Now that we’re halfway through 2025, it’s a great time for Oregon employers to pause and make sure they’re up to speed on this year’s important employment law changes. From paid leave updates to new wage thresholds and expanded protections for workers, there’s a lot to cover. Here’s a quick rundown of what’s already in effect—and what’s coming soon.
Paid Leave Oregon: New Flexibility and Expanded Coverage
Effective January 1, 2025
Paid Leave Oregon (PLO) saw some significant updates this year. One big change? Employees can now “true up” their paid leave benefits, meaning they can use accrued vacation, sick leave, or PTO to top off their income while receiving PLO benefits.
Another key change: foster care and adoption-related leave is now covered under Paid Leave Oregon instead of just under OFLA (Oregon Family Leave Act), giving employees paid time off for those major life transitions. Also, employees can no longer double-dip by using PLO and OFLA for the same event.
What to do: Review your leave policies and make sure your payroll system can handle these “true-up” scenarios.
Wage Increases & Ag Overtime Shift
Effective July 1, 2025
Oregon’s minimum wage rose again this summer, with region-specific rates now in effect:
- Portland Metro: $16.30/hour
- Standard Region: $15.05/hour
- Nonurban Counties: $14.05/hour
In addition, the overtime threshold for agricultural workers dropped from 55 to 48 hours per week. That’s part of a planned phase-in that began in 2023.
What to do: Make sure your wage postings are updated and that ag overtime is being tracked and paid correctly.
Breast Milk Accommodations for Agricultural Workers
Effective May 7, 2025
Agricultural employers now have to provide reasonable break time and a private, sanitary space for workers to express breast milk during the workday. This mirrors similar requirements already in place in other industries.
What to do: If you employ agricultural workers, make sure you’re offering compliant spaces and break accommodations.
New State Resources & PEO Licensing
Effective September 28, 2025
Oregon has introduced two big support initiatives for employers:
- A new Employer Assistance Division through BOLI, which will offer guidance, trainings, and even formal advisory opinions.
- Licensing requirements for Professional Employer Organizations (PEOs), so if you use a PEO, double-check they’re registered with the state.
What to do: Leverage BOLI’s new division for answers to tricky compliance questions and confirm your PEO is properly licensed.
Unemployment Benefits for Public Employee Strikes
Effective June 24, 2025
A historic change: Oregon is now the first state to offer unemployment insurance to striking public employees. After two weeks on strike, eligible workers can receive benefits for up to 10 weeks.
What to do: Public-sector employers should be ready to navigate the UI process for striking workers. Private employers may want to stay aware as this policy evolves.
Quick Recap
| Change | Effective Date | What It Means for You |
| Paid Leave Oregon “true-up” & foster leave | Jan 1, 2025 | PTO can be added to benefits; new events covered |
| Minimum wage increase + ag OT | July 1, 2025 | New regional wages; OT after 48 hrs for ag |
| Breast milk breaks for farm workers | May 7, 2025 | Provide break time and private space |
| BOLI support + PEO licensing | Sept 28, 2025 | New guidance available; PEOs need licenses |
| Striker UI benefits | June 24, 2025 | 10 weeks UI for striking public workers |
Journey Payroll & HR Is Here to Help
We know employment law changes can feel like a moving target, but you’re not alone. At Journey Payroll & HR, we stay ahead of legislative changes, so you don’t have to. Whether you need help understanding paid leave policies, staying on top of wage law changes, or navigating compliance requirements, we’re here to make the process simple, clear, and stress-free
Let’s tackle the second half of 2025 with confidence, together.