New Oregon Law – Itemized Paystubs, Records, and Wage Theft
January 1, 2017, Oregon’s new Paystubs, Records and Wage Theft law goes into effect. The law provides three main updates:
- Requires employers to include greater detail on itemized paystubs;
- Permits employees to request time and pay records;
- Provides for more stringent enforcement of wage theft.
The law contains new requirements in the information that must be included on an itemized written statement provided to employees any time a payment of wages, salary, or commission is made, including the following categories of information:
- Date of the payment;
- Dates of work covered by the payment;
- Name of the employee;
- Name and business registry number or business identification number of the employer;
- Address and telephone number of the employer;
- Rate or rates of pay;
- Whether the employee is paid by the hour, shift, day or week or on a salary, piece or commission basis;
- Gross wages;
- Net wages;
- Amount and purpose of each deduction made during the respective period of service that the payment covers;
- Any allowances claimed as part of minimum wage;
- The regular hourly rate or rates of pay, the overtime rate or rates of pay, the number of regular hours worked and pay for those hours, and the number of overtime hours worked and pay for those hours (unless the employee is paid on a salary basis and is exempt from overtime compensation as established by law); and
- The piece rate or rates of pay, the number of pieces completed at each piece rate, and the total pay for each rate, if applicable.
The employer may provide the itemized statement in electronic form so long as it contains all the required information, the employee expressly agrees to receive the statement in electronic form, and the employee has the ability to print or store the statement at the time of receipt.
Employee Time and Pay Records
Employees may request time and pay records in the same manner they could previously request personnel records. Employers must retain time and pay records for three years after the date of termination, and such records must be provided to the employee for inspection upon request.
The new law adds provision regarding wage theft by all contractors, subcontractors, and their agents. They cannot intentionally fail to pay an employee the prevailing rate on any public works job; reduce the rate of wage that an employee would ordinarily receive in order to recoup wages paid in accordance with the prevailing wage statute (i.e., employer may not reduce an employee’s normal wage rate on a non-public works job to recover money paid to the employee on a public works prevailing wage job); withhold, deduct or divert any portion of an employee’s wages except as allowed by law; enter into an agreement for an employee to perform work on a public works project at less than the prevailing rate; or otherwise deprive an employee of wages due under the prevailing wage statute in an amount that equals or exceeds 25% of wages due or $1,000 in a single pay period, whichever is greater. Violations could lead to civil penalty as well as criminal charges.
In order to ensure compliance with these new requirements, you may want to review and update your payroll and recordkeeping practices prior to January 1, 2017. If you have any questions, please contact our office.