Oregon Statewide Rule

Oregon Tiered Minimum Wage Preempts Local Rates

Some RestrictionsApplies statewide across Oregon (2026)

ORS 653.025 sets a three-tier statewide minimum wage and ORS 653.017 preempts cities and counties from adopting different local minimums.

Full Breakdown

Oregon uses a unique three-tier minimum wage geography under ORS 653.025: a Portland-Metro tier, a Standard tier, and a Nonurban tier covering specified rural counties. Annual increases on July 1 are tied to inflation under SB 1532 (2016). ORS 653.017 expressly preempts local governments from establishing minimum wages that differ from state law, ensuring uniform employer compliance. The Bureau of Labor and Industries enforces wage standards, posting requirements, and recordkeeping under ORS 653.045. Tip credits are not allowed, and most employees in Oregon must receive at least the applicable tier rate.

Violations & Penalties

Failing to pay the lawful minimum wage exposes employers to back wages, civil penalties, and BOLI enforcement actions.

Frequently Asked Questions

Can Portland set its own minimum wage?

No. ORS 653.017 preempts local minimum-wage ordinances different from state law.

Are tipped workers paid less?

No. Oregon prohibits tip credits, so all tipped employees earn at least the tier rate.

Sources

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Full Breakdown