Oregon Labor and Employment FAQs

• Q: My Pay Periods End On The 15th And 30th Of Each Month. Is It Correct To Pay Overtime When The Employee Works More Than 80 Hours In The Two-Week Pay Period?
  A: No. Your pay periods are irrelevant to the overtime calculation. Pay periods and workweeks frequently differ. Pay periods may be established for any period not … More
• Q: For Purposes Of Calculating Overtime, How Is The
  A: If the employee is paid on an hourly basis, that amount is the regular rate. The regular rate may not be less than the minimum wage. If the employee is paid a salary, … More
• Q: Are Any Amounts Excluded From The Regular Rate Of Pay?
  A: Yes. Examples are expense reimbursements, premium pay for Saturday, Sunday, or holiday work, discretionary bonuses, and gifts for special occasions.
• Q: When Is Overtime Required For Salaried Employees?
  A: All salaried employees must be paid overtime unless they meet the test for exempt status as defined by federal and state laws. Caution: Misclassification of salaried … More
• Q: How Is Overtime Calculated When Employees Work At Different Rates Of Pay In The Same Workweek?
  A: The average rate of pay is used to compute overtime. Example: If an employee worked 16 hours at $7.00 per hour and 30 hours at $8.00 per hour the total straight … More
• Q: Are Employees Owed Overtime After A Certain Number Of Hours Worked In A Day?
  A: In most cases, no. Even an employee who works 24 hours in one day will be owed no overtime if he works no more than 40 hours in the workweek. Employees of … More
• Q: Can I Require Employees To Work Overtime?
  A: Yes. An employer may dictate an employee's work schedule and hours. Employers may discipline or even terminate employees who refuse to work scheduled overtime. It is … More
• Q: Can I Give My Employees "Comp Time" Instead Of Paying Overtime?
  A: Only government agencies are permitted to offer compensatory time in lieu of overtime. If you are a private sector employer, you must pay overtime when an employee … More
• Q: Is It Legal To Flex An Employee's Hours Within One Workweek To Keep The Employee Under 40 Hours?
  A: Yes. For instance, an employee who works nine hours per day for four work days may be scheduled for only four hours on the fifth day of the week to avoid overtime.
• Q: If My Employee Works Unauthorized Overtime, Am I Obligated To Pay For It?
  A: Yes. You can discipline an employee who violates your policy by working overtime without the required authorization. However, wage and hour laws require that you … More
• Q: What Does It Mean When An Employee Is "Exempt"?
  A: If employees are exempt from the payment of overtime, they are classified as "exempt employees."

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