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Oregon Revised Statutes

Or. Rev. Stat. § 240.555 (2026)

Suspension, reduction, demotion or dismissal

✓ current as of May 2026
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      240.555 Suspension, reduction, demotion or dismissal. The appointing authority in any division of the service may suspend, reduce, demote or dismiss an employee thereof for misconduct, inefficiency, incompetence, insubordination, indolence, malfeasance or other unfitness to render effective service. [Amended by 1969 c.80 §77; 1975 c.427 §11; 1979 c.468 §17]

Notes of Decisions
Cited in 22 cases, 1971–2008 · leading case: Tupper v. Fairview Hosp. & Train. Ctr., Etc., 556 P.2d 1340 (Or. 1976).
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Tupper v. Fairview Hosp. & Train. Ctr., Etc., 556 P.2d 1340 (Or. 1976). · cites it 6× “Reversed and remanded to the Court of Appeals with directions to order the Public Employe Relations Board to issue an order awarding back wages and other benefits until such time as a valid termination has occurred. O'CONNELL, Justice (specially concurring).”
Fairview Hosp. & Training Ctr. v. Moore, 560 P.2d 671 (Or. Ct. App. 1977). · cites it 5× “Fairview Hospital and Training Center, a public employer, suspended respondent, one of its employes, for three days without pay based on a charge of "Misconduct, in accordance with ORS 240.555.” 1 The letter of suspension to respondent stated the supporting facts to be: "* * *…”
Steele v. Emp. Dep't, 923 P.2d 1252 (Or. Ct. App. 1996). · cites it 4× “Moore, 28 Or App 637, 640 , 560 P2d 671 (1977), we relied on the definition in an earlier edition of Webster in interpreting the word “misconduct” in ORS 240.555, another statute pertaining to employee mal- or misfeasance.”
Hammer v. Oregon State Pen., Corr. Div., 556 P.2d 1348 (Or. 1976). · cites it 2× “Hammer contends that even a prolonged history of chronic absenteeism because of medical problems would be insufficient to establish the statutory "unfitness to render effective service," ORS 240.555, unless medical evidence of a continuing disability is also presented.”
Wasco Cnty. v. Am. Fed'n of State, Cnty. & Mun. Employees, Local No. 2752, 569 P.2d 15 (Or. Ct. App. 1977). “5 This rule of deference to agency expertise is particularly applicable to ERB because of the general nature of the statutes which it administers. For example, in Fairview Hospital v.”
Fairview Hosp. & Training Ctr. v. Stanton, 560 P.2d 667 (Or. Ct. App. 1977). “3 ERB is, under the statute and constitution, the primary factfinder, that is, the tribunal before which all parties have the opportunity to present and rebut evidence relevant to disciplinary action against a public employe, the tribunal that resolves any conflicts in the…”
James v. Emp. Div., 531 P.2d 710 (Or. Ct. App. 1975). · cites it 2× “James, 58, as manager of the McMinnville, Oregon, employment office for "[m]isconduct, inefficiency, incompetence and other unfitness to render effective service * * * ORS 240.555." After a hearing before the Public Employe Relations Board (hereinafter PERB or Board) hearings…”
Ashman v. Child.'s Servs. Div., 588 P.2d 665 (Or. Ct. App. 1978). · cites it 5× “The ground for dismissal was insubordination under ORS 240.555 1 for failure to comply with written instructions to report to a new work assignment in Portland.”
Appeal of Moore, 560 P.2d 671 (Or. Ct. App. 1977). · cites it 5× “Fairview Hospital and Training Center, a public employer, suspended respondent, one of its employes, for three days without pay based on a charge of "Misconduct, in accordance with ORS 240.555." [1] The letter of suspension to respondent stated the supporting facts to be: "* * *…”
Civil Rights Div. of Bureau of Labor v. Williams, 573 P.2d 270 (Or. 1977). · cites it 4× “ORS 240.555(1) provides for the imposition of sanctions, as follows: "Suspension, reduction, demotion or dismissal.”
Shepherd v. Oregon Liquor Control Comm'n, 724 P.2d 901 (Or. Ct. App. 1986). “After termination of unclassified or exempt service or removal from the management service, for reasons other than specified by ORS 240.555, an employe formerly in the classified service shall be restored to a position in the same agency and in the same class as the position…”
Rushing v. SAIF Corp., 196 P.3d 115 (Or. Ct. App. 2008). “316(2) (“Employees who have acquired regular status will not be subject to separation except for cause as defined by ORS 240.555 or lack of work, curtailment of funds, or reorganization requiring a reduction in force.”
Show all 22 citing cases →
Or. Rev. Stat. § 240.555(1): 12 cases
Tupper v. Fairview Hosp. & Train. Ctr., Etc., 556 P.2d 1340 (Or. 1976). “Reversed and remanded to the Court of Appeals with directions to order the Public Employe Relations Board to issue an order awarding back wages and other benefits until such time as a valid termination has occurred. O'CONNELL, Justice (specially concurring).”
Fairview Hosp. & Training Ctr. v. Moore, 560 P.2d 671 (Or. Ct. App. 1977). “Fairview Hospital and Training Center, a public employer, suspended respondent, one of its employes, for three days without pay based on a charge of "Misconduct, in accordance with ORS 240.555.” 1 The letter of suspension to respondent stated the supporting facts to be: "* * *…”
Wasco Cnty. v. Am. Fed'n of State, Cnty. & Mun. Employees, Local No. 2752, 569 P.2d 15 (Or. Ct. App. 1977). “5 This rule of deference to agency expertise is particularly applicable to ERB because of the general nature of the statutes which it administers. For example, in Fairview Hospital v.”
Fairview Hosp. & Training Ctr. v. Stanton, 560 P.2d 667 (Or. Ct. App. 1977). “3 ERB is, under the statute and constitution, the primary factfinder, that is, the tribunal before which all parties have the opportunity to present and rebut evidence relevant to disciplinary action against a public employe, the tribunal that resolves any conflicts in the…”
Civil Rights Div. of Bureau of Labor v. Williams, 573 P.2d 270 (Or. 1977). “ORS 240.555(1) provides for the imposition of sanctions, as follows: "Suspension, reduction, demotion or dismissal.”
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