** Update from the Oregon Employment Department**

The Oregon Legislative Assembly adjourned at the end of June. We want to call attention to some of the new laws affecting employers.

For a complete list of business legislation passed during the recent session, see the Secretary of State’s legislation site.

Bills related to the Employment Department

SB 69
Helps employers better coordinate their employee’s paid leave by allowing OED to share their employees’ benefit amounts. This information lets employers align paid leave with their own leave policies. It also supports clearer communication between employers and employees on return-to-work timelines. This bill takes effect Jan. 1, 2026.

SB 916
Allows striking workers to receive up to 10 weeks of UI benefits after a two-week disqualification. This change starts Jan. 1, 2026. OED has drafted three rule changes related to UI, including updates to implement this law. We invite you to the two virtual listening sessions scheduled for July 31 and Aug. 4 to provide feedback on all three draft rule changes related to this bill. For more information or to register, visit our event page.

SB 859
Supports fairer treatment of employers by allowing OED to waive or reduce penalties and interest on Paid Leave Oregon debts. It also allows OED to write off uncollectible debts, aligning these practices with those used in the Unemployment Insurance program.

SB 1148
Prohibits insurers and employers from requiring employees to use paid leave before short-term disability benefits. This bill applies to policies offered, issued, or renewed on Jan. 1, 2026.

HB 2236
Gives professional employer organizations (PEOs) flexibility in how they report employees for calculating their clients’ UI tax experience rates.

HB 2271
Offers a one-time, non-refundable tax credit of up to $5,000 for calendar year 2025. It applies to employers whose unemployment insurance tax rates drop by at least 2.5 percentage points from 2024 to 2025. The credit helps businesses that missed out on lower rates during earlier pandemic-related relief.

In response to the COVID-19 pandemic, 2021’s HB 3389 froze employer experience ratings at pre-COVID levels from 2022 to 2024 to ease the burden of pandemic-related layoffs. However, some employers would have qualified for lower rates during that period if the freeze hadn’t been in place.

Other bills affecting employers

SB 426
Creates liability for property owners and contractors for the unpaid wages of unrepresented (those not represented by a union) employees on construction projects. Effective January 1, 2026.

HB 2248
Formally establishes the Employer Assistance Division within the Bureau of Labor and Industries (BOLI). The division provides education, training, and interpretive guidance, including advisory opinions, to employers regarding the laws enforced by BOLI. Effective September 26, 2025.

HB 3187
Changes the laws that prohibit employment discrimination based on age. It will generally be against the law for an employer or a prospective employer to ask an applicant’s age, date of birth, or when the applicant attended or graduated from any educational institution. Effective September 26, 2025.