Oregon laws require that employers pay employees at least once every 35 days. Oregon law also dictates that employees should be paid on time and be paid the full amount that they are owed each payday – what a revolutionary idea!

What happens if your employer deducts pay from your paycheck?

Generally, your employer cannot withhold money from your paycheck. The big exceptions may not surprise you:

  • If the employer is required to do so by the federal government, the state of Oregon, or the courts. This essentially means that it is okay for your employer to deduct items such as taxes and garnishments from your paycheck.
  • If you authorized the deduction(s). The classic example is a deduction for contributions to an employee’s 401(k).

If an employer does withhold or deduct any sums from an employee’s paycheck they must provide the employee with a statement at the time of payment that itemizes the deductions and lays out the purpose for the deductions.

When is my paycheck due if I quit or am fired?

In Oregon when an employee quits all wages earned through the day of termination are due 5 days after the employee quits. This means that on the fifth day you must, by law, get your final paycheck.

When an employee gives at least 48 hours’ notice of his or her intention to quit the final paycheck is due on the last day worked.

When an employer discharges an employee or when the employment is terminated by mutual agreement, the employer must pay all wages by the end of the next business day following the discharge or termination.

What if my paycheck is not for the full amount?

If an employer willfully fails to pay all wages due to an employee upon termination they can be held liable, as a penalty, the amount of the employee’s wages from the due date at the same hourly rate for 8 hours per day until action is commenced or wages are paid, up to a maximum of 30 calendar days.

For example, if you made $15 an hour and you are fired on Friday, your final paycheck is due the following Monday (so long as it is not a holiday). If your employer does not pay you on Monday but pays you on Friday. You would potentially be owed a penalty of $600 (5 days x 8 hours x $15).

These penalties are capped at the amount of wages you are owed unless the employer fails to pay within 12 days after receiving written notice of the failure to pay.

MORAL OF THE STORY: Make a written request for any missing wages!

© 7/31/2018 Hunt & Associates, P.C. All rights reserved.