It’s generally accepted that sometimes, employees don’t take the break times that they are guaranteed by law. Well, that may have to change: A recent decision by the Oregon Court of Appeals has left the door open for employees to file claims to be compensated for unused break time. This decision creates the potential for some serious payroll and legal expenses.
Oregon law requires employees receive a paid rest period of no less than 10 minutes for every four hours worked. The court’s new interpretation takes that to mean an employee that works four or more hours without taking a rest period is entitled to an additional 10 minutes pay.
The real impact of this decision is in giving individual employees a ”private right of action” under ORS 653.055 to file claims for unpaid wages. Previously, it was understood that only the Bureau of Labor and Industry that could bring this type of action. Furthermore, it raises the potential for employees who are leaving to file claims asking for additional compensation for final pay penalties under ORS 652.150.
The best action employers can take is to ensure all employee breaks are being taken, or justifiably skipped and properly compensated. Vigilance now could prevent an enormous legal headache.