What a week pays in Oregon
Take a 39-hour week in a factory with a 12-hour Monday and an 11-hour Tuesday, at $20 an hour. Under Oregon’s manufacturing rules that is 36 regular hours and 3 hours of overtime, for $810.00.
Federal rules alone would pay $780.00, with 0 hours of overtime. The state rule adds $30.00 to the week.
Who the rule covers
Only for employees in mills, factories and manufacturing establishments (and, per BOLI, canneries, driers and packing plants not located on farms). In sawmills, planing mills, shingle mills and logging camps the daily limit is 8 hours. The employer pays the greater of daily or weekly overtime for the week, not both. Does not apply to most other employees.
- Oregon computes the regular rate for overtime without commissions, bonuses and tips.
- Agricultural workers earn overtime after 48 hours in 2025 and 2026, and after 40 from January 1, 2027.
- In manufacturing, the employer pays the greater of daily or weekly overtime for the week, not both.
How federal law fits in
The FLSA applies in every state: a covered, non-exempt employee earns at least 1.5 times the regular rate for each hour over 40 in a workweek. Where a state rule and the federal rule both apply, the employee gets whichever pays more for each hour, never both. At $20.00 an hour, federal overtime is $30.00 an hour.
Overtime that only Oregon law requires does not count toward the federal deduction for qualified overtime; only the premium on hours over 40 in a week does. The no tax on overtime calculator works out that deduction.
Questions people ask
What is the overtime law in Oregon?
Oregon requires 1.5 times the regular rate for hours over 40 in a workweek. Employees in manufacturing establishments also earn overtime after 10 hours in a day, paid as the greater of daily or weekly overtime.
Does Oregon have daily overtime?
Yes. In mills, factories and manufacturing, over 10 hours in a day at 1.5×.
Is double time required in Oregon?
No. Oregon law does not require double time. It is paid only when an employer policy or a union contract provides for it.
Can a Oregon employer average hours over two weeks?
Not for federal overtime. Each workweek stands alone under the FLSA, so 30 hours one week and 50 the next means 10 hours of overtime in the second week, even when both are paid together.