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Oregon PTO in 2024: Navigating Paid Leave and Beyond

The Paid Time Off (PTO) laws in Oregon have some new inclusions that came into effect on January 1, 2023. If you are an employer in Oregon, it is essential to keep up with the updated PTO Laws to be compliant. We have created this guide to help employers understand the PTO compliance requirements. 

On January 1, 2023, the state of Oregon implemented the paid leave law, formally known as Paid Leave Oregon. This law allows all employees, irrespective of their employer size, to receive paid time off for up to 12 weeks. 

However, note that Paid Leave Oregon is not an exclusive PTO law, and it runs in conjunction with the existing Oregon Sick Time Law and the Oregon Family Leave Act (OFLA). In addition, all employers must also consider federal regulations, such as the Family and Medical Leave Act (FMLA), to ensure full compliance with PTO laws. 

Paid Leave Compensation

Under Paid Leave Oregon law, employers are not required to pay their employees; they are paid from the newly created state fund. Depending on your business size, you must contribute to the state fund as an employer. 

The employees and the rest contribute 60% of the total contribution rate, 40%, by the employer or the state of Oregon if the employer has 25 or fewer employees. 

The Oregon Sick Time Law provides paid or unpaid sick leave to employees, depending on the employer’s size. All employers with 10 or more employees must offer paid sick leave.

Employers should pay 1 hour of sick leave for every 30 hours worked. New employees start earning paid time off as soon as they start working. However, employers can put a waiting period of 90 days before new employees can start using their paid time off. No employee can accrue more than 40 hours a year of paid sick time off. 

Family and Medical Leave Act (FMLA) is the federal law that employers should adhere to along with OFLA. Under federal law, employers should give employees 12 weeks of unpaid time off for medical and family emergencies. 

FMLA Federal Law followed in Oregon

The federal Family and Medical Leave Act (FMLA) provides eligible employees with up to 12 weeks of unpaid, job-protected annual leave for specific family and medical reasons. To be eligible for time off under FMLA, employees should have worked with their current employer for at least 12 months continuously, at least 1250 hours in the last 12 months, and at a site with 50 or more employees within a 75-mile radius. Additionally, FMLA is an application for employers with 50 or more employees. 

The Pregnancy Discrimination Act (PDA)

In addition to the FMLA, the Pregnancy Discrimination Act (PDA) applies to all employers in Oregon. This federal law prohibits discrimination based on pregnancy, childbirth, or related medical conditions. The PDA requires employers to treat pregnant employees the same as other employees with similar abilities or limitations. This includes providing leave for pregnancy-related conditions if the employer provides leave for other temporary disabilities.

Parenting Leave under FMLA

All eligible employees are entitled to up to 12 weeks of maternity/paternity leave under FMLA. Employees can use this time off to care for a newborn child or a newly placed adopted or foster child. This leave is unpaid and generally is offered as an additional benefit.

Birth and Bonding Leave

Birth and bonding leave under FMLA allows eligible employees to take time off to bond with a newborn or newly placed adopted or foster child. It includes 12 weeks of unpaid time off. 

Adoption and Foster Care Leave

FMLA also recognizes adoption and foster care as a reason for unpaid time off, similar to maternity/paternity leave. All eligible employees can ask for adoption or foster care leave of up to 12 weeks to care for an adopted or foster child newly placed in their home. 

Serious Health Condition Leave under FMLA

Eligible employees can take time off under FMLA to care for themselves or a family member if they are suffering from a serious health condition. This leave is unpaid and doesn’t have accrual approval. It is included in the FMLA provision and allows employees to take up to 12 weeks.

Oregon Sick Time Law and Oregon Family Leave Act (OFLA)

The Oregon Family Leave Act (OFLA) is the state law that provides additional protection to employees if they work for an employer with 25 or more workers. Under OFLA, employees can take unpaid leave of up to 12 weeks for home care, pregnancy disability, bereavement, and legal procedures for foster care of a child. 

OFLA provides broader protections than the federal Family and Medical Leave Act (FMLA) and is designed to cover more employers and employees, including those at smaller businesses.

Types of Leave Under OFLA

1. Parental Leave

Parental leave is part of the FMLA provision that gives employees the right to unpaid time off to attend to parental responsibilities such as bonding with a new child after birth, adoption, or foster placement. All employers should provide up to 12 weeks of unpaid PTO for newborns or foster kids.

2. Serious Health Condition Leave

Under OFLA, all employees can get up to 12 weeks of unpaid time off to care for themselves or a family member with a serious health condition. 

3. Military Family Leave

Military family leaves under OFLA provide up to 14 days of time off for employees to spend time with a family member in the military and on leave from active duty. 

4. Pregnancy Disability Leave

OFLA provides up to 12 weeks of leave for employees who are unable to work due to a pregnancy-related disability. It can be used before or after the birth of a child. 

5. Sick Child Leave

Sick child leave under OFLA allows employees to take time off to care for a sick child who requires home care but has no serious health condition. This leave can be up to 12 weeks a year, and is generally unpaid, but employers may offer paid or allow employees to use accrued paid leave.

6. Bereavement Leave

Bereavement leave allows employees to take time off following the death of a family member. Under OFLA, employers must provide up to two weeks of bereavement leave.

When Companies are eligible for both OFLA and FMLA, what do they do?

It can be challenging to decide as Oregon PTO laws include both OFLA and FMLA. Employers must coordinate the two as they can simultaneously count employees against OFLA and FMLA entitlements. 

If an employee needs FMLA or OFLA leave for multiple qualifying conditions or purposes simultaneously or in the same leave year, you can count them against FMLA and OFLA leaves. However, having more than one qualifying condition does not allow employees to extend their entitlement.

Payout Requirements on Termination in Oregon

Employers in Oregon are not required to pay accrued, unused vacation time on termination. This applies to all employees regardless of their employer period or type of employment. However, if there is a clear policy or agreement stating otherwise, employers must adhere to the policies agreed upon. Employers must maintain and communicate clear policies regarding vacation payout with employees to avoid disputes.

Paid Time Off in Oregon


Oregon doesn’t require employers to provide vacation days. It is at the sole discretion of the employers to provide vacation time off, paid or unpaid. Generally, most employers in the state offer vacation days as benefits for a competitive edge. Employers can set their vacation accrual, usage, and payout policies if they comply with state wage payment laws regarding accrued, unused vacation time.

Sick Leave

Oregon allows employees to earn 1 hour of paid sick leave for every 30 hours worked. However, not all employers are required to offer paid sick leave. Under Oregon PTO law, employers with more than 10 employees must provide paid sick leave to employees up to 40 hours per year.

Safe Leave (Sexual, Domestic Violence/Harassment, Stalking, etc.)

Safe leave in Oregon allows employees to take time off to address issues related to sexual or domestic violence, harassment, or stalking. Effective January 1, 2024, all employees can avail up to 160 hours of paid time off every year as safe leave. This time off is in addition to other PTO such as sick days, jury duty, etc. 

Roll-Over/Carried-Forward Leaves

There is no state law on PTO accrual. The roll-over or carried-forward leave rules, such as vacation or paid time off (PTO), largely depend on company policy rather than specific state mandates. Employers can allow or disallow the roll-over of PTO, depending on their company policies. However, if an employer chooses to offer these benefits, they must adhere to the terms of their own established policies or employment contracts. Most employees allow rollover as a benefit; however, they cap the number of hours employees can carry forward to next year.

If you plan to offer accrual and roll-over of leaves, you must: 

Clearly communicate such policies to employees, typically through an employee handbook or a written contract.

If you implement a “use it or lose it” policy, describe that employees must use their vacation or PTO within a given timeframe or forfeit it. 

Provide information on how much vacation or PTO employees can accrue. If you cap the roll-over of PTO, tell employees then when they reach a certain limit, they cannot accrue more time until they use some of their stored leave. 


Paid sick leave is the only paid time off mandated by the Oregon PTO laws. Under the Oregon sick time law, employees accrue one hour of sick leave for every 30 hours worked, up to a maximum of 40 hours per year. Employers can front-load sick leave at the beginning of the year or allow employees to accrue leave over time.

Bereavement Leave

Bereavement leave in Oregon is provided under OFLA, requiring certain employees to offer up to 2 weeks of unpaid time off for bereavement. Employers with 25 or more employees must provide bereavement leave to employees to take time off following the death of a family member. The leave counts against an employee’s total OFLA entitlements. Typically unpaid, some employers choose to offer paid bereavement leave as a benefit. The leave can be taken for up to two weeks per family member within 60 days of receiving death notice.            

Jury Duty Leave

Jury duty is a civic responsibility, and Oregon law requires employers to provide unpaid leave for employees to serve on a jury. Employers can put a notice requiring employees to show proof of their jury duty when they ask for leave. No employers can take retaliatory action against employees on jury duty leave. 

Jury duty leave is unpaid in Oregon. The court pays a daily stipend of $10 to jurors, and employers are not required to compensate employees for jury duty leave. 

Military Leave

Under state and federal law, military employees in Oregon are given special protections and benefits. 

Oregon state law provides military leave for employees who serve in the Oregon National Guard or are members of other U.S. armed forces reserve components. However, state law requires that such employees report back to work within 7 days or be released from their duties. The Oregon Military Family Leave Act (OMFLA) also applies to employees working for an employer with 25 or more employees. Under OMFLA, eligible employees can take up to 2 weeks of unpaid leave for military family reasons. 

The federal Uniformed Services Employment and Reemployment Rights Act (USERRA) also applies to all employers in Oregon. Under USERRA, employers must allow employees called for active service up to 5 years of unpaid time off. Such employees can also continue their employer-based health insurance coverage for up to 24 months while on military leave.

USERRA and Oregon state laws provide reemployment rights for employees returning from military service. The law requires employers to reemploy returning service members in the job they would have attained if they had not been absent for military service, with the same seniority, status, and pay. 

Voting Leave

Oregon law does not require employers to provide paid or unpaid leave for employees to vote. However, employers cannot prevent employees from voting or penalize them for exercising their right to vote, given that employees don’t use their office hours to vote. Employers are encouraged to provide time off for employees to vote, particularly if they cannot vote during non-working hours.

Requirements for Employers regarding Paid Time Off in Oregon

Employers must be aware of the state and federal requirements for paid time off. Here are some essential requirements to know: 

  • Employers should put up a poster or communicate about the Paid Leave Oregon provision with employees without failing. 
  •  Information to be shared includes employees’ rights, how to apply for Paid Leave in Oregon and their right to job protection. 
  •  Creating fair policies to allow employees to be eligible for paid time off. 
  • Regularly submitting their employer contributions towards the state fund. 
  • Creating channels to collect and submit employee contributions to the state fund.
  • Accurately reporting total employee numbers and total contributions to the state authorities.

How Truein Can Help with Paid Time Off Management

Truein is a leading attendance and workforce management solution offering various features for paid time off management. With Truein, you can benefit from a centralized platform to manage all types of PTO in one place, including vacation, sick leave, and family leave. The attendance and leave management software automates PTO accrual and payout calculation, making it easy for employers to monitor leave balances. You can also set custom accrual rules and track leave usage in real-time. Over 70 customizable policy templates ensure employers adhere to state and federal regulations regarding PTO.

Truein’s user-friendly interface and self-service features enhance the employee experience by allowing employees to view their leave balances, request time off, and receive approvals or denials quickly. 

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Employers should ensure compliance with Oregon PTO laws and continuously monitor for updates such as Paid Leave Oregon. The state’s PTO framework, which includes the Oregon Sick Time Law, OFLA, and the new Paid Leave program, operates alongside federal laws such as FMLA, creating a complex flow of overlapping and concurrent leave rights. Tools like Truein can help employers manage PTO effectively, ensuring streamlined operations, regulatory compliance, and enhanced employee satisfaction.

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