An Oregon employment contract lets you establish the terms and conditions of employment between an employer and an employee. It details how the employer can terminate employment, the employee’s expected duties, and non-disclosure clauses, if applicable.
In Oregon, an employment contract must contain five elements, which are capable parties, a lawful purpose, consideration, an offer, and an acceptance [1] .
- Laws: Title 51
- Definition of Employee: According to ORS § 652.310, an employee is any individual who, otherwise than as a copartner of the employer or as an independent contractor, renders personal services partly or wholly in Oregon to an employer who agrees to pay such individual at a fixed rate for the time they spend performing such services.
By Type
Independent Contractor Agreement
Creates a relationship between a client and an independent contractor.
Subcontractor Agreement
Establishes a contractor-subcontractor relationship.
Non-Compete Agreement
Prevents an employee from disclosing business trade secrets to a competitor.
Hiring in Oregon
Make sure you’re aware of Oregon’s employment laws and regulations before hiring employees in the state.
At-Will Employment
Oregon is an at-will employment state. There are also exceptions to the at-will employment rules.
Exceptions
- Public Policy: Yes
- Implied Contract: Yes
- Good-Faith Exception: No
Minimum Wage ($/hr)
The Oregon minimum wage is adjusted annually on a set formula on July 1. Currently, the standard minimum wage in the state is $14.20/hour. The minimum wage is higher in the Portland metro area ($1.25 over the standard minimum wage) and lower in non-urban counties ($1 less than the standard minimum wage) [2] .
Child Labor
Employment certificates and age certifications are not required in Oregon. Instead, employers are required to apply for annual certificates from the Oregon Department of Labor to employ minors aged 14-17 [3] .
Payday
Employers are required to pay employees at least monthly in Oregon.
Meal and Rest Breaks
Oregon requires employers to allow employees a paid 10-minute rest period for every four hours worked in one work shift. The break should be approximately in the middle of the work period.
The rest periods must be in addition to the usual meal period and taken separately; not to be added to the usual meal period or deducted from the beginning or end of the work period to reduce the overall length of the total work period.
Meal periods are also required in Oregon. For each eight-hour work period, employees should get one 30-minute unpaid meal break (and two 10-minute paid rest breaks) [4] .
| Shift length | Rest breaks | Meal breaks |
|---|---|---|
| 2 hrs or less | 0 | 0 |
| 2 hrs 1 min - 5 hrs 59 min | 1 | 0 |
| 6 hrs | 1 | 1 |
| 6 hrs 1 min - 10 hrs | 2 | 1 |
| 10 hrs 1 min - 13 hrs 59 min | 3 | 1 |
| 14 hrs | 3 | 2 |
| 14 hrs 1 min - 18 hrs | 4 | 2 |
| 18 hrs 1 min - 21 hrs 59 min | 5 | 2 |
| 22 hrs | 5 | 3 |
| 22 hrs 1 min - 24 hrs | 6 | 3 |
Recordkeeping Requirements
Upon an employee’s termination, an employer must keep their personal records for sixty days [5] and their payroll records for at least two years [6] . Other recordkeeping requirements in Oregon include:
- Unemployment Insurance: 3 years
- Child Labor: 2 years
Sample
Download an Oregon employment contract template in PDF or Word format below:
