Oregon’s Minimum Wage Rate Schedule and the Mid-Valley by Michael Doughty December 2, 2020 In 2016, the Oregon Legislature established a schedule of minimum wage rate increases. On July 1, 2020, Oregon’s minimum wage increased to $12.00 for companies in the Standard area, $13.25 in the Portland metro area, and $11.50 for companies in the non-urban counties. -- Mike Rogoway | mrogoway@oregonian.com | twitter: @rogoway | 503-294-7699. On July 1, 2020, the minimum wage in the Mid-Valley counties increased $0.75 to $12.00 per hour, but determining the overall impact of this increase has been complicated by COVID-19. The material on this site may not be reproduced, distributed, transmitted, cached or otherwise used, except with the prior written permission of Advance Local. $12.00 per hour – … July 1, 2019: $11.25: $12.50: $11.00: July 1, 2020: $12.00: $13.25: $11.50: July 1, 2021: $12.75: $14.00: $12.00: July 1, 2022: $13.50: $14.75: $12.50: July 1, 2023: Adjusted annually based on the increase, if any, to the US City average Consumer Price Index for All Urban Consumers: $1.25 over the standard minimum wage: $1 less than the standard minimum wage New York City and Portland Metro are examples of areas—like California—which have local minimum wage rates that exceed the statewide minimum. Following the increase, minimum wage will be $13.25 in the Portland metro area, $12 in the state's "standard counties," and $11.50 in non-urban counties. Statewide minimum wages apply in areas that are not governed by a higher, local minimum wage ordinance. While that is rewarding to workers it worries business owners, who are concerned about rising costs and warn that higher wages can lead to fewer jobs. Senate Bill 1532 calls for a series of annual minimum wage rate increases from July 1, 2016, through July 1, 2022. The minimum wage increased in the 18 counties classified as nonurban from $11.00 to $11.50. The minimum wage in Oregon will increase again across all counties on July 1, 2021 (see table below). The minimum wage in Oregon will increase again across all counties on July 1, 2021 (see table below). Oregon actually has three different minimum wages. “If you make minimum wage, you should check your paycheck to make sure you get your raise.” As of July 1, 2020 Oregon minimum wages will be $13.25 per hour for the Portland metro area; $12 per hour for less populated areas of the state and $11.50 per hour for non-urban counties. To help you do just that, we’ve put together this quick guide with all the info you need to know. Subscribe to OregonLive. Nonurban Counties – $11.50 per hour. The minimum wage is more than a floor, though. These posters are meant to educate employees on a variety of labor law topics topics such as the minimum wage, occupational health & safety, and other important labor laws. Regional Minimum Wage Rates. PORTLAND, Ore. (KOIN) — The minimum wage in Oregon is going up on July 1. All hours worked up to midnight on June 30, 2020, should be paid at the previous applicable minimum wage rate even if payroll is done on or after July 1, 2020. Subscribe to Oregonian/OregonLive newsletters and podcasts for the latest news and top stories. MINIMUM WAGE OREGON LAWS Protect You At Work Every worker must be paid at least minimum wage. A 1099-MISC is typically used for independent contractors. Those are considered non-urban counties. Effective July 1, 2019, through June 30, 2020, Oregon’s minimum wage rates are increasing by $.50 per hour, as follows: Standard: $11.25 per hour; Portland Metro: $12.50 per hour If you work OUTSIDE the urban growth boundary, you should make at least $12.00. Here are a few options you may want to consider: As always, verify that your business has an EIN, is following the equal pay law, and that you’re allowing your employees to use their meals and breaks. If an hourly employee's workday spans across June 30, 2020, and July 1, 2020… The July 1, 2020, Transition. On July 1, 2020, Oregon’s minimum wage increased to $12.00 for companies in the Standard area, $13.25 in the Portland metro area, and $11.50 for companies in the non-urban counties. Starting today, minimum wage in Oregon increases as follows: $13.25 per hour – Portland Metro. On July 1, 2020, the minimum wage in portions of the three counties classied as the metropolitan Portland urban growth area increased from $12.50 to $13.25. We know that as a small business owner in Oregon, you’re eager to stay on top of the recent minimum wage increases. On July 1, 2016, the state’s minimum wage increased to $9.75. Bullard Law In 2016, the Oregon Legislature passed Senate Bill 1532, which requires annual minimum wage increases. The minimum wage goes up every year. Enacted by the 2016 Oregon Legislature, Senate Bill 1532 establishes a series of annual minimum wage rate increases beginning July 1, 2016 through July 1, 2022, according to information provided by Oregon … A full time minimum wage worker in Oregon working will earn $480.00 per week, or $24,960.00 per year. In 2020, minimum wage workers in 21 states received a pay increase. Note to readers: if you purchase something through one of our affiliate links we may earn a commission. That’s down from 7.3% a year earlier. The minimum wage is rising 75 cents, to $13.25 an hour, in the tri-county Portland area. But many cities have higher hourly minimums – Seattle’s is $16.39 (for large employers) and San Francisco, New York, Washington, D.C. and Chicago have all set a minimum of $15 or more. Oregon’s plan to increase minimum wage through 2023—and then to continue increasing it based on the annual CPI— will continue 2020 a new $12.00 minimum wage on July 1, 2020. according to the latest data from Sarah Cunningham. To make sure your business is prepared and stays in compliance, we recommend that you discuss these upcoming changes to the Oregon minimum wage and paid family leave laws with your accountant and lawyer. The next scheduled minimum wage increases take effect July 1, 2020. These rate increases are the fourth yearly increases since 2016. The minimum wage you should get depends on your employer’s exact address. © 2021 Advance Local Media LLC. There are three different minimum wages in Oregon depending on the location of the work. The hourly minimum is rising to $12 an hour in most of the rest of western Oregon, and $11.50 an hour in most of eastern and central Oregon. Oregon employers feeling the financial strain of economic disruptions caused by the COVID-19 pandemic are bracing themselves for another impact. Interested in the minimum wage in Eugene, Oregon? Look up your … There is no separate rate for tipped employees, so they must be paid the standard minimum wage. A single rate applies to the Portland Metro Area. Community Rules apply to all content you upload or otherwise submit to this site. The hourly minimum is rising to $12 an hour in most of the rest of … The minimum wage is rising 75 cents, to $13.25 an hour, in the tri-county Portland area. The team is based in San Francisco, but has collaborators all over the country. The final hike in the series is scheduled for 2022, and will require that workers be paid at least $13.50 an hour. Heading into 2020, there will be no immediate changes made to the Oregon state minimum wage. ***** The increased New York State minimum wage is effective 12/31/2020. The minimum wage rises again in Oregon today, July 1. July 1, 2020 Author by Elizabeth Semler Posted in Uncategorized. Portland, Oregon; The minimum wage is the lowest employers can legally pay their workers. It is anticipated that the minimum wage increases will take place as scheduled without any relief due to the COVID-19 crisis. July 1, 2020: $12.00: $13.25: $11.50: July 1, 2021: $12.75: $14.00: $12.00: July 1, 2022: $13.50: $14.75: $12.50: July 1, 2023: Adjusted annually based on the increase, if any, to the U.S. City Average Consumer Price Index for All Urban Consumers. The hourly wage went from $12.50 to $13.25 within the Portland Metro urban growth boundary; from $11.25 to $12 in Northwest Oregon and Deschutes, Josephine, Jackson, Hood River and Wasco counties; and from $11 to $11.50 in rural Eastern and Southwest Oregon counties. The Oregon State Legislature in 2016 approved a set of increases in the minimum wage until 2022, when the wage … The minimum wage was raised to $4.35 for tipped employees. On July 1, 2020, Oregon’s minimum wage increased to $12.00 for companies in the Standard area, $13.25 in the Portland metro area, and $11.50 for companies in the non-urban counties. The next increase is on July 1, 2021. Minimum wage goes up this week in Oregon In Portland, employers will now pay at least $13.25 an hour, 75 cents higher than before and at least $1.25 higher than other parts of the state. $1.25 over the standard minimum wage: $1.00 less than the standard minimum wage It is anticipated that the minimum wage increases will take place as scheduled without any relief due to the COVID-19 crisis. There are exceptions but they are uncommon. Seven states automatically increased their minimum wage based on the cost of living, and 14 states passed laws to increase the minimum wage. The next scheduled minimum wage increases take effect July 1, 2020. But before you go on a hiring frenzy, make sure you review this payroll checklist for onboarding (and paying) seasonal employees. Tip credits are illegal in Oregon. Yes. All rights reserved (About Us). Set at $11.00 per hour for nonurban counties in 2019, the minimum wage stepped up to $11.50 per hour on July 1, 2020. The minimum wage increased in the 15 counties classified as standard from $11.25 to $12.00. Most importantly, the updated Minimum Wage posting shows the wage rate increases effective July 1, 2020: Standard Counties – $12.00 per hour. Please support high-quality local journalism. This hot-button issue can affect the way you run your business. Every business is different, so there isn’t one right way to prepare. Minimum wage is set to increase by $0.50 each July until 2022 when it reaches $12.50. The Oregon Legislature approved a succession of minimum wage increases in 2016, and those pay hikes clearly did not derail the strong labor market that persisted until the start of the coronavirus outbreak. The minimum wage in Oregon will increase again across all counties on July 1, 2021 (see table below). Minimum wage: $12 per hour Minimum-wage workers in Oregon are getting raises every summer, under a 2016 law. Find out what the tax implications are for each form. A year later and in each of the succeeding years through now, the minimum wage increased by 50-cents an hour. A W-2 is typically used for employees. Oregon’s minimum wage rises again next month, even as the number of jobs that pay the minimum continues to decline. The state of Oregon has varying minimum wage rates that are decided by geography. Employers in Oregon are required to pay their employees the wage rate for the region in which the employer is located. Minimum wage rate and overtime provisions applicable to retail and service, commercial support service, food and beverage, and health and medical industries. From 2017 through 2020, the minimum wage will increase annually on a set schedule and will be adjusted annually thereafter based on a … The state's minimum wage varies by location to account for different costs of living.Mike Rogoway/The Oregonian. An exception to this rule would be Oregon, which has a minimum wage of $12.00 per hour, except certain counties where the minimum rate is $11.50. Saint Paul, MN: The city's minimum wage for employers with five or fewer employees is $9.25 per hour effective July 1, 2020. In these counties, the lower rate applies even though the state-wide rate is higher. Oregon’s jobless rate was at a historic low of around 3.3% in the months before the pandemic hit, but the calculus may be different with the state headed into a steep recession that economists say will take years to recover from. Oregon's minimum wage rate as of f, 2021 is $12.00 per hour. On July 1, 2020, the minimum wage in Oregon will rise to $12 per hour standard, $13.25 per hour in the Metro area, and $11.50 per hour in non-urban counties. So, what is the Federal Minimum Wage? Portland Metro Area – $13.25 per hour. It can push up wages across the lower end of the pay scale. Our team comes from a variety of backgrounds and share a passion for providing information that helps businesses to start, run, and grow. Beginning July 1, 2023, the minimum wage rate will be indexed to inflation based on the Consumer Price Index (CPI), a figure published by the United States Bureau of Labor Statistics. $13.25 per hour beginning July 1, 2020. Or if you want to know the minimum wage in Portland, Oregon, take a look at Portland metro. Washington has the highest statewide minimum wage in the nation, $13.50 an hour. The minimum wage has been increasing by 50 cents annually sin ce 2017 as a result of a law passed by Oregon lawmakers in 2016. Oregon's minimum wage rates go up on July 1 each year through 2022. If you work INSIDE the urban growth boundary, you should make at least $13.25. Look at the standard counties minimum wage. Correction: Seattle’s minimum wage for large employers is $16.39 an hour. That 2016 bill created a tiered system to account for varying costs of living in different parts of the state. Other parts of the state will see a steeper increase. Beginning July 1, 2023, the Oregon minimum wage rate will be adjusted annually based on the Consumer Price Index. These rates are in effect from July 1, 2020 to June 30, 2021. The Square Editorial Team is dedicated to telling stories of business, for business owners. It’s not clear why fewer Oregon jobs pay the minimum, but it could be that in the highly competitive hiring market the state enjoyed before the coronavirus that employers simply had to pay more to attract workers. Oregon. Within the urban growth boundary, including parts of Clackamas, Multnomah, and Washington Counties. The latest increase went into effect on July 1 and took take the Beaver State's minimum to an even $12 an hour, from $11.25. The Oregon Bureau Of Labor and Industry provides a number of mandatory and optional labor law posters for all Oregon businesses with employees to prominently post in the workplace. Changes typically take place July 1st of any given year and are scheduled to increase each year through 2023. However, the state minimum wage is $10.00 per hour for employers with annual gross revenue of $500,000 or more. In 2020, the minimum wage for standard counties will increase annually by 75 cents until 2023, and then will be adjusted annually in accordance with inflation gauged by the Consumer Price Ind ex. Just 6.6% of all Oregon jobs pay the minimum wage, according to the latest data from Sarah Cunningham, an economist with the Oregon Employment Department. At present, the Oregon Bureau of Labor and Industries (BOLI) enforces a $12.50 minimum wage in the Portland metro area, a $11.25 rate in standard counties, and $11 in non-urban counties. Do you live in county in the eastern part of the state? 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