5/2/23: May 31: Deadline to Apply for An Equivalent Plan & Avoid DOI Cancellation

May 2, 2023

By Iris Tilley

Beginning on September 3, eligible individuals may take paid time off for qualifying reasons under Paid Leave Oregon. For purposes of administering Paid Leave Oregon, employers may choose to (1) participate in the state’s program, or (2) submit an application to the Oregon Employment Department (“OED”) for either an employer-administered or a fully insured equivalent plan.

Employers may apply for an equivalent plan at any time. However, to be effective when Paid Leave Oregon benefits begin in September, employers must submit their equivalent plan application to the OED by May 31, 2023. To be approved, an employer’s proposed equivalent plan must meet specific minimum requirements, including but not limited to offering benefits to eligible employees that are equal to or greater than the weekly benefits and duration of leave that eligible employees would qualify for under the state’s program.

This upcoming deadline also applies to employers that have filed a Declaration of Intent (DOI). If an employer that filed a DOI fails to ensure that their equivalent plan application is received by the OED by May 31, the relevant DOI will be deemed canceled, and the employer will be required to pay and remit immediately to the OED all unpaid contributions, and will be subject to penalties and interest. 

For assistance drafting and submitting your employer-administered equivalent plan or assistance submitting your insured equivalent plan, contact Iris Tilley at (503) 276-2155 or itilley@barran.com.