Bill > HB2938

This bill modifies Oregon's existing laws regarding wage payment upon termination of employment, primarily focusing on clarifying and expanding provisions related to when and how employees must be paid their final wages. The legislation permits collective bargaining agreements to establish specific due dates for final wage payments that may differ from standard statutory requirements, as long as those dates are unambiguous. The bill maintains existing rules about immediate wage payment for discharged employees or those quitting with proper notice, while introducing more flexibility for wages to be paid according to collectively negotiated terms. Additionally, the bill preserves penalty wage provisions that require employers to continue paying wages at the employee's hourly rate for up to 30 days if they willfully fail to pay final wages by the prescribed due date. The penalty calculations are nuanced, depending on factors like whether a written notice of nonpayment was submitted and the circumstances of the wage dispute. Importantly, the bill allows employers to avoid penalty liability by demonstrating financial inability to pay wages when they were originally due, providing some protection for businesses experiencing genuine financial hardship.

Labor and Employment

https://olis.oregonlegislature.gov/liz/2025R1/Measures/Overview/HB2938