Nevada: Large Employers Must Provide Paid Leave for Any Reason Starting in 2020

APPLIES TO

Employers with 50+ NV Employees

EFFECTIVE

January 1, 2020

QUESTIONS?

Contact HR On-Call

(888) 378-2456

Beginning January 1, 2020, Senate Bill No. 312 will require private employers of 50 or more employees to provide up to 40 hours of paid leave that can be used for any purpose.  Key requirements are summarized below.

Qualification Description
Eligibility Private employers of 50 or more employees.

 

Employers are exempt if they are (1) within the first two years of operating their business, or (2) the employer provides an amount of leave equivalent to the statutory formula under a contract, policy, collective bargaining agreement, or other agreement.

Benefit Amount Paid leave is calculated using a statutory formula of at least 0.01923 hours of paid leave per hour worked in a benefit year, defined as a 365-day period.  With this formula, a person who works 40 hours a week for a full year is entitled to approximately 40 hours of paid leave.

 

Employers may either frontload paid leave or track accrual of paid leave over the benefit year.  However, employers who choose to grant all leave up front should be cautious of calculating an employee’s leave entitlement incorrectly.

 

Notably, the bill does not specify a cap to either accrual or usage of paid leave per benefit year.

Waiting Period Employers prohibit use of paid leave until the 90th calendar day of employment.
Usage Employees must notify the employer of intent to use paid leave “as soon as practicable,” but are not required to provide the reason for the leave usage.

 

Employers may require employees to use paid leave in minimum time increments, not to exceed four hours.

Separation & Rehire Employers are not required to pay out accrued, unused paid leave on separation.  However, an employee who is rehired within 90 days must have any previously unused leave balance reinstated, if the reason for separation was not voluntary resignation.
Recordkeeping Employers must maintain records of the grant/accrual of paid leave, plus any use of paid leave, for at least one year.
Notice Requirements Employers must provide employees notice of their number of available paid leave hours each payday.

Action Items

  1. Review the full text of the bill here.
  2. Review leave practices with counsel and implement a paid leave policy by 2020.
  3. Have managers and payroll administrators trained on the new requirements.
  4. Subscribers can call our HR On-Call Hotline at (888) 378-2456 for further assistance.

Disclaimer: This document is designed to provide general information and guidance concerning employment-related issues. It is presented with the understanding that ManagEase is not engaged in rendering any legal opinions. If a legal opinion is needed, please contact the services of your own legal adviser.

© 2019 ManagEase

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