8 points on Oregon’s new Paid Family Leave law

By Oregon Restaurant and Lodging Association

Oregon’s Paid Family and Medical Leave Insurance program (PFMLI) goes into effect January 1, 2023, and is funded by employer and employee contributions. Employers with less than 25 employees are not required to contribute to the program, but their employees are. Employers will be required to participate in the program or provide an equivalent plan. ORLA is actively looking into private sector solutions right now. Here are some key dates:

– On September 6, 2022, the window opened for employers to submit equivalent plan applications through the state’s portal
– By November 30, 2022, employers interested in an equivalent plan must submit a declaration of intent or equivalent plan application to be exempt from state plan contributions beginning January 1, 2023.
– For employers participating in the state plan, employer and employee premium contributions begin January 1, 2023.
– Employers seeking equivalent plan solutions generally need to collect employee contributions starting January 1, 2023 and hold this money in a separate account until their equivalent plan is approved by the state.
– For employers who submitted a declaration of intent, complete equivalent plan applications (including a full plan document) are due to the state by May 31, 2023.
– If an employer seeking to use an equivalent plan does not have an approved plan by June 30, 2023, the employer must collect and pay contributions for all unpaid periods since Jan. 1, 2023, along with any penalties and interest. Retroactive withholding from employee wages is not permitted.
– For employers with approved fully-insured equivalent plans, initial premium contributions are due September 3, 2023 (the coverage effective date).
– PFML benefits start under the state and equivalent plans beginning September 3, 2023.

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