I don't think it does unfortunately, I have the E-PL1 too and can't seem to find any way to do it automatically. The review on www.dpreview.com also mentions it as a negative. Still a great camera though, shame they didn't include such a useful little feature!
No it doesn't. It's a stupid oversight in my opinion but it in no way tarnishes the greatness of this camera. Yes it's a bit of a pain to have to rotate your images manually but the many pros of the E-PL1 far outweigh the few cons.