Oregon Employment Contract Template

An Oregon employment contract is a written agreement between an employer and an employee. It outlines job duties, pay, benefits, and workplace policies. Employment in Oregon is generally at-will, though contracts or collective bargaining agreements can modify this standard.

• At-will employment: Oregon presumes at-will employment, allowing either party to end the relationship unless restricted by contract, law, or public policy.
• Minimum wage (July 1, 2025–June 30, 2026):
  • $16.30/hour – Portland Metro (inside the urban growth boundary)
  • $15.05/hour – Standard counties (e.g., Deschutes, Marion, Jackson, Lane)
  • $14.05/hour – Non-urban counties (e.g., Baker, Klamath, Malheur, Union)
• Overtime: Non-exempt employees must receive 1.5× pay for hours over 40 per week. Some industries, like manufacturing and canneries, require overtime after 10 hours in a day (Oregon Revised Statutes § 653.261).
• Meal/rest breaks: Employees must receive a 30-minute unpaid meal break for shifts of 6+ hours and paid 10-minute rest breaks for every 4 hours worked (Oregon Administrative Rules 839-020-0050).
• Paid leave: Oregon’s Paid Leave Oregon program provides up to 12 weeks of paid leave for family, medical, and safe leave, with contributions split between employers and employees, and up to 14 weeks for pregnancy. The Oregon Sick Time Law also requires up to 40 hours of protected sick leave annually, paid if the employer has 10+ employees (6+ in Portland).
• Pay frequency: Wages must be paid at least every 35 days (OR Rev Stat § 652.120).
• Final pay: Employees who quit must be paid by the next payday. If discharged, wages are due by the end of the next business day (OR Rev Stat § 652.140).
• Child labor: Minors under 14 generally may not work, with exceptions for farm and entertainment work. Ages 14–15 face hour limits (no more than 3 hours/day on school days; 8 hours/day on non-school days). Hazardous work is prohibited under 18. Work permits are required.
• Non-competes: Enforceable only if the employee earns more than $100,533 annually (adjusted each year), receives written notice at least two weeks before starting that a non-competition agreement is required, and the restriction is reasonable in time and geography (OR Rev Stat § 653.295).
• E-signatures: Oregon recognizes electronic records and signatures under the Uniform Electronic Transactions Act (OR Rev Stat § 84.013).

Drafting an Oregon employment contract requires tailoring terms to meet state-specific rules:

1. Add party details: Include employer and employee names, job title, work location, and start date.
2. Define job duties: Describe responsibilities and reporting structure to avoid disputes.
3. Set pay and schedule: List the hourly wage or salary, pay frequency, and overtime eligibility. Reflect Oregon’s regional minimum wage and industry-specific overtime rules.
4. Outline breaks and leave: Specify your meal and rest break policy and detail sick leave accrual or Paid Leave Oregon rights.
5. List benefits: Include PTO, holidays, health coverage, and retirement options if offered.
6. Address confidentiality: Add non-disclosure or IP ownership terms to protect company assets.
7. Consider restrictive covenants: Use non-compete or non-solicit clauses only if they meet Oregon’s strict statutory limits.
8. Set termination terms: Confirm at-will status unless limited. Include notice or severance policies if you offer them. Ensure final pay rules are reflected.
9. Finalize contract: Add a governing law clause (Oregon law applies) and confirm electronic signatures are binding under Oregon’s UETA.