Understanding Nevada leave laws is essential for both employers and employees, particularly regarding Paid Time Off (PTO), Day Off policies, and other types of leave. Nevada leave laws has specific regulations, especially for employers with 50 or more employees, covering paid leave, sick leave, and maternity leave. This article offers a clear overview of these laws, outlining employer obligations and employee rights, helping you navigate Nevada’s PTO policies, Day Off guidelines, and related leave requirements.
Paid Time Off (PTO) in Nevada
In Nevada leave laws, employers with 50 or more employees are required to provide paid leave at a rate of at least 0.01923 hours for each hour worked. Nevada became the second state after Maine to require large employers to offer paid leave for any reason.
Overview
Nevada and Maine were the first states to mandate that employers offer paid leave for any purpose, including non-medical personal reasons. This legislation, known as Senate Bill (SB) No. 312, was passed in 2019 and took effect on January 1, 2020. As of 2024, Illinois also adopted similar legislation.
Under this law, Nevada employers with 50 or more employees must provide paid leave in proportion to the number of hours worked.
Eligible and Exempted Employers
Employers in Nevada with 50 or more employees are required to offer paid leave to all employees, with exceptions for temporary, seasonal, and on-call workers. Part-time employees are also eligible for this leave.
However, new businesses are exempt from this requirement for the first two years of operation. Additionally, employers who already provide at least 40 hours of paid time off annually under the same conditions as the paid leave law are exempt. The exact details of this exemption can be unclear, so employers are advised to consult legal counsel if they plan to use this exemption.
Accrual Rate and Limits
Private employers must provide a minimum of 0.01923 hours of paid leave for each hour worked during a “benefit year,” defined as any 365-day period used by the employer to calculate leave accrual. For example, an employee working 40 hours per week throughout the year would accrue about 40 hours of leave annually. This calculation applies uniformly to employees working fewer or more hours.
Employers have two options for granting leave: they can either allocate it in a lump sum at the beginning of the benefit year (frontloading) or allow it to accrue throughout the year. Although the law doesn’t explicitly cap the amount of leave an employee can accrue, it does permit employers to limit the use of paid leave to 40 hours within a benefit year.
Employers may also require that employees use their paid leave in minimum increments, not exceeding four hours. Furthermore, the law allows employers to offer more generous leave policies than the statutory requirements.
Waiting Period
While employees start accruing leave immediately upon employment, employers can enforce a 90-day waiting period before the employee is eligible to use the accrued leave.
Roll Over
For those employers who choose an accrual-based system, the law permits them to limit the amount of accrued leave that can be carried over from one year to the next to a maximum of 40 hours per benefit year. Employers who frontload leave at the beginning of the year may adopt a “use it or lose it” policy since the law does not specifically address the rollover of leave in such cases.
Payment of Accrued, Unused Vacation on Termination
Employers are not obligated to pay out unused paid leave upon termination. However, if an employee is rehired within 90 days of separation, any previously unused leave must be reinstated unless the employee voluntarily resigned.
Notice Requirements, Reporting, Posting, and Recordkeeping
Employees are not required to give a reason for using their leave but must notify their employer as soon as possible. Employers are required to keep records of the accrual and use of paid leave for at least one year and must provide employees with an accounting of their available leave. Additionally, employers must display a bulletin informing employees of their rights under this law in a conspicuous place in the workplace.
Retaliation against employees for using their accrued paid leave is prohibited.
Payout
Employers are required to compensate employees for used paid leave at the same rate and on the same day as if the employee had worked those hours.
Employers with Less Than 50 Employees
Employers with fewer than 50 employees are not required to provide paid leave for any reason.
Vacation Leave Quota
There is no federal or state mandate requiring Nevada employers with fewer than 50 employees to offer paid or unpaid vacation time. Any paid leave, such as PTO, vacation days, or sick leave, is at the employer’s discretion.
Rückstellung
Although not mandatory, many Nevada employers with fewer than 50 employees use a PTO accrual system based on the pay period. Employers must pay most employees on a regular payday, at least semimonthly or monthly.
Employers can also cap the amount of vacation time employees can accrue.
Roll Over
Employers may implement a “use-it-or-lose-it” policy, which requires employees to forfeit unused vacation time after a specified date, such as the end of the year. Nevada law does not specifically address this policy, allowing employers the flexibility to apply it.
Statutory Provisions Addressing Vacation Pay
Nevada does not have a statute governing the payment of vacation time.
Payment of Accrued, Unused Vacation on Termination
Employers are not required to pay employees for accrued, unused vacation time upon termination. Employers can establish policies or contracts that prevent employees from receiving payment for unused vacation time at the end of employment. Employers are also not obligated to pay accrued vacation if the policy or contract is silent on the matter.
However, if a policy or contract stipulates it, employers must reimburse employees for accrued vacation time upon separation.
Sick Leave in Nevada
Federal Laws – Leave Quota
Federal law, under the Family and Medical Leave Act (FMLA), provides 12 weeks of unpaid, job-protected sick leave. This law applies nationwide, including in Nevada, and covers employees who have worked for their employer for at least 12 months (at least 25 hours per week) or 1,250 hours in the previous year. FMLA benefits are available to employees who work in locations with at least 50 employees within a 75-mile radius.
FMLA allows qualified employees to take up to 12 weeks off for personal medical reasons, to care for a close family member with a serious illness, or for maternity/paternity leave. Employers may offer more generous sick leave benefits beyond the federal minimum.
Nevada Paid Sick Leave Laws
Only employers with 50 or more employees are required to provide paid sick leave, which can be used for any reason, not just illness. As mentioned earlier, Nevada law (SB No. 312) mandates that these employers provide at least 0.01923 hours of leave per hour worked.
Additionally, until December 31, 2023, Nevada requires employers with 50 or more employees to provide up to four hours of paid leave for employees receiving a COVID-19 vaccination.
Employers with fewer than 50 employees are not required to provide paid sick leave, but they must comply with the FMLA if eligible.
Maternity, Paternity, and FMLA Leave in Nevada
Federal Law
The FMLA provides 12 weeks of unpaid, job-protected leave for maternity or paternity reasons. This leave must be taken continuously unless otherwise authorized by the employer. More details about FMLA eligibility can be found in the “Sick Leave in Nevada: Federal Laws – Leave Quota” section.
The Pregnancy Discrimination Act (PDA) is another federal law that prohibits discrimination against pregnant individuals in all aspects of employment, including hiring, firing, pay, job assignments, promotions, and benefits.
Additional State Laws in Nevada
In addition to FMLA and PDA, Nevada has the Pregnant Workers’ Fairness Act, which requires employers with 15 or more employees to provide reasonable accommodations or leave for conditions related to pregnancy or childbirth. This law applies to each working day in 20 or more calendar weeks in the current or preceding year.
The Nevada Fair Employment Practices Act also protects against sex-based discrimination. It mandates that if an employer provides leave for medical conditions, they must extend the same benefits to female employees for pregnancy-related conditions.
Payout
Maternity leave in Nevada is unpaid.
Bereavement Leave in Nevada (Funeral Leave)
Employers in Nevada are not legally required to provide bereavement leave, either paid or unpaid. However, many employers (85%) offer this benefit, with 66% of them providing three to five days of leave. Employers who choose to provide bereavement leave must adhere to their established policy.
Payout
Bereavement leave in Nevada is typically unpaid.
Jury Duty Leave in Nevada
Employers must provide unpaid leave for employees serving jury duty. Employees must present their jury summons at least three days before their scheduled appearance to receive the necessary leave. Employers cannot require employees to use sick or vacation time for jury duty and cannot mandate that they work within eight hours before or after their jury appearance.
Additionally, an employer cannot penalize an employee for serving on a jury.
Payout
Jurors in Nevada are paid $40.00 per day by the court, though this is a nominal amount. Employers are not required to pay employees during jury duty leave.
Military Leave in Nevada
Federal Law
The Uniformed Services Employment and Reemployment Rights Act (USERRA) is a federal law that protects employees called to active duty in the U.S. military. USERRA ensures reinstatement rights, protection from discrimination, and the right to continue group health benefits for up to 24 months. It also provides up to five years of unpaid leave for military service.
Nevada State Law
Nevada leave laws extends the same rights and benefits under USERRA to members of the Nevada National Guard (or the national guard of any other state) called to active state duty. State law applies if it offers greater benefits, protections, or rights than federal law.
Payout
Military leave in Nevada is unpaid.
Voting Leave in Nevada
Employers are required to provide one, two, or three hours of paid leave for employees to vote, depending on the distance between their workplace and the polling station. Employees must apply for this leave before election day.
Payout
Voting leave in Nevada must be paid, and employers cannot deduct this time from the employee’s salary or wages.
Nevada State Holidays for 2024
Nevada law does not require private employers to offer paid or unpaid holiday leave. However, most employers in Nevada do provide some paid holidays. The state officially observes 12 holidays each year.