Oregon Sick Leave Update: Accrual Capping


When the Oregon Sick Leave Law was unveiled there were several parts of the law that were unclear. The short timeline between passage of the law and the effective date meant the Oregon Bureau of Labor and Industries (BOLI) had to rush out Oregon Administrative Rules (OARs). Unfortunately, the OARs did not address all of the uncertain parts of the law. Senate Bill 299 was passed to try to help clarify some items of concern.

Accrual Cap –

Accruals are now capped at 40 hours per year. This change did nothing to simplify the accrual process. The effect of the change is that employees will now accrue sick leave at a slower rate . There is no change in the maximum required to be offered per policy year. Perhaps the easiest way to display this change is in the accrual rules shown in the table.

Questions? Get our 2018 Model Sick Leave Policies.

 Max Use per YearMax Accrual per YearMax Accrual OverallMax Roll Over
PRE 201840 hours80 hours80 hours40 hours
2018 FORWARD40 hours40 hours80 hours40 hours

• When counting employees, who do you count? This is important because if employers have 10 or more employees* — then leave needs to be paid. Effective January 1, 2018 most owners and their children are not considered employees. Of course there are exceptions. If you are close to the 10 employee mark contact Cardinal to review your situation. *In the Portland area the threshold is 6 or more employees.

• Rates of pay for employees paid with bonuses or commissions: The sick leave pay rate will be salary with additional pay or minimum wage, whichever is higher.


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