HKM client and former ODOT employee to receive damages and lost wages after reporting mismanagement of the state’s new payroll system
FOR IMMEDIATE RELEASE: April 2nd, 2025
MARION COUNTY, OR – A former Oregon Department of Transportation employee who reported “gross mismanagement” during the implementation of a new payroll system for state employees will receive $465,000 in damages and lost wages from the State of Oregon to resolve his whistleblower retaliation lawsuit.
Mark Sauer, ODOT’s former Chief Information Officer, was one of the state officials tasked with overseeing ODOT’s portion of the Payroll Modernization Project.
During implementation of the project, Sauer repeatedly raised concerns about a lack of quality control and end-to-end system testing for the implementation of the new payroll system. Sauer warned that these failures would lead to ODOT employees not being paid properly.
Despite Sauer’s reports, state officials proceeded anyway – allegedly costing Oregon taxpayers many millions of wasted dollars and resulting in thousands of public employees being paid improperly over several months. As a result, multiple class action lawsuits have been filed by the employees who were improperly paid.
After raising these concerns, Sauer was wrongfully terminated from his position leading ODOT’s Information Services Branch shortly after the failed payroll project launch in early 2023. As a result, he filed a whistleblower retaliation and wrongful termination lawsuit against ODOT in March 2024. Now, Sauer has agreed to resolve the matter against ODOT for a settlement payment of $465,000 including more than $245,000 of wage damages.
“I’m proud to be able to achieve this result for our client,” said Jennifer Vitello, a partner at HKM’s Portland office. “Mr. Sauer spoke up on behalf of Oregonians and his fellow public employees when he saw mismanagement at the highest levels of state government. I hope this sends a message that whistleblowers cannot be punished for speaking up for what’s right.”
