As a reminder, as of January 2025, the Oregon Bureau of Labor and Industries (BOLI) has increased the minimum salary threshold for noncompetition agreements. To be enforceable, an employee’s annual gross salary and commissions at the time of termination must now exceed $116,427, up from the previous threshold of $113,241.
In addition to meeting this salary requirement, employers must also adhere to the following conditions for non-competition agreements to be valid:
- Advance Notice: Inform new hires in writing at least two weeks before their start date that a non-competition agreement is a condition of employment, or introduce the agreement following a bona fide promotion of an existing employee.
- Time Limit: The duration of the noncompetition agreement cannot exceed 12 months from the employee’s termination date.
- Protectable Interest: The employer must have a legitimate business interest, such as the employee having access to trade secrets or sensitive confidential information.
- Documentation: Provide the employee with a signed, written copy of the noncompetition agreement’s terms within 30 days after their termination date.
Noncompetition agreements that do not meet these requirements are automatically void and unenforceable.
| Table of Minimum Salary and Commission Requirements by Year | ||
| Year | Minimum Amount to Exceed | Average Annual Inflation |
| 2022 | $100,533 | 8.0% |
| 2023 | $108,581 | 4.3% |
| 2024 | $113,241 | 2.8% |
| 2025 | $116,427 | TBD |
For additional information:
OR L&I – Noncompetition Agreements
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