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Workforce planning has always involved uncertainty. Seasonal demand shifts, supply chain disruptions, and labor negotiations all make planning difficult.
Now, in some states, there’s a new source of workforce uncertainty.
Beginning in 2026, Oregon and Washington will allow certain striking workers to collect unemployment insurance benefits during a labor strike. That policy change doesn’t guarantee more strikes. But it does change the financial dynamics surrounding them. And when financial incentives shift, workforce planning assumptions should shift with them.
Here is what employers need to understand about these changes.
What Changed in Oregon and Washington
Both Oregon and Washington passed legislation allowing eligible striking workers to receive unemployment benefits under certain conditions.
In Oregon, Senate Bill 916 allows striking workers to receive unemployment benefits beginning January 4, 2026, subject to eligibility requirements and time limits.
In Washington, Senate Bill 5041 was signed into law allowing striking workers to receive up to six weeks of unemployment insurance benefits during a qualifying strike or lockout.
These laws represent a shift from prior rules where striking workers were generally disqualified from receiving unemployment benefits.
Why This Matters for Employers
Historically, one of the pressures influencing strike duration was financial strain. When employees stopped receiving wages and were ineligible for unemployment benefits, the economic cost of a prolonged strike increased.
When unemployment benefits become available, that strain changes. This doesn’t necessarily mean strikes will increase. Labor disputes depend on many factors. But it does mean:
- The financial deterrent of striking may be reduced.
- Strike duration could extend if income support is available.
- Employers may face longer staffing gaps.
For plant managers and operations leaders, the issue becomes an operational one. If labor disputes extend longer, what does that mean for production schedules, contract fulfillment, and continuity of operations?
Employers can’t always predict whether employees will strike and how long a dispute may last. But employers can plan ahead for the uncertain. Contingency planning and flexible workforce strategies shift companies from reactive to adaptable.
Planning for What You Cannot Predict: The Role of Contingency Staffing
Policy changes in Oregon and Washington represent a shift in labor economics. Other states may evaluate similar measures. Employers operating in multiple states may need to monitor legislative trends closely.
When workforce disruptions happen, speed and flexibility are key.
Strom Engineering provides contingency planning and temporary staffing solutions designed to maintain operational stability during labor shortages, seasonal spikes, shutdowns, new plant builds, and labor negotiations.
Strom’s approach includes:
- Consult - Assessment of current and future workforce needs.
- Strategize - Development of contingency plans and temporary staffing solutions tailored to operational risk.
- Deploy - Rapid placement of skilled industrial workers from an established database to support immediate staffing needs.
This model allows employers to build a scalable workforce plan before disruption occurs. That preparation can significantly reduce downtime if staffing gaps emerge.
Related Content: What Makes Strom Different from Other Staffing Companies?
The companies that maintain continuity during uncertainty aren’t the ones who predict the future perfectly. They’re the ones who plan ahead for multiple outcomes.
If your organization would benefit from a proactive workforce planning conversation, Strom Engineering can help assess your exposure and build a contingency staffing strategy designed to keep operations running when it matters most.
Free Guide: How to Create a Crisis Plan
Learn How To Create A Strike & Crisis Plan
Strikes and crises can happen, and when they do, preparations and planning are critical. Labor disputes can have a significant impact on operations, production, and overall business revenue, so it’s important to understand what to do and when to do it.
Strom Engineering is a complete solution provider and partner for businesses seeking to address the unfortunate possibility of a labor disruption.
Strom suggests a five-phase approach for mitigating the repercussions of a labor disruption. Download our free ebook to learn more! This guide includes:
- We walk you through how to create a strike and staffing plan.
- What are the benefits of working with a strike and crisis staffing agency?
- What to look for when choosing a strike and staffing agency.
- What it's like working with Strom as your strike and staffing agency.
Strom Engineering is a national staffing and recruitment agency, with a particular focus on manufacturing, engineering, assembly, and other trade positions. We match skilled candidates to temporary or project staffing positions. Learn more about how it works and check out our case studies for more information.
Sources:
Oregon Employment Department: “Strikes and Unemployment Benefits”
Washington Senate Democrats: “Governor signs bill making striking workers eligible for unemployment insurance”
Fisher Phillips: “Oregon and Washington Will Allow Unemployment Benefits for Striking Employees Starting in 2026: Key Takeaways for Employers”