The Oregon Family Leave Act provides that notwithstanding 652.610(3), when an employer pays the employee's portion of the cost of providing health, disability, life or other insurance coverage for an employee while the employee is on family leave, the employer may recover such cost under the following circumstances:
(1) Upon the employee's return to work, the employer may deduct from the employee's pay the amount of the costs it paid, provided, however, that the total amount deducted from any paycheck may not exceed 10% of the employee's gross wages earned in the pay period covered by the paycheck.(2) If an employee does not return to work, the employer may deduct all of the costs it paid from amounts due and owing to the employee, provided, however, that no deduction may be made if the employee fails to return to work for the following reasons: (a) The employee's absence from work is caused by a continuation, recurrence or onset of a serious health condition that would entitle the employee to family leave as provided for under OFLA or to benefits under ORS chapter 657B; or(b) The employee's absence from work is caused by circumstances beyond the control of the employee.(3) If an employee does not return to work the employer may seek to recover amounts paid for insurance coverage on behalf of the employee by any other legal means provided however, that no legal action may be initiated if the employee failed to return to work for the reasons set out in subsections (2)(a) or (2)(b) of this rule.(4) The deduction provided for in this rule may be made with or without the employee's authorization. The employer shall notify the employee of the deduction before the deduction is made.Or. Admin. Code § 839-001-0250
BL 9-1996, f. & cert. ef. 10-8-96; BLI 15-2024, amend filed 06/28/2024, effective 7/1/2024Statutory/Other Authority: ORS 651.060 & ORS 659A.805
Statutes/Other Implemented: ORS 659A.171