NV Labor Commissioner Finds No Fault Attendance Policies May Violate PTO Law

Volume: 23 | Issue: 37
November 13, 2024

In August 2024, the Nevada Labor Commissioner issued an Advisory Opinion interpreting and applying Nevada’s paid time off law. The Labor Commissioner’s analysis may surprise you. 

As we know, Nevada Revised Statute 608.0197 requires Nevada’s private employers with 50 or more employees to provide at least 0.01923 hours of paid leave for each hour of work performed. This leave may be used by the employee beginning on the 90th day of employment for any reason. The law prohibits an employer from denying an employee the right to use available paid leave, from requiring an employee to find a replacement as a condition for using paid leave, and from retaliating against any employee for using available paid leave. 

In an August 19, 2024 Advisory Opinion, the Nevada Labor Commissioner found that an employer using a no-fault attendance policy which assesses attendance points for any absence without regard to whether paid leave is used violates the PTO law’s prohibition against retaliation. She explained: “Here, the points system described in the Request is retaliation against employees for use of paid leave. If the proper use of accrued paid leave can contribute to disciplinary action being taken against the employee, that is retaliation.” 

Employers that are covered under Nevada’s PTO law should, of course, take note of this and ensure that employees using the paid time off available to them under the law do not receive attendance points or any form of discipline for those absences. 

The Advisory Opinion also provides an important clarification for Nevada employers by addressing precisely when the PTO law’s exemption applies. An employer is exempt from Nevada’s PTO law if it provides: (1) all scheduled employees, (2) pursuant to a contract, policy, collective bargaining agreement or other agreement, (3) with paid leave or paid time off at a rate of at least 0.01923 hours per hour of work performed. Thus, as long as your paid leave or paid time off policy provides at least the amount of leave required by Nevada’s PTO law and you are giving paid leave to all scheduled employees (full-time and part-time), you are exempt from the PTO law and are free to structure your PTO (and attendance policies) as you choose. 

If you have questions about this Advisory Opinion or Nevada’s paid leave law, 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.

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