Global Compliance – Nebraska
Nebraska: Introduction of New Paid Sick leave
Effective October 1, 2025, Nebraska will implement the Healthy Families & Workplaces Act (the “Act”),, requiring most employers to provide paid sick leave to eligible employees.
Paid Sick Leave Entitlement
Currently, there is no provision for paid sick leave in the state of Nebraska.
Effective October 1, 2025, the eligible employees will be entitled to paid sick leave as follows:
Duration of the Leave- All employees are entitled to receive 1 hour of paid sick leave for every 30 hours worked.
Employees working for employers with 20 or more employees may use up to 56 hours per year, unless a higher limit is set by the employer.
Employees working for employers with 11-19 employees may use up to 40 hours per year, unless a higher limit is set by the employer.
Entitlement of the leave- All employees (whether full-time, part-time, temporary, etc.) who have completed at least 80 consecutive hours of work for an employer with 11 or more employees in Nebraska are eligible to accrue paid sick leave, unless specifically exempt under the Act.
The following employees are exempt from the Act and therefore are not required to receive paid sick time:
- Individual owner-operators
- Independent contractors
- Individuals who work in Nebraska for fewer than 80 hours in a calendar year
- Individuals who are employed in agricultural employment of a seasonal or other temporary nature
- Employees who are subject to the federal Railroad Unemployment Insurance Act
- Individuals under 16 years of age
Taking of Leave- Employees can take paid sick time in hourly increments, or in smaller increments if the employer allows smaller units.
Usage of Leave- Employees can use their earned paid sick leave for the following reasons:
- The employee’s illness, injury, or health condition; or for treatment, diagnosis, or preventative medical care.
- Care of the employee’s family member(s) for illness, injury, or health condition; or for treatment, diagnosis, or preventative medical care.
- Meetings at school or a care provider’s location related to the employee’s child’s illness, injury, or health condition.
- Closure of the Employee’s business or to care for a child due to closure of school or place of care by order of public official due to public health emergency.
- The employee’s need to self-isolate or care for a family member that needs to isolate due to a communicable disease as determined by a health authority or a health care professional.
Carryover of Sick Leave- Accrued paid sick time shall be carried over to the following year. However, the annual usage cap of 56 or 40 hours still applies. Instead of carrying over leave to the next year, the employer may also pay out unused leave at the end of the year.
Frontloading of Sick Leave- Employers may grant the full annual allotment at the start of the benefit year instead of tracking hourly accruals.
Annual Usage Cap- Regardless of the accrued or carried-over leave, an employee may not use more than 40 hours of paid sick leave in a benefit year for employers with 11-19 employees, or more than 56 hours for employers with 20 or more employees.
Notice Requirement- Employee shall inform their employer as early as possible including the expected duration of the leave. Employers may request medical documentation for absence of leave for 3 or more consecutive days.
Take Away- Employers shall proactively review and update their policies in preparation for these forthcoming labor law reforms.
