Oregon to Introduce Paid Family Leave

Effective January 1, 2023, premiums will start being collected, through payroll deductions, for the new Oregon Paid Family & Medical Leave Insurance (PFMLI) program. Employers and their employees are both responsible for funding the program. The contribution rate will be 1% of gross wages, with employers paying 40% and employees paying the other 60%. Employees may begin accessing benefits through the program on September 3, 2023. 

Businesses with less than 25 employees do not have to contribute to the program, but do need to collect and remit their employees' share of premium payments each quarter.

Employers who offer their own paid leave program may apply for an exemption. Exemption applications will be reviewed to determine whether or not  the employer’s private plan is adequately comparable to the benefits provided by the PFMLI program.