Nevada’s Minimum Wage Increases July 1, 2021
April 26, 2021
The Nevada Labor Commissioner has posted its 2021 Annual Bulletins to notify employers of the increase to the minimum wage that takes effect July 1, 2021 and the impact it has on overtime calculations under Nevada law.
The minimum wage will increase July 1, 2021 to $8.75 an hour for the lower tier (employees to whom qualifying health benefits have been offered/made available) and $9.75 an hour for the higher tier (employees to whom qualifying health benefits have not been offered/made available).
Under Nevada law, overtime is owed to any employee who is paid less than 1½ times the applicable minimum wage rate who works more than 8 hours in any workday or 40 hours in any workweek. Given the increase in the minimum wage, the Labor Commissioner’s Overtime Bulletin notifies employers that overtime will now be owed to an employee making less than $13.125 per hour (if the employee is offered qualified health benefits) or $14.625 per hour (if the employee is not offered qualified health benefits) if that employee works more than 8 hours in any workday or 40 hours in any work week. (Please remember that Nevada’s wage bulletins do not affect federal overtime which is not tied to minimum wage rates; as such, overtime is owed, under federal law, to any non-exempt employee who works more than 40 hours in any workweek.)
Nevada’s minimum wage law is often an issue before the Legislature, and this year is no exception. Assembly Joint Resolution 10 is currently pending before the Nevada Legislature. This Resolution, initially passed in 2019, proposes to amend the Nevada Constitution by removing the two-tiered system and instead requiring all employers to pay a minimum wage of not less than $12.00 an hour beginning July 1, 2024. It recently passed the Assembly and is currently being considered by the Senate. To become effective, it must then be approved by voters in a general election.
If you have questions about overtime or minimum wage, please contact a KZA attorney.
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.