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Panel adopts amendment requiring employers to give written pay explanation; committee forwards bill to floor
Summary
Senate Bill 906 was amended to require employers to provide new-hire written explanations of pay and deductions, require an annual review, authorize BOLI to publish a model form, and allow a civil penalty up to $500 for violations. The committee adopted the amendment and moved the bill to the Senate floor with a due pass recommendation.
The Senate Committee on Labor and Business on April 3 moved Senate Bill 906 as amended to the Senate floor with a due pass recommendation after adopting a dash-4 amendment that replaces the measure.
The dash-4 amendment requires employers to provide, at the time of hire, a written explanation of all earnings and deductions that appear on itemized statements employees receive on regular paydays and to review and update that explanation annually (by Jan. 1). The Bureau of Labor and Industries (BOLI) must develop a model written guidance document employers may use and customize. The amendment also authorizes the BOLI Commissioner to assess a civil penalty not to exceed $500 for violations of the written-explanation requirement; SB 906 as amended leaves intact an existing $1,000 civil penalty tied to unlawful payroll deductions (ORS 652.61) so the new penalty would address a distinct violation.
Sponsor Senator Taylor said the measure is intended to improve transparency and reduce payroll errors (including wage‑theft risks) by ensuring employees get a clear, written explanation about how their pay was calculated. Josh Nasby of the Bureau of Labor and Industries confirmed the amendment creates a separate civil-penalty subsection (a new subsection 5) and explained the existing $1,000 penalty covers unlawful deductions while the new $500 penalty targets the disclosure requirement.
Committee debate acknowledged concerns about adding administrative burden to small employers and about asking BOLI to provide additional materials without extra resources. Several members said the availability of a BOLI model form made the amendment more acceptable. One member noted that enforcement should include education and a pathway to compliance for small businesses.
With no objection, the committee adopted the dash‑4 amendment and, by unanimous voice disposition, sent SB 906 as amended to the Senate floor with a due pass recommendation. The committee chair volunteered to carry the bill to the floor.
