Oregon: Manufacturer Employers Must Count Both Daily and Weekly Overtime

APPLIES TO

All Employers with Oregon Employees
in the Manufacturing Industry

EFFECTIVE

January 2017

QUESTIONS?

Contact HR On-Call

(888) 378-2456

Between December 2016 and January 2017, the Oregon Bureau of Labor and Industries (“BOLI”) changed its interpretation of overtime hours for employees in a mill, factory, or manufacturing establishment.  A “manufacturing establishment” is “any place where machinery is used for ‘manufacturing purposes’” under specified circumstances.

Specifically, an employer must pay both any daily overtime incurred over 10 hours in a day, and any weekly overtime incurred over 40 hours in a week.  There are exceptions for certain types of employees, such as guards, repair workers, those who provide transportation to other employees, and supervisors/managers. A valid bargaining agreement may also set aside these requirements.  The online FAQ sheet here gives an example of how to calculate overtime based on the new requirements.  BOLI also updated its Field Operations Manual with this information.

Action Items

  1. Revise payroll practices to account for all overtime hours worked that are subject to the new overtime rule interpretation.
  2. Review overtime processes to ensure all overtime hours worked are properly recorded.
  3. Subscribers can call our HR On-Call Hotline at (888) 378-2456 for further assistance.

Disclaimer: This document is designed to provide general information and guidance concerning employment-related issues. It is presented with the understanding that ManagEase is not engaged in rendering any legal opinions. If a legal opinion is needed, please contact the services of your own legal adviser.

© 2017 ManagEase, Incorporated.

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