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Labor and management committee presents compromise to raise temporary disability benefits

Senate Interim Committee on Labor and Business · November 17, 2025
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Summary

MLAC members and stakeholders presented a joint proposal to modify Oregon's temporary disability (time-loss) calculation, aiming to increase benefits for low-wage workers while avoiding perverse incentives; MLAC will review bill language and likely vote in early January before the 2026 session.

A bipartisan management-labor advisory committee and its stakeholders on Monday described a compromise to change how Oregon calculates temporary disability (time‑loss) benefits for injured workers, saying the proposal would increase pay for lower‑wage claimants while preserving workers' compensation’s wage‑replacement purpose.

The Management‑Labor Advisory Committee (MLAC) and the Workers' Compensation Division presented the interim work that followed last session's Senate Bill 705, which did not pass. MLAC members said weeks of summer meetings, analysis of claims and wage data, and negotiations among more than 30 stakeholders produced a joint recommendation now being refined into bill language.

MLAC management co‑chair Stacy Llewellyn, testifying in her MLAC capacity, said the…

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