OAR 836-042-0060
Conditions for Division of Payroll of Individual Employees

(1)

When there is an interchange of labor, the payroll of an individual employee shall be divided and allocated among the classification or classifications that may be properly assigned to the employer, provided verifiable payroll records maintained by the employer disclose a specific allocation for each such individual employee, in accordance with the standards for rebilling set forth in OAR 836-043-0190 and this rule.

(2)

This rule does not apply to a single employee whose duties vary within exposure areas normally anticipated by the scope of a single classification or who spends only a limited amount of time, on an infrequent or irregular basis, in a classification exposure that is not a normal job function for that employee. As used in this section, “infrequent or irregular” means that the time spent in the classification exposure is limited, is not anticipated in the normal duties of the employee and occurs only randomly.

(3)

When verifiable payroll records are required with respect to a single employee and the employer does not maintain them as required in this rule, the entire payroll of the employee shall be assigned to the highest rated classification exposure in accordance with the standards for rebilling set forth in OAR 836-043-0190.

(4)

For purposes of this rule, payroll records of an employee are verifiable if they have the following characteristics:

(a)

The records must establish a time basis, and the time basis must be hourly or a part thereof, daily or part thereof, weekly or part thereof, monthly or part thereof or yearly or part thereof;

(b)

For each salaried employee, the records must also include time records in which the salary is converted to an hourly, daily, weekly, monthly or yearly rate and then multiplied by the time spent by the employee in each classification exposure;

(c)

The records must include a description of duties performed by the employee, to enable the insurer to determine correct classification assignment. Records requiring additional explanation or interpretation are not considered to be verifiable; and

(d)

The records must be supported by original entries from other records, including but not limited to time cards, calendars, planners or daily logs prepared by the employee or the employee’s direct supervisor or manager. Estimated ratios or percentages do not comply with the requirement of this subsection and are not acceptable for verification. Verifiable records must be summarized in the insured employer’s accounting records.

(5)

The payroll of any individual employee used by an insurer to compute workers’ compensation insurance premium must be determined in a manner consistent with the definition of “overtime work” and “payroll” in sections (5) and (6) of OAR 836-042-0055 (Definitions, Payroll Inclusions and Exclusions).

(6)

The amendments to this rule that are effective July 27, 1995, apply to policies issued on or after July 1, 1991, except that the amendments do not apply with respect to any policy that is or has been subject to judicial review on the issue of division of payroll.

Source: Rule 836-042-0060 — Conditions for Division of Payroll of Individual Employees, https://secure.­sos.­state.­or.­us/oard/view.­action?ruleNumber=836-042-0060.

836–042–0001
Statutory Authority 836–042–0005
Definitions 836–042–0015
Workers’ Compensation Filings — Procedural Rules for Insurers and Rating Organizations 836–042–0020
Insurers Must Demonstrate Statistical Reporting Ability 836–042–0025
Workers’ Compensation Filings Standards for Unfair Discrimination 836–042–0035
Workers’ Compensation Policy Forms Filings by Insurers 836–042–0040
Statutory Authority 836–042–0043
Definition 836–042–0045
Workers’ Compensation Statistical Plan 836–042–0050
Statutory Authority 836–042–0055
Definitions, Payroll Inclusions and Exclusions 836–042–0060
Conditions for Division of Payroll of Individual Employees 836–042–0070
Statutory Authority and Purpose 836–042–0075
Definitions 836–042–0080
Rate Filing Requirements and Standards 836–042–0085
Statistical Data Maintenance and Reporting Requirements 836–042–0090
Trade Practices Found Injurious to the Insurance-Buying Public 836–042–0100
Statutory Authority and Purpose 836–042–0105
Definitions 836–042–0110
Rate Filing Requirements 836–042–0115
Trade Practices Found Injurious to the Insurance Buying Public 836–042–0201
Statutory Authority 836–042–0205
Definitions 836–042–0210
Rating Plans for which Employers May Be Combined 836–042–0215
Consent to Group Rating Required Before Policy Issuance 836–042–0220
Filing Requirements and Procedural Rules 836–042–0225
Criteria for Grouping 836–042–0300
Statutory Authority 836–042–0302
Definitions 836–042–0304
Fictitious Arrangement Prohibited 836–042–0306
Premium Rates 836–042–0308
Statistics 836–042–0310
Producers 836–042–0312
Compulsory Participation Prohibited 836–042–0314
Tie-In Sales Prohibited 836–042–0316
Disclosure Required 836–042–0318
Underwriting Standards 836–042–0320
Cancellation and Non-Renewal 836–042–0322
Compulsory Facilities 836–042–0400
Statutory Authority 836–042–0405
Definitions 836–042–0410
Commercial Risks 836–042–0415
Day Care Facilities 836–042–0420
Anniversary Filings 836–042–0425
Statistics 836–042–0430
Disclosure Required for Day Care Facilities 836–042–0501
Statutory Authority 836–042–0505
Definitions 836–042–0510
Rates, Rating Plans System — Prior Review 836–042–0512
Specified Commercial Liability Markets 836–042–0515
Commercial Liability Filings — Procedural Rules for Insurers and Rating Organizations 836–042–0520
Supporting Data
Last Updated

Jun. 8, 2021

Rule 836-042-0060’s source at or​.us