What Is the Minimum Wage in Oregon?

Understanding Oregon's Minimum Wage: What Workers and Employers Need to Know

If you live in Oregon or plan to move there for work, you might wonder, what is the minimum wage in Oregon? This is an important topic for job seekers, employees, and business owners. The minimum wage has a direct impact on local economies, individual earnings, and overall job satisfaction. In this guide, you’ll learn all the essential facts related to Oregon’s minimum wage laws, recent rate changes, and what they mean for you.

How Oregon’s Minimum Wage Is Structured

Oregon’s minimum wage is a bit unique. Unlike many states with a single rate, Oregon uses a tiered system. There are different minimum wages depending on where you work within the state. The three categories are:

• Standard Minimum Wage: Applies to most locations and cities.
• Portland Metro Area Minimum Wage: Higher rate set for the greater Portland area.
• Nonurban Counties Minimum Wage: Lower rate for specific rural counties.

This structure exists because the cost of living and average wages vary so much across Oregon.

Current Minimum Wage Rates in Oregon (2024 Edition)

The Oregon minimum wage rates can change each July 1st, and they are tied to inflation and cost-of-living adjustments. As of July 1, 2024, here are the minimum wage rates in Oregon:

• Standard Minimum Wage: $14.20 per hour
• Portland Metro Minimum Wage: $15.45 per hour
• Nonurban Counties Minimum Wage: $13.20 per hour

If you are not sure which rate applies to your area, check the Oregon Bureau of Labor and Industries (BOLI) by county and city. Most employers in Oregon must follow these minimum wage laws.

Why Does the Oregon Minimum Wage Vary by Region?

Oregon lawmakers designed the tiered minimum wage system to help balance the differences in housing costs, transportation, and other living expenses. Here’s a simple breakdown:

• The Portland Metro Area includes all of Multnomah, Clackamas, and Washington counties up to the urban growth boundary. This area has the highest living costs.
• Standard Regions cover most of the rest of the state, which has average cost of living.
• Nonurban counties are more rural, with generally lower costs and are listed each year by BOLI.

This system aims to ensure workers across Oregon earn a fair wage, no matter where they live.

Oregon Minimum Wage Compared to National Minimum

You might want to know how Oregon’s minimum wage compares with the federal minimum wage. The current federal minimum wage is $7.25 per hour—unchanged since 2009. Oregon’s rates are notably higher:

• Oregon’s standard rate is nearly double the federal minimum wage.
• Oregon employers must pay the higher state minimum wage, even if federal law is lower.
• This higher minimum wage affects job seekers, student workers, part-time jobs, and seasonal positions.

Minimum Wage Increase Schedule and Indexing in Oregon

Since 2016, Oregon’s minimum wage laws include annual scheduled increases. After July 2023, increases are tied to the Consumer Price Index (CPI), a common measure of inflation:

• Rates are reviewed and often updated every July 1.
• The rate can go up slightly each year based on inflation and cost of living.
• Check BOLI’s updates each spring for the latest figures.

This ensures that the minimum wage in Oregon keeps pace with economic changes, protecting your buying power over time.

Who Is Eligible for Oregon’s Minimum Wage?

Most hourly workers in Oregon are covered by minimum wage laws. However, there are a few exceptions:

• Tipped employees, like servers or bartenders, must still be paid at least the minimum wage—Oregon does not allow a tipped wage lower than the standard.
• Some workers, such as student interns, independent contractors, or those in training programs, may have different wage rules.
• Special rates might apply for youth employment or workers with disabilities, but these are rare.

Almost every type of business or employer in Oregon must pay at least the minimum wage, including farms, construction, hotels, restaurants, and more.

How Employers Can Stay Compliant with Oregon Minimum Wage Laws

If you are an employer, staying compliant means you should:

• Check your county or city’s minimum wage rate each July.
• Update your payroll systems to reflect annual rate increases.
• Display the current minimum wage poster in the workplace, as required by BOLI.
• Keep records of hours worked and wages paid for at least three years.
• Contact BOLI for questions or help with wage laws.

What Happens If Oregon Minimum Wage Laws Change?

Although annual changes are based on inflation, lawmakers can also pass new laws to adjust the structure if needed. Keeping an eye on state news and the BOLI website is a smart way to stay up to date.

Frequently Asked Questions About Oregon Minimum Wage

How often does the minimum wage increase in Oregon?

Oregon's minimum wage typically increases every July 1. After the 2023 scheduled increases, the rate is now tied to inflation changes and tracked by the Consumer Price Index (CPI).

Which Oregon counties have the lowest minimum wage?

Nonurban counties, as defined each year by Oregon’s BOLI, have the lowest minimum wage in Oregon. Examples include Grant, Wallowa, and Malheur counties.

Does Oregon have a separate minimum wage for tipped workers?

No, Oregon does not have a separate (lower) minimum wage for tipped employees. All workers must be paid at least the minimum wage for their area, before tips.

Do teenagers or students get paid less than the minimum wage in Oregon?

Most workers in Oregon, including teenagers and high school students, must earn at least the minimum wage for their area. Some specialized training programs may have different rules, but these are rare exceptions.

Where can you find the most up-to-date Oregon minimum wage rates?

The Oregon Bureau of Labor and Industries (BOLI) website posts updated minimum wage rates and maps every year in the spring and summer before July 1.

Popular Search Queries Related to Oregon's Minimum Wage

• Current minimum wage in Portland, Oregon 2024
• Oregon minimum wage increase schedule
• Minimum wage by county in Oregon
• How does Oregon minimum wage compare to Washington and California?
• Is Oregon's minimum wage a living wage?

Get Ready for Changes in Oregon's Minimum Wage

Whether you are searching for entry-level positions, part-time work, or launching your own business in Oregon, understanding the minimum wage is crucial. As minimum wage rates change, staying informed helps ensure fair pay for workers and legal compliance for employers. Check the latest updates each year to keep ahead.