Beware: Those non-cash perks you give your volunteers may be wages

The Oregon Court of Appeals held this week that the retail value of full-season ski passes given to volunteers who worked at least 22 days at a ski racing event constituted “wages” subject to unemployment tax under ORS Chapter 657.  Under ORS 657.015, volunteers are not deemed “employees” subject to Chapter 657 when they donate services to a religious, non-profit, or governmental entity without expectation of remuneration.  However, in this case, the court held that individuals volunteering with the Mt. Bachelor Ski Education Foundation were employees because they were promised a season pass if they worked the requisite number of days and, therefore, expected remuneration for their services. You can read the full opinion here.

The decision is the third one this year in which the Court of Appeals gives an expansive reading to the scope of Chapter 657.  We reported on the earlier cases here and here.