Oregon Revised Statutes Chapter 653 § 653.606 — Employee count; paid and unpaid sick time; rules; accrual, use and carryover
Oregon Revised Statutes Chapter 653 ·
Oregon Code § 653.606·Enacted ·Last updated March 01, 2026
Statute Text
Employee count; paid and unpaid sick time; rules; accrual, use and carryover
amounts.
(1)(a)
Employers that employ at least 10 employees working anywhere in this state
shall implement a sick time policy that allows an employee to accrue at least
one hour of paid sick time for every 30 hours the employee works or 1-1/3 hours
for every 40 hours the employee works. Employers may limit the number of hours
of paid sick time that employees may accrue to 40 hours per year.
(b) Employers
that employ fewer than 10 employees working anywhere in this state shall
implement a sick time policy that allows an employee to accrue at least one
hour of unpaid sick time for every 30 hours the employee works or 1-1/3 hours
for every 40 hours the employee works. Employers may limit the number of hours
of unpaid sick time that employees may accrue to 40 hours per year.
(c) Employers
that employ at least 10 employees working anywhere in this state and front-load
for employees at least 40 hours of paid sick time or paid time off at the
beginning of each year used to calculate the accrual and usage of sick time or
time off need not comply with subsections (1)(a) and (3) of this section.
(d) Employers
that employ fewer than 10 employees working anywhere in this state and
front-load for employees at least 40 hours of unpaid sick time or unpaid time
off at the beginning of each year used to calculate the accrual and usage of
sick time or time off need not comply with subsections (1)(b) and (3) of this
section.
(2)(a) The number
of employees employed by an employer shall be ascertained by determining that
the per-day average number of employees is 10 or greater for each of 20
workweeks in the calendar year or the fiscal year of the employer immediately
preceding the year in which the leave is to be taken.
(b) If the
business of the employer was not in existence for the entire year preceding the
determination made under paragraph (a) of this subsection, the number of
employees shall be based on any 20 workweeks preceding the request for sick
time, which may include workweeks in the current year, the preceding year or a
combination of workweeks in the current year and the preceding year.
(c) As used in
this subsection, employee does not include an individual or the parent,
spouse or child of an individual who is:
(A) A director of
a corporation who has a substantial ownership interest in the corporation;
(B) A member of a
limited liability company who has:
(i) A right to
vote on or consent to any matter submitted to a vote or requiring the consent
of the members of the limited liability company; and
(ii) A
substantial ownership interest in the limited liability company;
(C) A partner of
a limited liability partnership who has a substantial ownership interest in the
limited liability partnership; or
(D) A sole
proprietor of a business.
(d) As used in
paragraph (c) of this subsection, substantial ownership interest means a
percentage of ownership equal to or greater than the average percentage of
ownership of all owners, but not less than 15 percent.
(3) An employee
shall begin to earn and accrue sick time on the first day of employment with an
employer. The employee may carry over up to 40 hours of unused sick time from
one year to a subsequent year. However, an employer:
(a) May adopt a
policy that limits an employee to accruing no more than 80 total hours of sick
time; and
(b) May adopt a
policy that limits an employee to using no more than 40 hours of sick time in a
year.
(4)(a) An
employer is not required to carry over unused sick time if, by mutual consent,
the employer and an employee agree that:
(A) If the
employer has 10 or more employees working anywhere in this state, the employee
will be paid for all unused paid sick time at the end of the year in which the
sick time is accrued and the employer will credit the employee with an amount
of paid sick time that meets the requirements of this section on the first day
of the immediately subsequent year; or
(B) If the
employer has fewer than 10 employees working anywhere in this state, the
employer will credit the employee with an amount of sick time that meets the
requirements of this section on the first day of the immediately subsequent
year.
(b) The
Commissioner of the Bureau of Labor and Industries shall adopt rules for the
determination of the number of employees employed by an employer.
(5)(a) An
employee is eligible to use sick time beginning on the 91st calendar day of
employment with the employer and may use sick time as it is accrued.
(b) An employer
may authorize an employee to use accrued sick time prior to the 91st calendar
day of employment.
(c)(A) An
employer that employs 10 or more employees working anywhere in this state shall
pay an employee for accrued sick time used at the regular rate of pay of the
employee.
(B) For an
employee who is paid on a commission or piece-rate basis by an employer th
Plain English Explanation
This Oregon statute addresses Employee count; paid and unpaid sick time; rules; accrual, use and carryover
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Key Points
01Part of Oregon statutory law
02Referenced as Oregon Code § 653.606
03Subject to legislative amendments
04Consult a licensed attorney for application to specific cases
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