NewsBrief

June 2025

Building Better Workplaces through Compliance, Culture, Connection

In This Issue:

Employment Laws Passed Early in Oregon’s 2025 Session

Cascade Compliance Team
compliance@cascadeemployers.com

Although Oregon’s 2025 Legislative session continues through June 27th, the Governor has already signed two employment-related bills into law: SB 69A regarding job-protected leave and HB 3187 concerning age discrimination in employment. Both laws will take effect 91 days after the adjournment of the 2025 Oregon Legislative Session. While the specific date of the adjournment is unknown, if the legislative session were to end on June 27, 2025, the effective date of these two bills would be September 26, 2025.

SB 69 – Regarding Job-Protected Leave

SB 69A amends Paid Leave Oregon (PLO) and the Oregon Family Leave Act (OFLA) with several technical and administrative changes aimed to clarify, streamline, and align the leave laws for both employers and employees. SB 69A will take effect 91 days after the adjournment of the 2025 Oregon Legislative Session. For instance, if the legislative session ends on June 27, 2025, then the effective date would be September 26, 2025.

Below is a summary of the key provisions:

BOLI Enforcement & Oversight: Specifies that the Bureau of Labor and Industries (BOLI) is responsible for the administrative and regulatory oversight of job protection, retaliation, and discrimination provisions within PLO. Previously, BOLI already enforced anti-discrimination and retaliation laws generally in Oregon; however, this law explicitly assigns BOLI as the primary authority for anti-discrimination and retaliation in PLO.

Definition of Child under OFLA Sick Child: Defines child as “under 18 in age or over the age of 18 who is substantially limited by physical or mental impairment” under OFLA for purposes of sick child leave. Previously, this definition was already defined under the Oregon Administrative Rules but it was not explicitly written into the Oregon Revised Statute.

Notice for Closures under OFLA Sick Child: Clarifies OFLA sick child leave due to school or childcare closures during public health emergencies can begin without prior notice, unless the emergency was declared by the Governor over 30 days prior. This amendment clarifies notice requirements by explicitly adding it into law, as it was previously undefined.

OED Benefit Amount Disclosure to Employers: Permits the Oregon Employment Department (OED) to disclose PLO benefit amounts to employers for wage replacement calculation purposes. Previously, employers were not provided with employees' specific PLO benefit amounts, which made it difficult to accurately calculate how much they needed to "top off" an employee's pay when combining PLO with other employer-provided benefits.

OSL Qualifying Reasons: Permits the use of Oregon Sick Leave (OSL) for any qualifying PLO purpose. Previously, the OFLA and PLO amendments that took effect on July 1, 2024, were interpreted to allow employees to use OSL for PLO-qualifying reasons; however, it was never explicitly written into law.

PLO Return-to-Work Certification: Allows employers to require return-to-work certification after PLO medical leave confirming that the employee can safely perform their essential job functions. However, employers can only require such certification if the policy is applied consistently to all employees returning from similar types of leave, such as OFLA, FMLA, or employer-provided medical leave. With that, employers cannot require return-to-work certification exclusively for employees returning from PLO medical leave. Previously, the return-to-work certification was not addressed under PLO, and because of that, it was generally assumed not to be allowed.

OFLA Airline Flight Crew Hours Worked: Creates an exception to OFLA employee eligibility requirements regarding hours worked for Oregon-based airline flight crew members. Instead of having to meet the 25 hours a week for 180-day standard employee eligibility requirement for OFLA, Oregon-based flight crews are now eligible for OFLA if they meet the FMLA requirements. Specifically, airline flight crew employees are eligible for OFLA if they have worked or been paid for at least 504 hours (not including vacation, sick, or leave days) during the previous 12 months.

Oregon employers should review their OFLA, PLO, and OSL forms, templates, policies and procedures for compliance and train supervisors on the clarifications and return-to-work certification. Additionally, payroll should be notified and trained regarding PLO’s benefit amount disclosure to ensure accurate payments.

HB 3187 - Concerning Age Discrimination in Employment

Under existing Oregon anti-discrimination laws, employers cannot discriminate in employment based on age.  HB 3187 expands age discrimination protections in employment and apprenticeship programs. Specifically, during the initial stages of hiring, employers and employment agencies are prohibited from asking job applicants for their age, date of birth, or educational attendance/graduation dates. The earliest these inquiries might be permissible is after an initial interview, or if there is no initial interview, before a conditional job offer is made.

Even when these inquiries are made, they must be for legitimate business reasons and cannot be used for discriminatory purposes. Inquiring about this information before an initial interview, or before a conditional offer if no interview occurs, is only allowed to confirm if an applicant meets bona fide occupational qualifications or to comply with any provision of federal, state or local law, rule or regulation. Additionally, HB 3187 removes a previous provision that allowed apprenticeship programs to exclude applicants who would not complete training before age 70. Now, apprenticeship programs may not reject applicants solely on the basis of age.

Oregon employers should review their application materials and hiring processes to ensure compliance and train those involved in the hiring process accordingly. Furthermore, Oregon employers with apprenticeship programs should review their policies and procedures to make sure there are no age-based eligibility restrictions. 

TOP

New Washington Employment Laws Taking Effect July 2025

Cascade Compliance Team
compliance@cascadeemployers.com

As a reminder, Washington State's 2025 Legislative Session concluded on April 27th and numerous employment-related bills were signed into law. The following highlights some of the most significant employment laws that will take effect in July of this year. Please note that this list is not exhaustive. Washington employers should review and revise their policies and procedures accordingly, and ensure that supervisors are trained on these upcoming changes.

Changes to Washington’s Personnel Records Law

Effective July 27, 2025, HB 1308 amends existing Washington state law regarding employee access to personnel records. This bill clarifies that it does not create a retention schedule for records or require employers to create personnel records.

Specifically, HB 1308 requires Washington employers to allow employees to inspect their personnel files annually upon request and provides a detailed definition of what constitutes a "personnel file," including job applications, performance evaluations, and payroll records. Furthermore, employers must provide copies of these files within 21 days at no cost and, if asked by a former employee, a signed statement explaining their discharge. HB 1308 also establishes statutory damages for violations, with penalties ranging from $250 to $1,000 depending on how late an employer responds to the employee's request.

New Rules for Wage Transparency in Washington Job Postings

Effective July 27th, SB 5408  amends Washington's Equal Pay and Opportunities Act, focusing on wage and salary disclosures. Specifically, Washington employers can now list a specific pay amount instead of a salary range, even for internal transfers, but only if one specific amount is offered. Additionally, the definition of "postings" explicitly excludes postings replicated and published without the employer's consent.

The bill also clarifies that damages in transparency lawsuits will range from $100 to $5,000 per violation. From the amendment's effective date through July 27, 2027, employers will have the opportunity to correct any job postings that lack the required information and if an employer receives written notification of non-compliance, they will have five business days to rectify the issue before potentially facing penalties.

Washington Enacts "Mini-WARN" for Mass Layoffs and Closures

Effective July 27, 2025, SB 5525 establishes new employer requirements concerning notice and protections for workers experiencing job loss due to business closures or mass layoffs. These requirements are modeled after the federal WARN Act but provide broader protections and notice obligations.

Specifically, the law requires Washington employers with 50 or more full-time employees to give a 60-day written notice to affected workers and the Employment Security Department (ESD) before closures or mass layoffs, including details on the action, job titles, and whether the layoff is temporary or permanent. Exceptions exist for unforeseen events, natural disasters, specific construction projects, or when an employer actively seeks capital or business to avoid job losses and reasonably believes notice would hinder those efforts. Additionally, Washington employers with 100 or more employees must continue group health insurance for affected workers for up to 120 days or until they find other coverage, whichever is sooner. Lastly, unless notification is excused under the exceptions, employers cannot include employees on Washington Paid Family and Medical Leave in a mass layoff.

Protections Expanded under Washington’s Fair Chance Act

Effective July 27, 2025, HB 1747 expands protections for applicants and employees under the Washington Fair Chance Act. This amendment prohibits Washington employers from automatically or categorically excluding individuals from employment solely based on their criminal record.

Specifically, employers now cannot seek information about an applicant's criminal history until after a conditional offer of employment has been made. This is a change from the previous Fair Chance Act, which allowed these inquiries after an initial qualification assessment. Furthermore, employers will be required to demonstrate a "legitimate business reason" when taking tangible adverse employment action against an employee or applicant based on their criminal history, including considering factors such the nature and seriousness of the crime, its relevance to the job, and evidence of rehabilitation. Lastly, the amendment explicitly prohibits Washington employers from taking adverse action based on arrest records without a subsequent conviction, as well as due to juvenile conviction records.

WA Paid Sick Leave Expanded for Immigration Proceedings

Effective July 27, 2025, HB 1875 expands Washington’s Paid Sick Leave law to allow employees to utilize paid sick leave to prepare for or participate in any judicial or administrative immigration proceeding involving the employee or a member of their family. Furthermore, if an employer requests verification for an absence exceeding three days related to these proceedings, acceptable documentation is limited to: documentation from an advocate, attorney, clergy member, or other professional helping the employee or their family; OR the employee's own written explanation. Additionally, the documentation or written statement must not disclose any personally identifiable information about a person's immigration status or underlying immigration protection.

Washington Restricts Driver's License Requirements for Employment

Effective July 27, 2025, under SB 5501, Washington employers are prohibited from requiring a driver’s license as a condition of employment or from stating in job postings that applicants must have a valid driver’s license. The only exception to this rule is when driving is an essential function of the job or is directly related to a legitimate business purpose for the position. Employers found to violate this law may be ordered to pay actual damages (with a minimum of $5,000), interest, investigation/legal costs, and civil penalties up to $500 for the first offense, increasing to $1,000 (or 10% of damages) for repeat violations.

TOP

EEO-1 Report Filing Closes on June 24th

Cascade Compliance Team
compliance@cascadeemployers.com

As a reminder, eligible employers must file their EEO-1 data through the EEO-1 filing platform by June 24, 2025. The platform became available for submissions on May 20, 2025. The EEOC has indicated that no extensions will be granted for employers who fail to meet this deadline, despite the shortened filing period.

The following employers are required to file EEO-1 reports:

Employers required to file EEO-1 reports must choose a workforce snapshot period, which is a pay period between October 1, 2024, and December 31, 2024, and report the number of employees by job category, race or ethnicity, and sex from that pay period. Additionally, the EEOC has proposed to remove the option for employers to voluntarily report on employees who identify as non-binary. 

To avoid a non-compliance finding from the Equal Employment Opportunity Commission (EEOC), eligible employers who have not yet filed their EEO-1 report must do so by June 24th.

TOP

Pay Increase Predictions for 2025 Taper as Employers Respond to Market Conditions

Lindsay Hill, Director of Compensation Services
compensation@cascadeemployers.com

As we move further into 2025, it’s becoming clear that employers are adjusting their compensation strategies in response to shifting economic signals and labor market trends. Earlier forecasts had suggested that average pay increases would remain elevated, with many employers anticipating increases in the 3.7% to 3.8% range. However, more recent data show that projections are beginning to moderate.

According to our most recent Workplace Trends Survey, the average predicted pay increase for 2025 has now dropped to 3.23%. This reflects a notable decline from earlier expectations and suggests that while organizations remain committed to competitive pay, they are also being cautious amid concerns about inflation stabilization, cost pressures, and a normalizing labor market.

Our findings are aligned with Mercer's most recent report, which indicates that U.S. employers are planning to provide an average 3.2% merit increase, with total salary increase budgets (including promotions and other adjustments) averaging 3.5%. This data reinforces the trend: while pay increases remain above pre-pandemic norms, the peak rates of the past few years appear to be leveling off.

Several factors are contributing to this softening:

While 3.2%-3.5% may represent a shift downward from prior projections, it still reflects a relatively strong commitment to maintaining competitive compensation. For employers, it’s an important time to recalibrate pay strategies, ensure internal equity, and communicate transparently with employees about the rationale behind pay decisions.  Reach out to our compensation team if you need support with this work.

We'll continue monitoring trends as they develop and provide insights to help your organization navigate compensation planning with confidence.

TOP

Protecting Workers from Heat Illness and Wildfire Smoke: Oregon OSHA Compliance Guide

Cascade's Partner, Safety Northwest
safetynorthwest.org

As climate patterns continue to shift, Oregon employers face increasing challenges from extreme heat events and wildfire smoke exposure. Both hazards pose significant risks to worker health and safety, and both are now subject to specific Oregon OSHA regulations. This guide provides essential information on compliance requirements and best practices to protect your workforce.

HEAT ILLNESS PREVENTION

Heat-related illnesses range from uncomfortable heat rashes to potentially fatal heat stroke. When the body cannot adequately cool itself through sweating, body temperature rises, and symptoms progressively worsen. Risk factors include high temperature and humidity, direct sun exposure, limited air movement, physical exertion, personal factors (age, medications, acclimatization), and protective clothing and equipment.

Oregon's permanent heat rules apply to both indoor and outdoor workplaces when the heat index equals or exceeds specific thresholds.

Requirements at 80°F Heat Index:

Additional Requirements at 90°F Heat Index:

Best Practices for Heat Illness Prevention

Beyond compliance, consider these best practices:

WILDFIRE SMOKE PROTECTION

Wildfire smoke contains harmful chemicals and fine particles that can cause both immediate and long-term health effects. The primary concern is exposure to particulate matter less than 2.5 micrometers in diameter (PM2.5), which can penetrate deep into the lungs and enter the bloodstream.

Specific Air Quality Index (AQI) levels for PM2.5 trigger Oregon's wildfire smoke rules. Use the EPA’s AirNow app or the DEQ’s OregonAir app to monitor AQI levels.

Requirements at AQI 101-276:

Additional Requirements at AQI 277-848:

Requirements at AQI 849 or Greater:

Best Practices for Wildfire Smoke Protection

Oregon's heat illness and wildfire smoke rules represent a proactive approach to emerging workplace hazards. While compliance requires investment in planning, training, and equipment, these measures protect not only worker health but also business continuity during increasingly common extreme weather events.

By implementing comprehensive protection programs that go beyond minimum compliance, employers can demonstrate their commitment to workforce safety while potentially reducing lost productivity, workers' compensation claims, and employee turnover.

For detailed information on these regulations, visit Oregon OSHA's website or contact your professional employer association's safety consultant for personalized compliance assistance.

TOP

Hot Compliance Question

Cascade Compliance Team
compliance@cascadeemployers.com

Question: How do I know what kinds of accommodations under the Americans with Disabilities Act (ADA) may or may not be reasonable?

Answer: When the employee has requested an accommodation, you should begin the interactive process, which involves working together with the employee to identify potential accommodations that could enable the employee to perform the essential functions of their job.

Next, request medical information to confirm that the employee has a qualifying disability under state and federal ADA laws, the nature of any restrictions or limitations, and possible reasonable accommodations.

Once you have the information, it is the employer’s responsibility to work with the employee to determine what, if any, accommodations are reasonable and do not cause an undue hardship on the organization. An undue hardship, which is highly fact-specific, occurs when an accommodation results in significant difficulty or expense for the organization, considering various factors.

You can find more information on possible accommodations by contacting the Job Accommodations Network and/or the Northwest ADA Center.

TOP

Member Appreciation Month Is Here:  Bonus Drawing Opportunity

By Sheryl Kelsh, Membership Development Manager
skelsh@cascadeemployers.com

Cascade is once again setting aside the entire month of June as Member Appreciation Month as a thank you to nearly 600 Oregon and SW Washington employers. Check out all the details here, including free webinars, engaging activities, and opportunities to win special prizes.

Bonus Drawing: Win up to a $595* Scholarship for Your HRCI Certification Exam Fee – Boost Your HR Career!

Are you planning to earn your HRCI Certification in 2025? Through Cascade’s partnership with HRCI, during the month of June our members can enter an exclusive drawing for an HRCI Certification Exam Scholarship. Take a bold step toward elevating your HR career!

Here’s How to Enter

  1. Email membership@cascadeemployers.com.
  2. Include HRCI Certification Drawing in the subject line.
  3. Submit your entry by June 27, 2025.

The lucky winner will be announced on July 1, 2025, and once awarded the scholarship, they’ll have 180 days to take the exam.

Why Earn HRCI Certification?

In the ever-evolving HR landscape, staying ahead is essential. An HRCI certification, recognized globally as a hallmark of HR excellence, validates your expertise and commitment to the profession. It’s more than a credential; it’s your gateway to new career opportunities.

Certified HR professionals often experience:

Benefits Beyond the Drawing

Even if you don’t win the scholarship, being a Cascade member offers you incredible advantages through HRCI:

Not a member yet?  Join Cascade before June 30, 2025 to participate in the drawing!  Set yourself up for HR career success in 2025 and beyond. Together, let’s make your professional goals a reality!

*Scholarship includes both HRCI exam and application fee. The amount of scholarship is based on the HRCI certification applied for. The scholarship is non-transferable and cannot be exchanged for cash.

TOP

Back to top