What is the minimum wage in Oregon for 2024?Are there plans to change the minimum wage in Oregon?What’s happening beyond 2024?How should small business owners prepare for Oregon minimum wage and paid leave increases?
We know that as a small business owner in Oregon, you’re eager to stay on top of the recent minimum wage increases. To help you do just that, we’ve put together this quick guide with all the info you need to know in 2024.
What is the minimum wage in Oregon for 2024?
On July 1, 2023, Oregon’sminimum wageincreased to $14.20 for employers in the Standard area, $15.45 in the Portland metro area, and $13.20 in the non-urban counties. The minimum wage in Oregon will likely increase again across all counties on July 1, 2024.
Interested in the minimum wage in Eugene, Oregon? Look at the standard counties minimum wage. Do you live in a county in the eastern part of the state? Those are considered non-urban counties. Or if you want to know the minimum wage in Portland, Oregon, take a look at Portland metro.
Are there plans to change the minimum wage in Oregon?
Yes. Effective July 1, 2023, the Oregon minimum wage rate will be adjusted annually based on the Consumer Price Index.
What’s happening beyond 2024?
Date
Standard Counties
Portland Metro
Non-Urban Counties
July 1, 2021
$12.75
$14.00
$12.00
July 1, 2022
$13.50
$14.75
$12.50
July 1, 2023
$14.20
$15.45
$13.20
July 1, 2024
Adjusted based on Consumer Price Index
$1.25 more than standard minimum wage
$1 less than the standard minimum wage
How should small business owners prepare for Oregon minimum wage and paid leave increases?
Every business is different, so there isn’t one right way to prepare. Here are a few options you may want to consider:
Audit your expenses:Check your cash flow in detail and create a hiring plan that you can afford. In some cases, you may find that hiring temporary workers as needed is less expensive than taking on full-time regular staff.
Make sure you hire and keep the right employees:Replacing an employee costs a lot.You decrease the total cost associated with recruiting and training when you hire (and then retain) the right people. Look for candidates with good track records, who come recommended, and who fit in with the company culture. Once they’reonboarded, make sure you build a relationship and provide paths for growth; it makes it more likely that they will stay in their role.
Keep valuable employees:There is significant cost in replacing an employee. New hires are more likely to stay at your company if you build a relationship with them and provide paths for growth.Employee retentionis key to growing your business and preparing for Oregon minimum wage increases.
Increase prices:This is a great way to increase cash flow. Customers are rarely happy with a price hike, but keep in mind that your competitors will be forced to do the same. Just make sure you keep track of trends, and don’t raise prices too high.
Update tech:Consider automating certain aspects of the work and find ways to reduce production costs. Once you’ve reviewed thepayroll basics, consider switching to SquarePayroll, which helps you with tax calculations, timecards, and pay, not only for hourly employees but also forsalaried employees.
As always, verify that your business has anEIN, is following theequal paylaw, and that you’re allowing your employees to use theirmeals and breaks.
To make sure your business is prepared and stays in compliance, we recommend that you discuss these upcoming changes to the Oregon minimum wage and paid family leave laws with your accountant and lawyer.
On July 1, 2023, Oregon's minimum wage increased to $14.20 for employers in the Standard area, $15.45 in the Portland metro area, and $13.20 in the non-urban counties. The minimum wage in Oregon will likely increase again across all counties on July 1, 2024.
SALEM, Ore. — Oregon's minimum wage goes up on Monday, July 1. 2023's increase was the last year the base wage was pre-determined. Starting this year, the wage will be adjusted every July based on the consumer price index.
As of July 1, 2023, the current living wage is $15.70 per hour. On July 1, 2024 the living wage will increase to $16.23 per hour. The living wage is adjusted annually on July 1 based on the prior calendar year's Consumer Price Index.
Breaking Down the Cost of Living in Oregon. The cost of living in the Beaver State sits above the national average, putting it in the top 10 most expensive states in the nation. Housing, utilities, and food are the main components of these living expenses, with annual costs of $8,924, $1,030, and $4,104, respectively.
Five states have not adopted a state minimum wage: Alabama, Louisiana, Mississippi, South Carolina and Tennessee. Two states, Georgia and Wyoming, have a minimum wage below $7.25 per hour. In all seven of these states, the federal minimum wage of $7.25 per hour applies.
In January, the minimum wages in Maryland, New Jersey, and upstate New York will reach or exceed $15 an hour for the first time, joining California, Connecticut, Massachusetts, Washington, and the rest of New York as states at or above $15 an hour.
The District of Columbia has the highest minimum wage in the country, at $17 an hour. Next in line is Washington state, where the minimum wage was raised to $16.28 an hour at the start of the year, up from $15.74.
As of 2024, the California minimum hourly wage tiered structure is as follows: 25 or fewer employees: $14.00 per hour. More than 25 employees: $15.00 per hour. Tipped employees: $10.00 per hour, plus tips to bring total hourly earnings to at least $15.00 per hour.
Historically, Oregon has been a more affordable place to live than California. This can vary depending on what region of each state you're looking at, but the general consensus is that you'll most often find a higher cost of living in California. Here are a few reasons why.
Oregon's poverty rate was 12.2% in 2021, up from 11.4% in 2019. Poverty rates in Oregon have tracked pretty smoothly with the national trend over the past 15 years.
No city in our study has a higher statutory minimum wage than Seattle, where minimum wage workers earn $18.69 an hour. But Seattle is also among the highest cost-of-living cities in our study.
A usual metric of wage inflation is the change in average hourly earnings for all private employees, as reported monthly by the Bureau of Labor Statistics (BLS). This measure has risen 4.0% from November 2022 to November 2023.
The annual average wage for all occupations in Oregon was $64,835 in 2023, or $31.17 per hour. Of the occupations with published data, taxi drivers had the lowest average wage of $14.72 per hour.
This increase is required under the Labour Standards Regulations and is based on the percentage change in the National Consumer Price Index. The most recent increase to the minimum wage rate of $0.50 occurred on October 1, 2023, bringing the minimum wage rate to $15.00 per hour.
Introduction: My name is Chrissy Homenick, I am a tender, funny, determined, tender, glorious, fancy, enthusiastic person who loves writing and wants to share my knowledge and understanding with you.
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