Nevada implemented significant changes to its overtime rules on July 1, 2024, as part of a broader adjustment to its minimum wage laws.
New Minimum Wage: The minimum wage in Nevada increased to $12.00 per hour for all employees, regardless of whether they receive qualified health benefits. This marks the end of the previous two-tiered minimum wage system that allowed lower wages for those receiving health benefits.
Daily and Weekly Overtime: Employees earning less than $18.00 per hour will be entitled to daily overtime pay if they work more than 8 hours in a single workday or exceed 40 hours in a workweek. This means that any employee who earns below this threshold will receive overtime pay at a rate of 1.5 times their regular hourly wage for hours worked beyond these limits.
In Nevada, there are specific regulations regarding the maximum number of hours an employee can work in a day:
Standard Work Hours: Unless otherwise agreed upon, an employee’s regular working hours should not exceed 8 hours in a single day or 40 hours in a week.
Alternative Scheduling: Employees may work up to 10 hours per day for a total of 4 days per week if there is mutual agreement between the employer and the employee.
This structure allows flexibility in scheduling while ensuring employees are compensated fairly for their time worked.
In Nevada, the overtime rules are defined by both weekly and daily thresholds:
Weekly Overtime: Employees are entitled to overtime pay at 1.5 times their regular hourly wage for any hours worked over 40 in a workweek.
Daily Overtime: Additionally, employees who earn less than 1.5 times the minimum wage (which is $12.00 per hour as of July 1, 2024) are entitled to overtime pay for hours worked over 8 hours in a single workday.
This means that daily and weekly overtime rules can apply to employees earning less than $18.00 per hour, ensuring they receive fair compensation for extended work hours.
Yes, there are exceptions to the standard 40-hour workweek for overtime in Nevada. Here are the key exceptions:
Employees Working Four 10-Hour Shifts: Employees who agree to work four 10-hour shifts per week are not entitled to overtime pay for hours worked over 8 in a single day, as long as their total hours for the week do not exceed 40. This means they can work 10 hours each day without triggering overtime pay.
Exempt Employees: Certain categories of employees are exempt from overtime requirements under Nevada law. These include:
Professional, Administrative, or Executive Employees: Individuals in these roles may not be entitled to overtime pay if their job duties and salary meet specific criteria.
Employees Covered by Collective Bargaining Agreements: If a collective bargaining agreement provides different terms regarding overtime, those terms apply.
Certain Sales and Service Workers: Employees in retail or service businesses earning more than 1.5 times the minimum wage, with more than half their compensation coming from commissions, may also be exempt.
Specific Job Categories: Certain job categories, such as transportation workers (drivers, loaders), farm workers, and employees of businesses with gross sales below a certain threshold (e.g., $250,000 annually), may also be exempt from overtime provisions.
These exceptions highlight the complexity of Nevada’s labor laws regarding overtime compensation and emphasize the importance of understanding state and federal regulations.
Nevada’s overtime laws have distinct differences from federal regulations under the Fair Labor Standards Act (FLSA).
Overtime Eligibility Criteria
Weekly Overtime: Nevada and federal law require overtime pay at 1.5 times the regular rate for hours worked over 40 hours in a workweek.
Daily Overtime: Nevada has an additional requirement for daily overtime, mandating that employees earn overtime for any hours worked over 8 hours per day, provided they earn less than 1.5 times the minimum wage (currently $12.00 per hour). This daily overtime rule does not apply to employees who earn more than that threshold or who have agreed to a flexible work schedule.
Exemptions
While both Nevada and federal laws provide exemptions for specific categories of employees (such as executive, administrative, and professional roles), Nevada’s laws also specify additional exemptions for commissioned salespeople, agricultural workers, and employees under collective bargaining agreements with specific terms regarding overtime.
These differences highlight Nevada’s more employee-friendly approach to overtime compensation compared to federal standards, ensuring greater protections for workers in the state.