adult dependent child who is substantially limited by a physical or mental impairment.

In addition, the bill clarifies that sick child leave may be taken without prior notice for a school or child care closure due to a public health emergency (PHE) unless the PHE was declared more than 30 days prior to taking sick child leave.

SB 69 also amends OFLA eligibility requirements for airline workers who are also subject to federal regulation 29 C.F.R. part 825, subpart H.

Finally, SB 69 codifies that Oregon sick time is available for events that would also qualify for Paid Leave.

SB 69 becomes effective September 26, 2025, 91 days after sine die.

​SB 1176 – Under ORS 659A.410, a place of public accommodation (PPA) generally needs to accept US coins and currency as payment for goods and services. A PPA includes most places that are open to the public. PPAs may accept other forms of payment in addition to coins and currency, but they may not discriminate against anyone because they offer to pay with cash and coin.

The law exempts several types of transactions from this requirement (such as internet transactions).

Exceptions also exist for PPAs that require patrons or event attendees to make purchases within the place of public accommodation using a payment system that transfers or converts cash into a cashless payment instrument (such as tokens, cards, wristbands or other preloaded instruments), provided that the transaction for a cashless payment instrument and the refund of any remaining balance is free.

BOLI is authorized to accept complaints regarding violations of these requirements.

With SB 1176, the Legislature directed BOLI to conduct an ongoing advertising and education effort to publicize and explain PPAs' obligations to accept payment with cash and coins, until a high level of compliance is reached.

The directives of SB 1176 become effective September 26, 2025, 91 days after sine die.​​

Effective January 1, 2026

​HB 3550 creates a new exemption to the general requirements to pay minimum wage, applicable overtime, and provide rest and meal periods. The exemption applies to an individual who has entered into a contract to play minor league baseball for a professional sports organization and who is subject to a collective bargaining agreement, the terms of which provide for the payment of wages and working conditions.

HB 3550 takes effect January 1, 2026​​​

​SB 426 creates liability for property owners and contractors for the unpaid wages of unrepresented employees on construction projects.

An unrepresented employee, a third-party representative, or the Attorney General may bring a civil action against the property owner, direct contractor, or subcontractor for unpaid wages within two years from the date the wages and benefits were due. The court may award interest, penalty wages, damages and attorney fees.  

Prior to commencing a civil action, a person must send written notice of nonpayment. If the violation is corrected within 21 days of the notice, a civil action may not be brought.

There is a rebuttable presumption that a person performing the labor within the scope of the construction contract is an employee.

An owner or direct contractor may seek recovery against a subcontractor for any amount paid, but any agreement to waive or release an owner or direct contractor or to indemnify an owner or direct contractor for liability under this law is invalid.

The law also requires a subcontractor to provide the following if requested by the owner, direct contractor, or third-party representative:

  • Certified payroll reports
  • Contact information for the subcontractor
  • The names of all workers who performed work on the construction project and whether they were classified as employees or independent contractors
  • The names of any subcontractors who contracted with the first-tier subcontractor
  • The anticipated start date of the contract and scheduled duration of the work
  • An affidavit about whether the subcontractor or any current principals of the subcontractor in the last five years have participated in any civil, administrative or criminal proceeding involving a violation of any law providing for payment of wages or imposing a criminal penalty. The affidavit must include the outcome of the proceeding, including damages, fees or penalty amounts paid to workers or a government agency.

The requirement to provide these records to a third-party representative is limited to the records specific to the employee being represented and only to the extent required by Oregon's personnel records law at ORS 652.750.

A subcontractor's failure to provide these records does not relieve the owner or direct contractor of any liability for the unpaid wages, but the owner or direct contractor may withhold payment to a subcontractor if the subcontractor fails to comply with the request for records and to the extent the owner or direct subcontractor has paid wages owed to the employees of the subcontractor.

The bill excludes public agencies from the definition of “owner" and also excludes financial institutions from the definition, if the financial institution does not undertake, contract for, or direct construction work beyond activities necessary to preserve or secure a property acquired through foreclosure or a deed in lieu of foreclosure.

The provisions of the bill also do not apply to work performed on an owner's principal residence or to real property consisting of five or fewer residential or commercial units on a single tract.

SB 426 takes effect January 1, 2026​​

​SB 731 

Under SB 731, public em​ployers that offer a pay differential for a public employee's use of bilingual or multilingual skills on the job must also pay the same differential for an employee's use of American Sign Language.

SB 731 takes effect January 1, 2026​​

​SB 808​ 

Under ORS​ chapter 408, public employers generally need to provide preference in hiring and promotion to veterans and disabled veterans. These preferences include the right to an interview in most cases and a selection procedure that provides a preference to qualified veterans at each stage of the hiring process (5% to veterans and 10% to disabled veterans).

Under SB 808, former and current Oregon National Guard members will also be entitled to a preference at each stage of the hiring process.​

SB 808 takes effect January 1, 2026​

​SB 906

Existing wage and hour laws require employers to provide employees with an itemized pay statement every time the employer pays wages, commissions, or salary to an employee.

Under SB 906, employers must notify all new hires of information about earnings and deductions to help them understand what is contained in the itemized statement.  This information may be provided electronically, with a link to the information on the employer's server or website, by posting it in a conspicuous place on the premises, or by handing the employee the information on paper. The information also must be reviewed and updated by January 1 of each year.

Required elements include: general information on the employer's established regular pay period, all types of pay rates the employee may be eligible for (i.e., hourly, salary, shift differential, piece rate(s) and commission-based pay), all benefit contributions and deductions, every type of applicable deduction, the purpose of all regular deductions, allowances, if any, as part of the minimum wage, employer-provided benefits as contributions and deductions, and all payroll codes for contributions and deductions with a description or definition of each code.

BOLI has produced a template that employers may adapt to meet this requirement - see our page on deductions and pay statements​.

SB 906 takes effect January 1, 2026​​​​

​SB 968

In general, employers may not make deductions from an employee's wages unless the deduction meets specific criteria. ORS 652.610(3).​

Under SB 968, public employers may deduct an overpayment from wages that occurred in the previous 364 days, provided specific notice requirements are met at least 10 calendar days prior to making the deduction:

  • A written statement itemizing the overpayment amount and purpose of each deduction;
  • A written statement indicating that the total amount of a deduction will not exceed five percent of gross pay each pay period, unless the public employee otherwise requests and specifies that a greater percentage or amount be deducted; and
  • A written statement indicating that, if the employee is terminated or otherwise separates from employment, the public employer can recoup the balance owed from the employee's final paycheck.

SB 968 takes effect January 1, 2026​​

​SB 1108 ad​​ds a new qualifying use for Oregon sick time. Oregon employees may use sick time for blood donation made in connection with a voluntary program approved or accredited by the American Association of Blood Banks or the American Red Cross.​

SB 1108 takes effect January 1, 2026​​

​​SB 1148 amends ORS 743B.260 to prohibit​ an insurer from requiring a person eligible for benefits to utilize or apply for Paid Leave Oregon (any available benefit provided under ORS chapter 657B) prior to being eligible for disability benefits offered under a disability income insurance policy.

SB 1148 applies to policies offered, issued,​ or renewed on or after January 1, 2026.​​

Current law prohibits a home health agency or hospice program from compensating a nurse on a per-visit basis.

SB 1168​ amends these provisions to apply instead to “home health care staff” and “home hospice care staff”. It also provides additional definitions and clarification of what is considered compensation on a per-visit basis.

SB 1168 takes effect January 1, 2026




Disclaimer: This website is not intended as legal advice. Any responses to specific questions are based on the facts as we understand them and the law that was current when the responses were written. They are not intended to apply to any other situations. This communication is not an agency order. If you need legal advice, please consult an attorney.​