Nevada Labor Commissioner Advisory Opinions

In 2025, the Nevada Labor Commissioner issued four advisory opinions explaining her interpretation of specific nuances to Nevada wage and hour laws. To ensure compliance with Nevada law, we recommend that employers review these Advisory Opinions, which we have summarized below. If you have questions, please contact a KZA attorney for assistance. 

Advisory Opinion 2025-05: Daily & Weekly Overtime

This Advisory Opinion addresses how overtime should be calculated for a daily overtime eligible employee (i.e., an employee earning less than 1.5 times the minimum wage) who works more than 8 hours in a single workday but also more than 40 hours in the same work week. Nevada law is not clear on this issue. In the Advisory Opinion, the Nevada Labor Commissioner recommends that “when in doubt,” employers should choose the overtime payment that is most advantageous to the employee – i.e., if the employee works more hours of daily overtime than weekly overtime, the employer should pay the daily overtime. Importantly, this Advisory Opinion also confirms the Nevada Labor Commissioner’s position that daily and weekly overtime does not stack (or combine) under Nevada law. 

Advisory Opinion 2025-06: Payroll Deductions

This Advisory Opinion provides a good example of how Nevada’s law on payroll deductions operates and addresses the issue of whether a deduction can drop an employee below minimum wage for the pay period. The Labor Commissioner explains that Nevada law does not address whether an employer must maintain a specific level of net pay (i.e., more than minimum wage) after certain voluntary deductions are made for the benefit of the employee, but cautions employers to check federal law. She also explains that an employer’s procedure for taking payroll deductions for food and beverage purchases via a logbook does not comply with Nevada’s specific requirements for lawful deductions. 

Advisory Opinion 2025-07: Interpretation of Workday

This Advisory Opinion addresses the definition of “workday” and provides clarification for calculating daily overtime owed to employees working shifts that overlap within the same 24-hour period. Nevada law provides that an employee earning less than 1.5 times minimum wage is entitled to overtime when she works more than 8 hours in any workday; “workday” is defined as “a period of 24 consecutive hours which begins when the employee begins work.” 

The 24-hour workday begins when an employee works her first shift in a workweek. The Labor Commissioner explains that when an employee begins a second shift within the same 24-hour period, the hours which overlap that 24-hour period may constitute overtime if they exceed 8 in the 24-hour period. For example, if an employee begins work on Monday at 11 am and works until 5 pm, a total of 6 regular hours, she would incur one hour of daily overtime if she worked Tuesday from 8 am until 7 pm, because 8 am to 11 am is within the “workday” which commenced on Monday at 11 am and, in that 24-hour period, she worked 9 hours.  

Advisory Opinion 2025-08: Tip Pooling Policy 

This Advisory Opinion addresses whether leads, supervisors, and managers who perform line work can be included in a tip pool if they are limited to the pro-rated percentage of time spent performing tipped work. The Labor Commissioner leaves the question to federal law, finding that nothing in Nevada law precludes certain employees from participating in tip pools due to their positions, titles, job descriptions, or duties. She explains that the only limitation in Nevada law is that the employer may not keep any portion of the tips for itself. 

However, the U.S. Department of Labor has clearly addressed this issue, stating that a supervisor can never participate in a tip pool, even when they work an entire shift performing line work. If the employee qualifies as a supervisor under the Fair Labor Standards Act, the only tip they can receive is one received directly from a customer based on service the supervisor directly and solely provided.

KZA Employer Report articles are for general information only; they are not intended and should not be construed to be legal advice. Reading or replying to such articles does not establish an attorney-client relationship. In addition, because the subject matters and applicable laws discussed in Employer Report articles are often in a state of change and not always applicable to every type of business entity or organization, readers should consult with counsel before making decisions based on the same.