Oregon Agricultural Overtime Drops to 40 Hours in 2027

October 8, 2026

As we turn the corner into the final quarter of 2026, Oregon agricultural employers are just a few months away from the last step in the state’s three-part phase-in of agricultural overtime.

Beginning January 1, 2027, agricultural employees will be entitled to overtime for all hours worked over 40 in a workweek. Oregon began phasing in agricultural overtime in 2023, with overtime initially required after 55 hours per week. The threshold dropped to 48 hours in 2025, where it remains through the end of this year. On January 1, it drops to 40 hours.

For agricultural employers accustomed to long hours during harvest and other peak periods, the move from 48 to 40 hours is a significant one. And it comes at a time when some other agricultural states are taking a harder look at how similar overtime laws are working in practice.

The Agricultural Overtime Debate Continues

Colorado recently enacted legislation that will establish a 56-hour agricultural overtime threshold beginning January 1, 2027, for covered agricultural employees. That represents a significant change from Colorado’s current framework, under which many agricultural employees are entitled to overtime after 48 hours, with different rules already available for certain highly seasonal operations. Colorado’s change is particularly notable because it represents a reversal of the recent trend toward a 40-hour agricultural workweek. Colorado is not alone, however, in reconsidering how agricultural overtime works in practice. Washington lawmakers have repeatedly proposed seasonal exceptions to the state’s 40-hour threshold, and Oregon legislators introduced bills in 2025 that would have repealed Oregon’s agricultural overtime requirements altogether.

Washington, meanwhile, completed its own agricultural overtime phase-in in 2024 and now generally requires overtime after 40 hours per week. A recent informal survey of more than 600 Washington farmworkers found that 51.6% of respondents said the overtime law had affected their pay. Of those reporting an impact, approximately two-thirds said they were earning less. The survey was conducted by Washington State University and funded by a business-oriented organization that has opposed the overtime law, so the results should be viewed in that context. Still, the survey adds to an ongoing discussion about whether agricultural overtime laws can result in employers reducing hours rather than incurring additional overtime costs.

Remember: Some Agricultural Employees May Already Be at 40 Hours

Here in Oregon, the upcoming change also makes this a good time for farmers to take another look at what work actually qualifies as agricultural work. The current 48-hour threshold does not necessarily apply to every task performed by an employee who works for a farm. If an employee performs work outside the legal definition of agriculture, the ordinary 40-hour overtime rule may already apply.

One particularly important example is for employees who handle or process products grown by someone other than their employer. BOLI takes the position that an employee who handles any amount of another farmer’s crop is entitled to overtime after 40 hours under state and federal law. In other words, employers should not assume that simply because an employee works on a farm, all of the employee’s hours fall under the agricultural overtime rules.

What Should Oregon Agricultural Employers Do Now?

With January 1 approaching, employers should use the remaining months of 2026 to look at how the 40-hour threshold will affect labor costs. This final step is significant, particularly in an industry that often requires long hours during peak seasons and where the work does not always fit neatly into a 40-hour week. Employers that start planning now will be in a better position when the new threshold takes effect on January 1, 2027.

Given the complexity of this topic, consider contacting qualified employment counsel to help avoid a potential larger issue in the future.

Abby Fitts is a partner with Barran Liebman LLP. She advises and represents employers on a wide range of workplace issues. Contact her at 503-276-2190 or afitts@barran.com.

Next
Next

9/29/26 Going Beyond Leave: When Employers May Need to Consider Reassignment as a Reasonable Accommodation