Oregon Paid Leave Important Program Dates Apply to Companies Operating in Both OR & WA
Monday, November 21, 2022
Posted by: United Employers Association
We don’t need to remind you (hopefully) that Paid Leave Oregon begins to take effect January 1, 2023. Most companies with employees in Oregon will
be required to participate in the state program, unless the company elects to
have an equivalent plan administered by the company or a third-party insurance
company.
Oregon companies should be aware of the following deadlines:
November 30, 2022: Companies wishing to administer an equivalent plan must submit the equivalent plan application or file a Declaration of Intent with the Oregon Employment Department
by November 30, 2022, in order to not have to make contributions to the state program on January 1, 2023.
January 1, 2023: Companies start contributing to the
Oregon Paid Leave program, unless the company has an approved equivalent plan
or submitted a Declaration of Intent. If the company has submitted a
Declaration of Intent, contributions must be held in trust until the equivalent
plan is approved.
In 2023, the total contribution rate is 1% of wages up to $132,900 in wages.
Oregon employees pay 60% of the total contribution rate, or 0.6%. Large
employers, with 25 or more employees both within and outside of Oregon, pay 40%
of the total contribution rate, or 0.4%. Small employers, less than 25
employees both within and outside of Oregon, can decide to pay the 0.4%, and be
eligible for various grants provided by the Oregon Paid Leave program, or forgo
paying the 0.4% contribution.
Contribution payments can be made at the following website: https://www.oregon.gov/employ/frances/Pages/default.aspx/
January 1, 2023: Companies must post and distribute the Oregon Paid Leave model notice notifying employees about their benefits under the state program. The model notice must
be posted in conspicuous places in every Oregon work location. Companies must also provide the posting by electronic means to all remote workers in Oregon.
The model notice is available at the following website site in English and other languages: https://paidleave.oregon.gov/Pages/resources.aspx
September 3,
2023: Oregon employees can start accessing Oregon Paid Leave benefits through the state program.
Leave to Apply when a
Company operates in both Oregon and Washington Companies with operations in both Oregon and Washington, or who have employees working in both states, need to understand which state’s paid leave program to apply to their employees.
Paid Leave Oregon and the Washington Employment Security Department has published a joint letter that provides guidance to companies on how to determine what state’s paid leave program to apply. https://paidleave.oregon.gov/Documents/WA-OR-Place-of-Performance-Letter-October-2022.pdf
Under the Joint Letter, if all the employee’s work is performed in either Oregon or Washington, then the employee is eligible for the state’s leave program where all the work is performed. If the employee’s work is performed with regularity in
both Oregon and Washington, then the state paid leave program applies wherever the companies base of operations is, either Oregon or Washington. If the company does not have a base of operation in Oregon or Washington, the state paid leave program applies
wherever the employee resides, either Oregon or Washington.
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UEA attorneys are available to address your continued questions and concerns regarding the Oregon Paid Leave program. UEA will also provide its members updates as new developments unfold with the Oregon Paid Leave program in 2023.
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