Nurses at St. Charles Health System are saying they are being forced to apply for short-term disability pay through Paid Leave Oregon, rather than the process agreed in their labor contract.

The disability pay is a benefit spelled out in the contract, agreed to by the health system in June during negotiations. The union represents roughly 1,200 nurses in Bend, Redmond and Prineville, said Kevin Mealy, Oregon Nurses Association spokesman. The union has filed a grievance with the health system, Central Oregon’s largest employer.

The health system said Friday it is aware of the short-term disability grievance and is working with the union, said Alandra Johnson, St. Charles Health System spokeswoman.

“Like many employers, St. Charles is working closely with the state of Oregon on its implementation of the new Paid Leave Oregon program, and we’re learning as we go,” Johnson said. “We agree that our caregivers should be supported while on leave and are doing our best to ensure they receive the appropriate amount of payment from St. Charles and the state.”

Under the labor contract between the health system and the Oregon Nurses Association, the hospital is responsible for paying nurses short-term disability benefits for up to 26 weeks at about 60% of weekly earnings.

“We’re very surprised that St. Charles took this approach,” Mealy said. “Short-term disability is part of the contract. It outlines how the program works and how much St. Charles is responsible to pay nurses while on disability.”

The contract states that the health system will pay 66.66% of the salary of the nurse on short-term disability for all benefit-eligible nurses.

The Paid Leave Oregon program has a different sliding scale to determine pay, Mealy said.

The health system has offered up dates to the union to meet to resolve the issue raised in the grievance, which was filed Oct. 18, Mealy said.

About 26 nurses are affected by this grievance, Mealy said.

Paid Leave Oregon is a new statewide program that started processing benefits Sept.3. It allows employees to take 12 weeks of paid leave from work to care for family, for medical reasons or to care for survivors of assault, domestic violence, harassment or stalking.

Weekly payments, ranging from $540 to $1,523, are determined by annual salary. The law overseeing Paid Leave Oregon doesn’t require employees to tap into other sources of payment or time off before making an application, said Karen Humelbaugh, Paid Leave Oregon director.

“It’s a public program that is state run,” Humelbaugh said. “It’s meant to be a program that provides leave for any worker in Oregon.”

All employers, regardless of size, collected contributions from employees starting Jan. 1. The leave is supported by funds from both employers and employees, with a total contribution rate of 1% of gross payroll.

Employees pay a percentage share and employers pay a portion as well, according to Paid Leave Oregon. Small employers with fewer than 25 employees are not required to make contributions, but can choose to participate in coverage as a benefit to their employees, according to the website.