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Benefits, holiday and vacation pay

Holiday and vacation pay are not required to be given to workers, but employers must honor any established policy or agreement they have. 

If you are discharged from employment and your employer has a policy of paying out benefits such as accrued vacation or severance pay, they must do so.

Employers are required to provide sick time.

If you think your employer is violating this law, you can make a complaint or contact us to get help.

Frequently asked questions

For workers

Is my employer required to pay me time and one-half for working on a legal holiday?

Overtime is generally required to be paid only after you work more than 40 hours in one week, regardless of whether or not a holiday occurs in the workweek. Holiday pay is subject to the policy of your employer.

Am I entitled to be paid for unused vacation time or receive severance pay upon termination?

Vacation pay, holiday pay, bonuses, sick leave 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. If you qualify for payment of benefits under the employer’s policy, you should be paid for these upon termination. If you do not receive what you are owed under your employer’s policy, you can reach out to us for more information about your rights. Email help@boli.state.or.us or call 971-673-0761.

For employers

Am I required to pay my employees time and one-half for working on a legal holiday?

Overtime is generally required to be paid only after an employee works more than 40 hours in one week, regardless of whether or not a holiday occurs in the workweek. Holiday pay is subject to the policy of the employer.

Am I required to pay workers for unused vacation time or provide severance pay upon termination?

Vacation pay, holiday pay, bonuses, sick leave 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 requirement to offer these benefits.

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.



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.​


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