Hiring Out-of-State Employees

Want to Hire an Out-of-State Employee? Pre-Authorization is Required!

Approval must be obtained 6 weeks in advance of an official employment offer for potential out of state work arrangements. Employment laws and payroll tax regulations vary significantly by state. In addition, workers’ compensation and unemployment insurance coverage must be obtained in each state in order to be compliant.

Who is considered an out-of-state employee?

  • Any current employee who relocates to another state and continues to work for PSU from that state.
    • Example: A tenured instructor who resides in Oregon and teaches courses online relocates to Florida and continues to work for PSU from Florida. This employee is now going to be considered an out-of-state worker and an Authorization form is required.
    • Example: A student employee is graduating and moving back to their home state. The department has decided to continue to employ this person and allow them to work remotely from their home state. This employee is now going to be considered an out-of-state worker and an Authorization form is required.
  • Any employee who is living in a state other than Oregon and is working remotely from that state for Portland State University.
    • Example: A person who resides in Montana is hired by PSU as a recruiter to work remotely from their home office in Montana.
    • Example: An employee lives in Seattle. They do the majority of their work for PSU from a home office in Seattle. They may travel to Oregon once a month for a meeting. Since the majority of their work is done outside of Oregon they are considered an out-of-state worker and an Authorization form is required.

Who is not considered an out-of-state employee?

  • Employees who live in another state but travel to Oregon to work.
    • Example: A Washington resident who works in Oregon for more than 50% of their work schedule as their *regular* work arrangements
  • Employees who have temporarily relocated to Oregon for a special contract or for seasonal work.
    • Example: A California resident comes to Oregon 6 months out of the year as a researcher.
  • Student or Grad Assistant who are living in Oregon while attending school and working for PSU.
    • Example: A student’s permanent address is in Colorado and has moved here to take a course while working part-time on campus.

What if I want to hire someone to work for PSU who lives outside of the country?

  • PSU does not allow direct employment of individuals living and working outside the US or in the US Territories. You may only hire individuals living in the 50 states.
    • Units interested in such employment arrangements must do so through a 3rd party vendor, such as an in-country employment agency or payroll service provider.