As a reminder for Oregon employers, the state’s annual minimum wage increase takes effect on July 1, 2025. Employers must ensure all non-exempt employees are paid at least the applicable regional minimum wage:
- Portland Metro Area: $16.30 per hour
- Includes: Multnomah County and parts of Washington and Clackamas Counties within the urban growth boundary.
- Standard Counties: $15.05 per hour
- Includes: Benton, Clatsop, Columbia, Deschutes, Hood River, Jackson, Josephine, Lane, Lincoln, Linn, Marion, Polk, Tillamook, Wasco, Yamhill, and parts of Clackamas, Multnomah, and Washington Counties outside the urban growth boundary.
- Non-Urban Counties: $14.05 per hour
- Includes: Baker, Coos, Crook, Curry, Douglas, Gilliam, Grant, Harney, Jefferson, Klamath, Lake, Malheur, Morrow, Sherman, Umatilla, Union, Wallowa, and Wheeler Counties.
These updates reflect a 2.4% inflation adjustment and are part of Oregon’s tiered wage system, which accounts for regional cost-of-living differences.
Employer Responsibilities:
- Pay based on work location: Use the rate for the county where 50% or more of an employee’s work is performed each week.
- If work is split across regions, either:
- Track hours by region and pay accordingly, or
- Pay the highest applicable rate for that pay period.
- Post-up-to-date minimum wage notices at each worksite: Free posters are available on the BOLI website.
For additional information:
- BOLI 2025 Oregon Minimum Wage Determination Announcement
- BOLI Required Worksite Posters
- BOLI Minimum wage increase schedule
- BOLI Oregon Minimum Wage
Need help understanding how changes to employment laws will affect your business?
Learn more about how Vensure's Oregon PEO services can help you navigate complex employment laws and keep your business compliant.
This communication is intended solely for the purpose of conveying information. The present post might incorporate hyperlinks directing readers to websites managed by third-party entities. The inclusion of any links within this communication is meant to serve as points of reference and could encompass opinion articles from various law firms, articles from HR associations, official websites, news releases, and documents of government agencies, and other relevant third-party sources. Vensure has no authority over these external websites and bears no responsibility for their content. Furthermore, Vensure does not endorse the materials present on these websites. The contents of this communication should not be interpreted as legal advice or as a legal standpoint concerning specific facts or scenarios. Nor should it be deemed an exhaustive compilation of facts potentially pertinent to federal, state, or local laws. It is strongly advised that employers solicit legal guidance from an employment attorney when undertaking actions in response to any legal updates provided. This is due to the possibility of future alterations occurring in federal, state, and local laws, regulations, as well as the directives and guidelines issued by governing agencies. These changes may transpire at any given time, potentially rendering certain portions of the content within this update void or inaccurate.