The Oregon Employment Department has recently announced that the contribution rate for the state’s paid family and medical leave program (a.k.a., “Paid Leave Oregon”) will be at 1% when contributions begin in 2023.
As a reminder, starting January 1, 2023, employees in Oregon will contribute 60% through payroll withholding, and employers will contribute 40% of the combined contribution rate of 1% of employee wages up to the annual maximum of $132,900. Employers with fewer than 25 employees are not required to contribute. Further, employers have the option to pay some or all of their employees’ portion.
Similar to other states’ paid family and medical leave programs, Paid Leave Oregon will provide paid time off for qualified reasons, including the birth or adoption of a child, employees’ own serious illness or injury, taking care of a seriously ill family member, and safe leave for up to 12 weeks for all combined covered leave reasons in a benefit year.
Employers with at least one employee working in Oregon should be aware of the 2023 contribution amount and start communicating with their payroll vendor and internal payroll department to prepare for the Paid Leave Oregon contributions and other requirements.
Paid Leave Oregon May Bulletin Announcement » Paid Leave Oregon Main Site »
PPI Benefit Solutions does not provide legal or tax advice. Compliance, regulatory and related content is for general informational purposes and is not guaranteed to be accurate or complete. You should consult an attorney or tax professional regarding the application or potential implications of laws, regulations or policies to your specific circumstances.
Subscribe