How Oregon's three-tier system works
Oregon's minimum wage is set by ORS 653.025 and adjusted annually by the Bureau of Labor and Industries (BOLI) based on the Consumer Price Index for All Urban Consumers (CPI-U) for the West Region. The adjustment takes effect each July 1 — a date distinct from Washington's January 1 COLA reset.
Three rates apply simultaneously because Oregon law recognizes three cost-of-living zones. The zones are determined by the metro/standard/nonurban designation in BOLI's published schedule, not by a worker's choice or an employer's payroll address.
Urban growth boundary — the boundary governs, not the mailing address
The Portland Metro Area tier applies to workers whose physical workplace is inside the Metro Urban Growth Boundary in Clackamas, Multnomah, or Washington County. The UGB is a planning boundary managed by Metro, the regional government. It does not align with city limits, county lines, or ZIP code boundaries.
A worker at a Hillsboro warehouse or a Gresham distribution center may fall inside or outside the UGB depending on the exact property location. If you are near the boundary, confirm your tier with BOLI before assuming you are inside or outside the Metro zone. This calculator cannot perform a boundary lookup — it relies on the region you select.
Oregon's July 1 indexing — contrasted with Washington
Oregon and Washington both index their minimum wages to inflation, but on different schedules. Oregon's adjustment takes effect each July 1, announced by BOLI several months in advance. Washington's adjustment takes effect January 1, with the rate announced by the Department of Labor & Industries by September 30 of the preceding year. An Oregon employer whose workers also cross into Washington must track two reset dates.
How these tiers interact with Oregon's prevailing-wage regime
Oregon's prevailing wage system under ORS 279C.800–870 applies to public works contracts and operates entirely separately from the minimum-wage tiers. Prevailing-wage rates — published quarterly by BOLI on January 5, April 5, July 5, and October 5 — are trade-specific and generally well above all three minimum-wage tiers. A worker on a covered public works contract earns the prevailing wage for their classification, not the minimum wage. The two regimes are independent; neither overrides the other.
Filing a wage claim with Oregon BOLI
If an employer pays below the applicable minimum-wage tier, a worker may file a wage claim with Oregon BOLI's Wage and Hour Division. Under ORS 652.140 and ORS 653.055, the deadline to file is six years from the date the wages were due. BOLI may order back wages, penalty wages (up to 30 days of pay), and civil penalties. Retaliation against a worker for filing a wage claim is unlawful under ORS 653.060.
Example — Portland Metro Area worker
What this calculator does not determine
- Which tier applies to you. You must select your region based on where you physically work. This tool cannot look up a worksite address against the urban growth boundary.
- Overtime pay. Oregon requires time-and-a-half after 40 hours in a workweek. Use the Oregon Overtime Calculator for those calculations.
- Prevailing wages on public works contracts. See the Oregon Prevailing Wage Rate Guide.
- Tip credits. Oregon does not permit a tip credit — tipped employees receive the full applicable minimum wage plus any gratuities.
- Exempt employees. Salaried exempt employees, agricultural workers under specific exemptions, and other categories defined in ORS 653.020 may not be covered. BOLI guidance describes exemptions.
- Future rate increases. The next scheduled adjustment is July 1, 2027. Rates displayed here are valid through June 30, 2027.
Sources and verification
The three rate values, tier names, geographic conditions, effective dates, and source URL displayed on this page are read directly from the site's verified rate registry (src/data/states.json), which is maintained against the Oregon BOLI Printable Minimum Wage PDF. No rate is hardcoded in the calculator logic. The registry entry for Oregon's minimum wage carries verified: true and a primary-source URL pointing to the BOLI printable schedule. Rates are reviewed for accuracy at each July 1 rollover. Last registry verification: July 1, 2026.