Oregon’s new paid leave program goes into effect

Paid Leave Oregon went into effect Jan. 1, but the state figures it won't have the funds to pay for these new benefits until September.
Published: Jan. 2, 2023 at 6:42 AM PST
Email This Link
Share on Pinterest
Share on LinkedIn

PORTLAND, Ore. (KPTV) - Paid family and medical leave is now the law in Oregon, which means people will begin seeing a new deduction in their paycheck to pay for this leave.

Paid Leave Oregon went into effect Jan. 1, but the state figures it won’t have the funds to pay for these new benefits until September.

SEE ALSO: Missing OSU student found dead on Marys Peak

When the law passed in 2019, Oregon was just the 9th state in the nation to offer paid family and medical leave. Now, about 13 states offer up to 12 weeks paid leave.

Oregon’s law will also allow up to 12 weeks paid leave for new parents, but it also applies for workers who get sick or need time off to care for a family member who is sick. The plan also offers low-wage workers 100% wage replacement, and it also covers victims of domestic violence and sexual assault.

In 2019, Governor Kate Brown spoke about why the new law was so important.

“We did it for the mother, who’s 7-year-old son had to have brain surgery. She was fired from her job when she called in to say she couldn’t come in that day, and we did it for countless Oregonians who are caring for older family members and often caring for young children and working jobs outside the home,” Brown said.

The law also covers undocumented immigrants and part-time workers.

The contribution rate is one percent of gross payroll. Employers with 25 or more employees are affected by this.

SEE ALSO: Man injured after shooting at E Portland gas station

Most employees and large employers will pay contributions toward the paid leave. Employees will pay 60% and large employers will pay 40% of the 1% contribution rate. Small employers with less than 25 employees will not be required to make payments. The contributions will go into a trust fund which will provide the revenue for employee paid leave benefits.

Oregon paid leave will be accessible on Sep. 3, 2023.

For more information about Paid Leave Oregon, click here.