Oregon · Termination · Updated April 2026

Oregon penalty wages: 8 hours/day × 30 days on willful late pay.

ORS 652.150 imposes penalty wages of 8 hours per calendar day at the worker's regular rate, up to 30 days, for willful failure to pay wages on time. The maximum exposure is 240 hours of straight-time wages on top of the original underpayment. Plus a BOLI civil penalty of $1,000, plus interest, plus attorney fees. Employers can cap exposure at 100% of unpaid wages by paying within 12 days of written notice from the worker.

Penalty Rate
8 hrs/day
Max Duration
30 days
Authority
ORS 652.150
Active

Penalty Wage Risk Tracking

Tracks penalty wage exposure on late wages. Surfaces 12-day cure window from written worker notice. Calculates daily accrual at 8 hours × regular rate.

Critical · late wages on termination
Flag · 12-day cure window from worker notice
Always running

What those rules do when a deadline passes.

The hero card configuration: Critical on late termination pay, Flag on cure window status.

Critical · on termination deadline missed

When a final pay deadline passes without payment, Teambridge surfaces a Critical indicator with the daily penalty accrual count and the running exposure total. The risk surfaces every business day the wages remain unpaid.

Flag · 12-day cure window from worker notice

When the employer receives written notice from the worker that wages remain due, a 12-day cure window begins. Paying in full within the window caps liability at 100% of unpaid wages instead of 240 hours of penalty.

Skip the configuration

Deploy Oregon penalty wage tracking in your Teambridge.

Tell us about your Oregon workforce. We'll spin up final-pay deadline tracking with daily penalty exposure visualization and 12-day cure window detection — and 21 other Oregon policies in a sandbox tenant.

Or book a 30-min walkthrough. We respond within 4 business hours.

The rule, plainly stated

8 hours per day, every day, up to 30 — even on weekends.

The penalty accrues at 8 hours per calendar day — including Saturdays, Sundays, and holidays — at the worker's regular rate. Maximum is 30 days = 240 hours of additional wages.

ORS 652.150 — Penalty Wages: If an employer willfully fails to pay any wages or compensation of any employee whose employment ceases, the wages or compensation of the employee shall continue from the due date thereof at the same hourly rate for eight hours per day until paid or until action therefor is commenced.

Calendar-day accrual, not work-day

The penalty runs at 8 hours per calendar day from the due date until payment. Saturdays, Sundays, and holidays count. A worker who normally works part-time still accrues 8 hours of penalty per day. The penalty is independent of the worker's normal schedule.

Willful failure standard

ORS 652.150 requires the failure to be 'willful' — the employer knew the wages were due and failed to pay. Willfulness is interpreted broadly by Oregon courts and BOLI: ignorance of the law, accounting errors, or 'we didn't get to it' generally do not negate willfulness. The standard is much closer to negligence than intent.

On autopilot

Teambridge surfaces the daily exposure and the cure window when applicable.

Most penalty-wage exposure is preventable with timely payment. Teambridge surfaces the risk before the deadline passes.

01 · Daily exposure tracking

8 hrs × regular rate × days late.

When a final pay deadline passes, Teambridge starts the daily exposure clock. Each business day the wages remain unpaid adds 8 hours of penalty wages at the worker's regular rate.

02 · Cure window detection

Worker notice triggers 12-day window.

When the employer receives written notice from the worker that wages remain due, the 12-day cure window begins. Full payment within the window caps liability at 100% of unpaid wages.

03 · 30-day cap enforcement

Maximum 240 hours of penalty.

Penalty wages cap at 30 calendar days = 240 hours of additional wages. Beyond 30 days, no further penalty accrues, but the underlying wages plus BOLI civil penalty plus interest plus attorney fees remain in play.

04 · Pre-termination risk preview

Final pay risk shown before termination.

Before termination is finalized, Teambridge previews the penalty wage risk if the deadline is missed. Operators see the maximum exposure (30 days × 8 hours × rate) and can ensure timely payment.

Free · No commitment

Still evaluating? Get a free Oregon compliance audit.

Send us your existing Oregon scheduling and pay configuration. Our compliance team returns a written audit within 5 business days — every Oregon-specific exposure ranked by risk and back-pay liability.

FAQ

People also ask.

How are Oregon penalty wages calculated?
8 hours per calendar day at the worker's regular rate, accruing from the missed deadline until payment or 30 days, whichever is first. Maximum exposure is 30 days × 8 hours = 240 hours of additional wages on top of the original underpayment.
Are weekends and holidays included in the count?
Yes. The penalty runs at 8 hours per calendar day — including Saturdays, Sundays, and holidays. A 14-day late payment = 112 hours of penalty wages even though only 10 of those days are business days.
What's the 12-day cure window?
If the employer receives written notice from the worker that wages remain due and pays in full within 12 days, the penalty caps at 100% of unpaid wages instead of the 30-day maximum. This is the employer's escape hatch on willful late pay.
What does 'willful' mean in this context?
Oregon courts interpret 'willful' broadly — closer to negligence than intent. Ignorance of the law, accounting errors, or 'we didn't get to it' generally do not negate willfulness. Mere mistake of fact (e.g., the worker had quit and the employer reasonably believed wages were paid) can negate willfulness in some cases.
Does the penalty apply to ongoing wage underpayments, not just termination?
Yes — for any willful late wages. The most common application is final pay, but the rule applies to overtime that's underpaid for several pay periods, or paychecks that are simply late. The 6-year SOL means old underpayments can still trigger penalty claims.