NewsBrief – May 2026
In This Issue:
Oregon’s BOLI Announces 2026 Minimum Wage Rates
Cascade's Compliance Team
compliance@cascadeemployers.com
On April 23, 2026, the Bureau of Labor and Industries (BOLI) announced the new Oregon minimum wage rates that will take effect on July 1, 2026. Each year, BOLI calculates the new minimum wage adjustment by April 30 based on the annual change in the US Consumer Price Index (CPI). For this year’s calculation, the CPI increased by 3.3 percent for the period from March 2025 through March 2026.
Effective July 1, 2026, Oregon’s minimum wage rates are as follows:
- Standard Minimum Wage: $15.55 per hour
- Portland Metro Minimum Wage: $16.80 per hour*
- Nonurban Counties Minimum Wage: $14.55 per hour**
*Portland Metro Minimum Wage: Applies to work locations in Portland’s urban growth boundary, and primarily includes Clackamas, Multnomah, and Washington Counties. To see if a work location is within the urban growth boundary, click here.
**Nonurban Counties: Baker, Coos, Crook, Curry, Douglas, Gilliam, Grant, Harney, Jefferson, Klamath, Lake, Malheur, Morrow, Sherman, Umatilla, Union, Wallowa, and Wheeler Counties.
To prepare for the increase, employers should identify employees whose pay will be directly affected by the increase and prepare to implement changes effective July 1.
This includes both employees currently earning minimum wage and employees making close to minimum wage whose pay may be affected by the increase.
If you have any questions, please do not hesitate to reach out to us.
Oregon Employment Laws Taking Effect June 5, 2026
Cascade's Compliance Team
compliance@cascadeemployers.com
Below is a list of key employment law bills from the 2026 Oregon legislative session that take effect on June 5, 2026.
Oregon HB 4111 – Immigration Status Protections
- HB 4111 makes it an unlawful employment practice for Oregon employers to discriminate or retaliate against an employee who updates or attempts to update personal information based on a lawful change in federal work authorization.
- It generally prohibits the use of immigration status in civil lawsuits, with limited exceptions when necessary to prove a claim, calculate damages, or address reinstatement.
- It also adds immigration status to the list of characteristics that law enforcement agencies and officers may not use when profiling individuals.
Oregon HB 4027 – BOLI Expense Fund Payroll Tax
- HB 4027 creates a new “BOLI Expenses Fund” to stabilize and expand BOLI staffing, funded by a payroll tax shared equally between employers and employees.
- While the exact rate will be set by the Director of the Department of Consumer and Business Services (DCBS), it is anticipated to be approximately 0.2 cents per hour worked, split equally between the employer and the employee.
- Although the bill takes effect on June 5, 2026, Oregon employers must begin withholding and paying the new assessment starting January 1, 2027.
- It also increases the maximum prevailing wage fee for public works projects that public agencies must pay BOLI from $7,500 to $12,500.
Oregon SB 1570 – “Healthcare without Fear”
- SB 1570 limits health care facilities and providers from voluntarily sharing a patient’s citizenship status, immigration status, or country of birth with immigration authorities.
- The bill also requires health care facilities to develop written policies and procedures, including how to respond if law enforcement arrives and how to designate areas that are not open to the public.
- “Health care facilities and providers” include hospitals (with 24-hour inpatient care, such as emergency rooms and patient wards) and federally qualified health centers (community-based clinics providing primary care in underserved areas).
- It also makes it an unlawful employment practice to discipline or retaliate against an employee for distributing state-published educational materials regarding immigrant rights and legal services.
Key Washington Employment Laws Effective June 11, 2026
Cascade's Compliance Team
compliance@cascadeemployers.com
Below is a list of key employment law bills from the 2026 Washington legislative session that take effect on June 11, 2026:
Washington HB 2303 – Microchip Ban
- This bill prohibits employers from requiring employees or applicants to have microchips or other tracking devices implanted.
- It also allows workers to take legal action if this occurs, including seeking damages and attorney fees.
Washington SB 6106 – Mini-WARN/STABLE ACT Amendments
- This bill updates the notice requirements under Washington’s mini-WARN Act, which went into effect on July 27, 2025.
- It amends the definition of “employer” to no longer include “any Indian tribe.”
- It removes the requirement to include coworker names in notices to affected employees and instead requires employers to provide home addresses of affected employees to union representatives, if applicable.
- It also makes the names and addresses provided to the Employment Security Department (ESD) confidential and not subject to public disclosure.
Washington HB 2345 – WA PFML Tax Allocation
- HB 2345 adjusts how Washington Paid Family and Medical Leave (WA PFML) premiums are allocated between the medical and family leave portions to align with federal IRS guidance.
- It does not change the total premium rate or employer/employee cost split but allows employers to deduct 100% of the medical leave premium from employees (up from 45%) while shifting the employer’s share to the family leave portion.
Washington HB 2479 – Wage Recovery Fund
- HB 2479 creates a Wage Recovery Fund to help low-wage workers get partial payment faster when wages are unpaid.
- While the law takes effect this summer, payments to eligible workers will not begin until the fund reaches $130,000 or July 1, 2028, whichever is later.
Washington HB 2105 – Immigrant Worker Protection Act
- HB 2105 requires employers to notify employees within 72 hours of receiving a federal Notice of Inspection of Employment Eligibility Verification Forms (I-9 audit).
- It also requires that the notice be provided in English and the five most common non-English languages in the state, and that employees be informed of the audit results and their rights.
Washington SB 6058 – Expanded L&I Enforcement Authority
- SB 6058 gives the Department of Labor & Industries (L&I) more flexibility in how it investigates wage complaints, including discretion in determining the scope and process of investigations. It also allows L&I to assess civil penalties for willful wage and hour violations, increasing potential financial exposure for employers who knowingly fail to comply.
Washington SB 5847 – Workers’ Compensation Provider Choice
- SB 5847 requires employers to notify injured workers of their right to choose their own initial medical provider for a work-related injury.
- The notice must be provided at the time of injury, helping ensure employees understand they are not required to use an employer-selected provider.
- This change reinforces employee choice in medical treatment and may impact how employers manage workers’ compensation claims and direct care.
Washington HB 2471 – Expanded Private-Sector Coverage if NLRA Doesn’t Apply
- HB 2471 only takes effect if federal oversight under the National Labor Relations Act (NLRA) no longer applies or the National Labor Relations Board (NLRB) declines jurisdiction over certain private-sector employers or industries.
- If triggered, Washington is authorized to step in and regulate private-sector labor relations to avoid gaps in coverage.
- The Public Employment Relations Commission (PERC) would administer and enforce these provisions, expanding its role into the private sector if the law is activated.
Washington Bans Noncompetes for Nearly All Workers
Cascade's Compliance Team
compliance@cascadeemployers.com
As part of Washington’s 2026 legislative session, which concluded in late March, the state enacted significant changes to noncompetition agreements. Effective June 30, 2027, noncompetition agreements will be void and unenforceable for nearly all employees and independent contractors, regardless of earnings.
Washington employers will be prohibited from entering into, enforcing, or threatening to enforce noncompetition agreements. This broadly includes provisions that directly or indirectly restrict a worker from working for a competitor or doing business with customers, as well as provisions that require employees to forfeit bonuses, equity, or other compensation for doing so.
By October 1, 2027, employers must make reasonable efforts to provide written notice to current and former workers informing them that any existing non-compete provisions are void. This applies to agreements that would still have been in effect as of June 30, 2027.
The bill includes the following limited exceptions:
- Non-compete provisions tied to the sale of a business where the individual owns at least 1%
- Trade secret and confidentiality protections
- Nonsolicitation agreements, which must be narrowly tailored and are subject to a strict 18-month limit
Employers that violate these requirements may face a $5,000 statutory penalty or actual damages, whichever is greater, in addition to being responsible for the worker’s attorney fees and legal costs.
Hot Compliance Question
Cascade Compliance Team
compliance@cascadeemployers.com
Question: What happens when an employee's FMLA leave has expired, but the employee still has time available and can't return to work?
Answer: If the employee's leave has expired but they still have time available, you can request an updated medical certification to extend the leave. For instance, an employee was out for 4 weeks due to a shoulder injury and after the 4 weeks of approved FMLA leave, that employee's doctor still hasn't released that employee to work. If that employee has not used any other FMLA leave during their leave year, they would still have 8 weeks of leave left. You can request an additional medical certification to prove the need for leave.
Additionally, if an employee's FMLA time has been exhausted and the employee still can't return to work, consider whether a reasonable accommodation under the Americans with Disabilities Act (ADA) should be provided.
Fast-Track Your HR Knowledge Without Slowing Down Your Day
By Sheryl Kelsh, Membership Development Manager
skelsh@cascadeemployers.com
Cascade Employers Association offers members exclusive access to a Micro-Learning Video Library, a newer benefit introduced last year that continues to expand with fresh content. It’s designed for organizations that need a fast, reliable training option to complement traditional methods.
Micro-learning has quickly become a preferred approach to professional development. Research shows that shorter, targeted learning improves retention and helps employees apply concepts more effectively, especially when the content is immediately relevant to their day-to-day responsibilities.
Each session is developed and curated by experienced HR and compliance experts who understand the specific legal and workplace landscape in Oregon and Washington. The result is concise, practical guidance you can trust.
Current topics include handling difficult conversations, managing corrective action, improving documentation practices, understanding ADA requirements, and more, with additional content being added regularly.
For employers looking to strengthen their internal capabilities, support frontline managers, and stay compliant in a constantly changing environment, this training resource alone can make a meaningful impact.
And it’s just one of many benefits included with Cascade membership.