Employees and employers must follow Oregon state laws regarding labor hours. These laws establish the requirements of overtime and how it is compensated. The laws provide for exemptions from overtime compensation for some employees, and the state's laws also specify the maximum number of hours that some employees are allowed to work. The Oregon Wage and Hour Division enforces the state's labor hours laws. The same division also handles wage law matters for the state.
Overtime Hours Laws
Oregon state law addresses pay for overtime hours. The state's law sets the rate of pay for overtime hours at 1.5 times an employee's normal rate of pay. The law applies to all hours worked beyond 40 hours in a week. Salaried employees also are allowed overtime pay. To compute it, employers must divide the employee's weekly salary by 40 to establish a per-hour rate and then pay the employee 1.5 times that rate for all hours worked beyond 40. Bonuses and commissions are figured into the rate of pay for all employees. Although manufacturing workers are allowed to receive overtime pay, they are not allowed to work more than 14 hours in a 24-hour work period in Oregon.
Child Labor Law
Oregon establishes special provisions for work hours for minors. For minors ages 14 and 15, the state allows them to work only three hours per day on school days, eight hours per day on nonschool days and 18 hours per week when school is in session. These minors also cannot work before 7 a.m. or after 7 p.m. or during school hours. When school is not in session, these minors can work up to 40 hours in a week and up to eight hours per day. They also are allowed to work until 9 p.m. from June 1 through Labor Day. For minors ages 16 and 17, there are no restrictions for work times or the number of hours worked on school days. These minors, though, are limited to 44 hours of work per week.
Agriculture Labor Hours Law
Special exclusions apply that allow employers of agricultural workers to avoid paying the workers overtime wages. The state law applies to workers involved in cultivating, tilling, producing, growing and harvesting. The law also applies to dairy workers, beekeepers, poultry workers and livestock workers. Employers are not required to pay overtime wage rates to these employees even when these workers work more than 40 hours in a week.