Oregon sick time: 6 accrual rules for your hourly roster

Key takeaways

• Workers earn at least 1 hour of sick time for every 30 hours worked, up to 40 hours a year.
• You may limit use to 40 hours a year, cap the balance at 80 hours, and limit carryover to up to 40 hours.
• New hires wait 90 days before their first use.
• You must tell every worker in writing, at least every three months, what they have earned and what is available.

Every rule here comes from the state labor agency's own sick time page, so you can check each one yourself. This is practical guidance, not legal advice. If you have an HR adviser or lawyer, show them the page too.

When a worker calls in sick, you need to know in seconds whether they have hours to use. If you cannot answer that, you end up guessing, and guessing causes arguments. The six rules below tell you what the numbers are and how they move.

Does the law cover your crew?

Start with how many people work for you, because the paid rules depend on that number. The Oregon Bureau of Labor and Industries (BOLI), the state's labor agency, says paid sick time applies when an employer has 10 or more Oregon employees, or six or more if the employer has a location in Portland. BOLI's sick time page is the page to check.

BOLI works out your count as an average of the number of employees during each of any 20 workweeks, not as one count on one day.

Keep a simple count sheet. Write down the number of Oregon workers each week, so you can show how you got your number if asked.

If you have fewer employees than those numbers, the paid parts of this post may not apply to you. Read the BOLI page for what does apply before you set up tracking.

Rule 1: Workers earn 1 hour for every 30 hours worked

The starting rate is simple. For every 30 hours of work, a worker earns at least 1 hour of sick time. BOLI puts it this way: "Employees earn at least 1 hour of protected sick time for every 30 hours of work, up to 40 hours per year."

Two words in that sentence do most of the work. "At least" makes the rate a minimum, not a maximum: you may give more, never less. The count is hours of work, so that is what your timekeeping should track.

Here is what that looks like. A cook who works 30 hours earns 1 hour. Someone who works enough hours to earn 40 hours in a year reaches the yearly cap, which Rule 2 covers.

Set this up once in your timekeeping system so every worker gets the same math. Hand-kept sheets are where the errors creep in.

Try this check. Take the hours a worker logged in a pay period and divide by 30. A worker who logged 30 hours in one week has earned 1 hour. Keep that running total on your sheet, and stop adding once the year's total reaches 40.

Rule 2: Earning stops at 40 hours a year, unless you front-load

The sentence that sets the rate also sets the top. Workers earn up to 40 hours per year, and no more. Once a worker reaches 40 hours of earned time in the year, earning pauses until the year resets.

You also have a choice. BOLI's page describes a front-load option, where an employer gives staff the full amount at the start of the year. The page's wording is: "front-load at least 40 hours of sick time at the beginning of the year." To front-load means to hand over the whole amount up front, so workers have it all from day one of the year, instead of earning it a few hours at a time.

Front-loading saves tracking work. It also means every worker has the full 40 hours available early in the year, so plan shift cover with that in mind.

Take a worker who has earned the full 40 hours by early autumn. Earning pauses for the rest of the year. Their new earnings stop, but the hours already earned stay available to use, subject to the use limit in Rule 4.

Which to choose? Earning as you go fits a crew with uneven hours, because each person's balance follows what they actually work. Front-loading often fits a steady crew, because one number covers everyone.

Pick one method for the whole crew, and write it into your policy so every worker can see it.

Rule 3: You may cap the total balance at 80 hours

A balance is the total a worker has saved and not yet used. BOLI says an employer may choose to "cap total accrual balances to 80 hours." That means a worker's balance cannot go above 80 hours if you adopt the cap.

Once a worker reaches 80 hours in the balance, earning stops until they use some. That is the purpose of a cap: it stops balances from growing without limit.

The cap is your choice. If you do not adopt it, do not assume 80 applies. Decide whether you want a worker to be able to build up 80 hours, then write the answer down.

The 80-hour number is a balance limit, not a yearly limit. It is separate from the 40-hour yearly use limit in Rule 4.

Example: a worker has 80 hours in the balance and then works a long run of shifts. They cannot add hours until they use some, so you will see the balance sit at 80 on the sheet. That is what the cap is supposed to do, so it is not a mistake.

Rule 4: You may limit use to 40 hours a year

Earning and using are two different limits. Rule 2 limits how much a worker can earn. This rule limits how much they can use. BOLI's wording: "Your employer can limit you to taking 40 hours of that accrued time every year."

If you choose this limit, a worker who has used 40 hours in a year cannot use more until the year resets, even with hours still in the balance.

Tell staff about this limit at hiring, not during a crisis.

Example: a worker uses the full yearly amount in one stretch for a long illness, then needs one more shift off later in the year. If you set the yearly limit, that later time is not allowed, even though the worker still has hours in the balance. Plan for that before it happens, and tell the worker on the day they ask, in writing, why.

Rule 5: Up to 40 hours can carry over to next year

Carryover is what happens to unused hours at the end of a year. BOLI says employers may "limit carry-over of unused sick time from one year to the next to up to 40 hours a year." Put simply: you may let up to 40 unused hours roll into next year, and any hours above that do not carry over.

Example: at year-end, if your policy sets a 40-hour carryover limit, a worker with less than 40 unused hours carries all of it. A worker with more than 40 carries only 40, and the rest does not carry over.

Keep a year-end snapshot of every balance, so you can show exactly what carried over if a worker asks.

Carryover works with Rule 3. A worker who carries over 40 hours and then earns 40 more in the new year would be at 80, which is the number to watch.

Write your carryover limit into the policy and tell staff in writing before year-end, so nobody is surprised when hours do not carry over.

Rule 6: New hires wait 90 days before their first use

The state page says: "Employees may begin taking sick time after 90 days of employment." Put the date 90 days after each hire's start date on their file, and tell them that date in writing on day one.

Check BOLI's page on whether hours earned in those first 90 days count toward the balance once the worker can use them.

Example: a new hire starts on a Monday. Count 90 days forward on a calendar, and write that date on their file. Until that day, they cannot use sick time, and your schedule should not count on it.

The quarterly balance notice

Separate from the six rules is a duty that gets missed. BOLI says employers must "inform employees how much sick time they have earned and available in writing at least every three months."

Two things to notice. The notice must be in writing. It must show both numbers: how much is earned and how much is available to use.

Pick a method and keep a copy of every notice you send. A simple option: on the first day of each quarter (January, April, July and October), send every worker a written line with their earned and available hours.

Here is a line you can adapt: "As of [date], you have [X] hours of sick time earned and [Y] hours available to use." Fill in the blanks from your sheet, and keep a copy.

Illustrative example: one worker, one year

Say a worker works 30 hours a week. Every 30 hours is 1 hour earned, so they earn 1 hour a week. After 40 weeks they have earned 40 hours, the yearly limit, and earning stops for the rest of the year.

Now say they use some of their hours in the middle of the year for a short illness. If you set a yearly use limit, those hours count toward the 40-hour limit, and the balance drops by the same amount.

At year-end, whatever is left carries over, up to the 40-hour carryover limit, if you set one. Next year they start with that carried-over amount and can earn up to 40 more, while the balance stays at or under the 80-hour cap if you set one.

Your sheet should show each step. A simple check: hours earned, minus hours used, plus hours carried in, equals the balance left.

Set up one tracking sheet

You need one sheet that answers the same questions for every worker. Use one row for each worker and these columns: name, hours worked this pay period, hours earned so far this year, hours used so far this year, hours carried over from last year, and the balance you have left.

Update it every pay period. The balance should equal hours carried over plus hours earned, minus hours used. The one exception is the 80-hour cap, which stops the balance from growing past 80. If your numbers do not match, find the error before the next shift is scheduled. For how to check entries, see timesheet approval and edit rules.

When a worker asks to use sick time

Check the balance first. Look at the sheet and count how many hours are available to use, then check how many hours this worker has already used this year against the 40-hour yearly use limit, if you adopted one.

Record the request on the sheet at once. Write the date, the number of hours asked for, and the hours approved. Keep a note of the answer, even when it is no, so the decision can be explained later.

Confirm the answer with the worker in writing, such as a short email, and keep the copy. For more on settings, see sick leave settings for hourly shifts.

Scheduling around sick time

Sick time is a planning problem as much as a payroll one. A worker with 40 hours available can cover one full work week, so plan the cover before the need arises.

Good habits help. Keep a short list of who can cover each shift type. Give shift leads each worker's balance at the start of each month, so they know who has time left before they build the schedule. For more on this, see time off rules that keep rosters fair.

Keep balances private. Share each worker's numbers only with the worker and the people who schedule them.

What to tell new hires

Explain the rules on day one, in plain words. Tell each new hire four things: how their hours turn into sick time, the most they can earn and use in a year, when they can first use it, and how and when they will get their balance in writing.

Ask them to read the BOLI page too, and answer questions before the first shift. A worker who understands the rules at the start has fewer surprises later.

Sample policy wording

Copy this into your written policy, pick the choices in brackets, and have an adviser check it:

> [Choose one: Workers earn at least 1 hour of sick time for every 30 hours worked, up to 40 hours per year. / We give workers all 40 hours of sick time at the start of each year.] [Workers may use up to 40 hours per year.] Unused time carries over up to [40] hours. [Balances are capped at 80 hours. / There is no balance cap.] New workers may use sick time after 90 days of employment. We will tell each worker in writing, at least every three months, how much sick time they have earned and available.

Your next step today: start a weekly count of Oregon workers, since BOLI averages the count over any 20 workweeks.

Common questions

Can I give more than the minimum?

Yes, the rule says "at least", so you may give more than 1 hour for every 30 hours, but earning still stops at 40 hours per year. Changing the rules in the middle of a year may be a policy decision with consequences, so talk to an adviser first.

Does a part-time worker earn the same way?

Yes, a part-time worker earns 1 hour for every 30 hours they work, because the rule counts hours of work. Their yearly limit is still 40 hours.

What happens to unused time when someone leaves?

Confirm it on BOLI's page or with an adviser before the worker's last day.

Common mistakes

• Treating the 40-hour use limit and the 40-hour earning limit as one rule. They are separate.
• Letting a new hire think they can use time on day one.
• Keeping the carryover limit quiet until hours are cut off at year-end.
• Forgetting the quarterly written notice, which is easy to skip in a busy season.
• Counting scheduled hours instead of hours worked.
• Copying a rule from another state, or from an old policy, without checking this page.

What to do this week

1. Count your Oregon staff, using the 20-workweek average from the start of this post.
2. Choose how workers earn: 1 hour for every 30 hours worked, or front-load 40 hours at the start of the year.
3. Decide three limits and write them down: the yearly use limit (40 hours), the balance cap (80 hours, or none), and the carryover limit (up to 40 hours).
4. Put a 90-day start date on every new hire's file, and tell them that date in writing.
5. Put the quarterly balance notice on the calendar, and keep a copy of each one.
6. Ask whoever runs payroll or timekeeping to check their numbers against your written policy.

Where to check the rules

The state's own page is the authority. BOLI's sick time page is the one to save.

If this post and that page disagree, the page wins. Read it once in full, and check it again each January, because state rules can change from year to year.

What this post does not cover

We did not check how overtime counts toward hours, what happens to unused time when someone quits, which absences count as a sick reason, or what local rules a city or county may add. Confirm each of those on the BOLI page or with an adviser before you rely on it.