Update applicable to:
All employers with employees performing work in the state of Nevada
What happened?
Nevada has enacted Senate Bill 147 in an effort to clarify when employers must pay final wages to employees who are placed on “nonworking status.”
What are the details?
Under current Nevada law, when an employee is involuntarily terminated, they must be paid their unpaid wages immediately. SB 147 introduces a new provision that requires employers to pay wages immediately to employees placed on “nonworking status,” which refers to temporary layoffs where the employee remains employed and can be called back to work in the future. However, certain scenarios, such as suspensions pending investigations or disciplinary actions, being on-call for work, or taking a leave of absence, are not considered “nonworking status.”
If an employer fails to pay the wages of an employee on nonworking status within three days after they become due, the employee will continue to earn wages at the same rate from the day they were placed on nonworking status until paid, or for 30 days, whichever is less. It’s important to note that SB 147 does not mandate immediate payment of bonuses or profit-sharing arrangements.
For more information, please see the links below:
What do employers need to do?
Effective July 1, 2023, employers in Nevada who place an employee on “nonworking status” must pay out wages earned immediately.
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