Under Oregon’s House Bill 4127, new recordkeeping and notice requirements are in effect regarding production quotas for warehouse workers. It applies to employers that directly or indirectly employs or controls the wages, working hours, or conditions of non-exempt employees at a warehouse distribution center. A covered employer has 100+ employees at a single warehouse distribution center or 1,000+ employees at one or more centers.
Employers with employees covered under a collective bargaining agreement are not covered, as long as the agreement includes performance evaluation metrics that can be negotiated and offers the right to request records.
A production quota is a work standard during a specific period of time and may trigger an adverse employment action if not met. Examples include performing at specific speeds or productivity rates, completing a certain number of tasks, or producing or handling a particular number of materials.
Covered employers must provide written documentation summarizing applicable employee quotas. It must be given at the time of hire, when adverse action is taken, and within two business days of a change to a quota. It also must be in the language used to communicate regularly with the employee.
Review the request and documentation requirements.
This article is informational and does not constitute legal or financial advice. Consult with an employment lawyer or accountant for additional clarification on how these changes impact your company.
