Oregon Employment Department’s paid leave program sets ‘contribution rate’ for workers, employers

SALEM, Ore. – A state program that offers paid time off to most working Oregonians is set to launch in 2023. Now, the state announced how much money workers and employees will have to contribute.

The Oregon Employment Department’s (OED) Paid Leave Oregon program will let workers take up to 12 weeks of paid time off for family, medical and “safe” leave.

Employers will begin making payroll contributions in January 2023, and workers will be able to apply for benefits starting September 2023, the OED said.

On Thursday, the OED announced the “contribution rate” for workers and employees will be 1 percent. Workers will pay 60 percent and employers will pay 40 percent of the contribution rate. For example, if an employee made $1,000 in wages, the employee would pay 6$ and the employer would pay $4 for this paycheck.

“Setting the contribution rate at 1 percent means Paid Leave Oregon’s trust fund will have a solid foundation, making sure the benefits for Oregon workers will be there when they need it the most,” said Jessica Giannettino Villatoro, Political Director of Oregon American Federation of Labor and Congress of Industrial Organizations (AFL-CIO). “We expect to see the rate decrease as the fund becomes solvent.”

More information about Paid Leave Oregon is online at oregon.gov/employ/PFMLI.

 

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