Oregon Lottery announces layoffs, furloughs, pay cuts

SALEM, Ore. (KTVZ) -- Oregon Lottery Director Barry Pack announced Thursday significant measures the agency is taking in response to the sharp revenue decline sparked by the COVID-19 response.

The reductions help Lottery address two major issues: the immediate reduction in cash flow, and a projected long-term contraction of the retail market.

The reductions total about $7.4 million and impact every Lottery employee in one of the following ways:

• Permanent layoff/position elimination – 60 positions, or 13% of workforce
• 30 day or longer furlough – 290 positions, or 61% of workforce
• Three-month salary reduction – 15% for Executive Team, 10% for remaining staff

Lottery has a constitutional mandate to maximize revenue for the people of Oregon, commensurate with the public good. When paired with the roughly $20 million in one-time savings and deferred costs announced in April, today’s reductions allow Lottery to maintain its financial footing in the short-term and respond to long-term changes in the retail market.

“Lottery is facing many of the same challenges as other businesses in the state,” noted Pack. “Today is a hard day, but these reductions will help ensure Lottery continues to deliver needed dollars to Oregon now and in the long run. That’s little consolation to the employees negatively impacted, however, and my heart goes out to each and every one.”