OAR 839-020-0025
Deductions for Meals, Lodging, Facilities or Other Services

(1)

The fair market value of meals, lodging and other facilities or services furnished by the employer to the employee for the private benefit of the employee may be deducted from the minimum wage. The employer has the burden of establishing the fair market value (See also OAR 839-020-0004 (Definitions Generally)(16)).

(2)

“Fair market value” may be established in either of the following ways:

(a)

The amount actually and customarily charged for comparable meals, lodging, facilities or services to consumers who are not employees of the employer; or

(b)

The actual cost to the employer in purchasing, preparing or providing the meals, lodging or other facilities or services.

(3)

The provisions of section (1) of this rule do not prohibit the payment of wages as meals, lodging and other facilities or services furnished to employees either as additions to wages or as items for which deductions from wages will be made. These provisions apply to all facilities or services furnished by the employer as compensation to the employee regardless of whether the employer calculates charges for such facilities or services as additions to or deductions from wages. In order for the employer to be able to claim credit toward the minimum wage for providing meals, lodging or other facilities or services furnished to an employee, the deduction of these costs from the employee’s wages must have been authorized by the employee in writing, the deduction must have been for the private benefit of the employee, and the deduction must be recorded in the employer’s books, or the deduction of these costs must be authorized by a collective bargaining agreement, in accordance with the provisions of ORS 652.610 (Itemized statement of amounts and purposes of deductions).

(4)

Full settlement of sums owed to the employer by the employee because of meals, lodging and other facilities or services furnished by the employer shall be made on each regular payday.

(5)

The provisions of section (1) of this rule apply only when the following conditions are continuously met:

(a)

The employer has met the conditions of ORS 652.610 (Itemized statement of amounts and purposes of deductions)(3); and

(b)

The employee actually receives the meals, lodging or other facilities or services; and

(c)

The meals, lodging or other facilities or services are furnished by the employer for the private benefit of the employee; and

(d)

The meals, lodging or other facilities and services are provided in a lawful manner. No deduction from the minimum wage may be made for alcohol provided without applicable permits, for illegal substances or services, such as drugs or prostitution, or for any other substance, facility or service which is provided in a manner determined by a court or appropriate administrative agency to have been unlawful.

(6)

As used in this rule, meals actually received by the employee and furnished by the employer are regarded as being for the private benefit of the employee except when meal expenses are incurred by an employee while traveling away from the employee’s home on the employer’s business.

(7)

Lodging or other facilities or services are furnished for the private benefit of the employee when such lodging or other facilities or services are not required by the employer. For purposes of this rule, lodging or other facilities or services are required by the employer when:

(a)

Acceptance of the lodging or other facilities or services is a condition of the employee’s employment; or

(b)

The expense is incurred by an employee who must travel away from the employee’s home on the employer’s business; or

(c)

The acceptance of the lodging or other facilities or services is involuntary or coerced; or

(d)

The provision of lodging or other facilities or services is necessary in order for the employer to maintain an adequate work force at the times and locations the employer needs them.

Source: Rule 839-020-0025 — Deductions for Meals, Lodging, Facilities or Other Services, https://secure.­sos.­state.­or.­us/oard/view.­action?ruleNumber=839-020-0025.

839–020–0000
Notice of Proposed Rule 839–020–0004
Definitions Generally 839–020–0005
Employees Engaged in Administrative, Executive, Professional, or Outside Sales Work, Defining the Terms 839–020–0010
Payment of Minimum Wages — Generally 839–020–0011
Determination of Applicable Region and Minimum Wage Rate to be Paid for Work Performed by Employees 839–020–0012
Wage Statements to Be Provided to Employees 839–020–0013
Bonuses Provided to Workers in Agriculture 839–020–0015
Fixed Minimum Hourly Wage Rates Lower than the Minimum Wage Rate 839–020–0020
Deductions from the Minimum Wage — Generally 839–020–0025
Deductions for Meals, Lodging, Facilities or Other Services 839–020–0027
Deductions for Garnishment Processing Fee 839–020–0030
Payment of Overtime Wages — Generally 839–020–0040
Hours Worked — Generally 839–020–0041
Waiting Time 839–020–0042
Sleeping Time and Certain Other Activities 839–020–0043
Preparatory and Concluding Activities 839–020–0044
Lectures, Meetings and Training Programs 839–020–0045
Travel Time 839–020–0046
Adjusting Grievances, Medical Attention, Civic and Charitable Work and Suggestion Systems 839–020–0047
Application of OAR 839-020-0040 to 839-020-0047 to Agricultural Employees 839–020–0050
Meal and Rest Periods 839–020–0051
Rest Periods for Expression of Milk 839–020–0052
Leave for Domestic Workers 839–020–0060
Weight Lifting 839–020–0065
Other Working Conditions 839–020–0070
Homework — Generally 839–020–0080
General Recordkeeping Requirements 839–020–0082
Special Recordkeeping Circumstances 839–020–0083
Records Availability 839–020–0085
Posting Requirements 839–020–0087
Earned Income Tax Credit Notice to Employees 839–020–0115
Relationship of State and Federal Law 839–020–0125
Overtime Exemptions Pertaining to Employers Regulated Under the Federal Fair Labor Standards Act 839–020–0130
Overtime Exemption for Public Employees 839–020–0135
Overtime Exemption for Agricultural Employees 839–020–0150
Exemptions from Minimum Wage and Overtime 839–020–0200
Authority of Labor Commissioner to Define Terms Relating to Persons Employed by a Public Agency in Fire Protection and Law Enforcement Activities 839–020–0210
Exemptions from Overtime Relating to Persons Employed by a Public Agency in Fire Protection and Law Enforcement Activities — Generally 839–020–0220
Definitions for Regulations Pertaining to Persons Employed by a Public Agency in Fire Protection and Law Enforcement Activities 839–020–0230
Limitation on Nonexempt Work 839–020–0240
Public Agency Employees Engaged in Both Fire Protection and Law Enforcement Activities 839–020–0250
Effect of Training Time 839–020–0260
Application of ORS 653.269(3) to Ambulance and Rescue Service Employees 839–020–0270
Other Overtime Exemptions May Apply to Public Employees Engaged in Fire Protection and Law Enforcement Activities 839–020–0300
Authority of Labor Commissioner to Define Terms Relating to Executive, Administrative, Supervisory and Professional Employees of a Public Agency 839–020–0310
Application of OAR 839-020-0300 to 839-020-0350 839–020–0320
Definitions for Exemptions Relating to Executive, Administrative, Supervisory and Professional Employees of a Public Agency 839–020–0330
Exception to Salary or Fee Basis 839–020–0350
Computer Professionals 839–020–0400
Definitions for Maximum Hours of Work in Canneries, Driers and Packing Plants 839–020–0410
Determination of the Day 839–020–0415
Failure to Establish a Workweek 839–020–0417
Employee’s Written Consent to Work up to 60 Hours in a Workweek 839–020–0420
Undue Hardship Notices and Employee’s Written Consent 839–020–1000
Violations Separate and Distinct 839–020–1010
Violations for Which a Civil Penalty May Be Assessed 839–020–1020
Criteria for Determining a Civil Penalty
Last Updated

Jun. 8, 2021

Rule 839-020-0025’s source at or​.us