2013 ORS § 657.044¹
Employment
  • service by partners and corporate officers and directors who are family members and by certain sole corporate officers and directors excluded
  • election
  • exceptions

(1) As used in this chapter, employment does not include service performed for:

(a) A corporation by corporate officers who:

(A) Are directors of the corporation;

(B) Have a substantial ownership interest in the corporation; and

(C) Are members of the same family.

(b) A corporation by an individual who is the sole corporate officer and director of the corporation and who has a substantial ownership interest in the corporation.

(c) A limited liability company by a member, including members who are managers, as defined in ORS 63.001 (Definitions).

(d) A limited liability partnership by a partner as described in ORS chapter 67.

(2)(a) The exclusion under subsection (1)(a) or (b) of this section is effective only if the corporation elects not to provide coverage for the individuals described respectively in subsection (1)(a) or (b) of this section.

(b) The election must be in writing and is effective on the first day of the current calendar quarter or, upon request, on the first day of the calendar quarter preceding the calendar quarter in which the request is submitted.

(3) The provisions of this section do not apply to service performed for:

(a) A nonprofit employing unit;

(b) This state;

(c) A political subdivision of this state; or

(d) An Indian tribe.

(4) As used in this section, members of the same family means persons who are members of a family as parents, stepparents, grandparents, spouses, sons-in-law, daughters-in-law, brothers, sisters, children, stepchildren, adopted children or grandchildren. [1995 c.220 §2; 1997 c.646 §15; 1999 c.59 §195; 2001 c.572 §3; 2003 c.792 §1; 2005 c.218 §9; 2009 c.79 §1; 2013 c.311 §1]

Note: Section 2, chapter 311, Oregon Laws 2013, provides:

Sec. 2. (1) Notwithstanding ORS 657.044 (Employment) (2)(b), an election under ORS 657.044 (Employment) (2) may not become effective before the January 1 that immediately follows the first date after the effective date of this 2013 Act [October 7, 2013] on which a Fund Adequacy Percentage Ratio schedule lower than V, V B or V C, pursuant to ORS 657.462 (Computation of benefit ratio), 657.463 (Tax rate schedules) or 657.439 (Wage Security Program funding), respectively, is in effect.

(2) The Director of the Employment Department shall notify Legislative Counsel when a Fund Adequacy Percentage Ratio schedule lower than V, V B or V C, pursuant to ORS 657.462 (Computation of benefit ratio), 657.463 (Tax rate schedules) or 657.439 (Wage Security Program funding), respectively, is in effect for the first time following the effective date of this 2013 Act. [2013 c.311 §2]