In recent years, Oregon has enacted a dizzying array of new employment-related laws: mandatory minimum wage, mandatory sick leave, predictive scheduling, and “ban the box,” to name just a few. For employers, new laws are coming so fast that they can be hard to keep track of, creating a risk of being penalized for failing to comply with new laws the employer never heard of.
A less-noticed law is Oregon’s mandatory retirement savings program, called “OregonSaves.” Created in 2015, it requires all employers to either opt-in to a state-run retirement savings plan or offer an equivalent (or better) plan to their employees. The main requirements are administrative, not financial. Employers do not have to offer a retirement savings plan to their employees but, if they do not, they must register each employee with the State so that the employee may choose to contribute to their plan. Even employers that do offer an equivalent retirement savings plan have to register with the State and prove that they are exempt.
OregonSaves is being phased-in in stages. It already applies to employers with 10 or more employees. On November 15 of this year, it will extend to employers with 5 or more employees and, on May 15, 2020, it will apply to all employers of any size. Employers who are out of compliance – even as to the registration requirements – will be subject to financial penalties as of January 1, 2020.
You may find more information about OregonSaves at https://www.oregonsaves.com/, or by visiting with an attorney.