Update Applicable to:	Effective Date
All Employers With 11 or More Employees	October 1, 2025

What happened?

On June 5, 2025, Nebraska Governor Jim Pillen signed Legislative Bill 415 into law, amending the Nebraska Healthy Families and Workplaces Act to clarify paid sick leave requirements, exempt certain small employers and workers, and streamline enforcement through administrative penalties.

Overview:

Nebraska Paid Sick Leave (NHFWA) – Employer Summary: Starting October 1, 2025, most Nebraska employers must provide paid sick leave (PST) to eligible employees. This requirement comes from the Nebraska Healthy Families and Workplaces Act, as amended by LB 415.

Who Must Comply: Applies to employers with 11 or more employees.

• Exempt: Employers with fewer than 11 employees, and federal, state, and local government employers.

Eligible Employees: Employees who work at least 80 hours in Nebraska in a calendar year.

• Not eligible: Independent contractors, seasonal/temporary agricultural workers, employees under 16, and those covered by the Railroad Unemployment Insurance Act.

Accrual and Use

• Employees earn 1 hour of PST for every 30 hours worked.

• Caps:

• 20+ employees: up to 56 hours/year.
  • 11–19 employees: up to 40 hours/year.

• Carryover: Unused time carries over, but annual use is still capped.

• Frontloading: Employers may provide the full annual amount at the start of the year.

• Loaning: Employers may allow use of PST before it is accrued.

When Accrual Begins

• Current employees: Start accruing on October 1, 2025.
• New employees: Begin accruing after 80 hours of work in Nebraska.

Reasons for Use

• Employee’s or family member’s illness, injury, or preventive care.
• School or daycare meetings related to a child’s health.
• Public health emergencies (e.g., business or school closures).

Use and Documentation

• May be used in hourly or smallest payroll increments.
• Employers may require reasonable documentation for absences over 3 days.
• Documentation must be kept confidential and separate from other personnel files.

Notice and Posting: Employers must provide a written notice to employees by September 15, 2025, or upon hire.

• A poster must be displayed at the worksite or provided electronically for remote workers.
• The Department has a model employee notice and poster available, at dol.nebraska.gov/LaborStandards.

Pay and Paycheck Requirements

• PST must be paid at the employee’s regular hourly rate with the same benefits.
• Pay stubs (or online systems) must show:
  • PST available
  • PST used.
  • PST paid.

Existing Leave Policies: Employers with a PTO policy that meets or exceeds NHFWA requirements do not need to provide additional leave or allow carryover beyond their policy.

Rehires and Transfers

• Rehired within 12 months: Reinstate unused PST.
• Transferred within the same company: Retain accrued PST.

Prohibited Actions: Employers cannot retaliate against employees for using PST.

• PST absences cannot be counted toward disciplinary action.
• After PST is exhausted, normal absence policies may apply.

Enforcement: Enforced by the Nebraska Department of Labor.

• Penalties:
  • Up to $500 for a first violation.
  • Up to $5,000 for subsequent violations.
  • Employers with unpaid citations cannot contract with the state.

• Employees cannot sue employers directly under this law.

Source References

• Nebraska LB415 – Change provisions of the Nebraska Healthy Families and Workplaces Act and the Conveyance Safety Act
• Nebraska Initiative 436 Passed: Paid Sick Leave Coming to the State (VensureHR)

Resources

• Nebraska DOL Guidance – FAQs

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