This FAQ provides practical guidance on the Nebraska Healthy Families and Workplaces Act, with certain compliance components effective as of September 15 and October 1, 2025.

Table of Contents

• How do you calculate the hourly rate of sick leave for employees paid by commission, mileage, or fee-for-service?
• Are student workers covered under the Act?
• Does sick leave accrue during unpaid FMLA leave?
• Can you require employees to use paid sick leave concurrently with FMLA leave?
• Does the Act apply to domestic partnerships or unmarried partners under the “family member” definition?
• Is there any coverage or usage allowed under the Act for victims of domestic violence or stalking (i.e., “safe leave”)?
• Would lice or an IEP meeting qualify for school-related sick leave under the Act?
• If we provide leave balances on our employee self-service payroll portal, accessible online, will that satisfy the notice requirement of the act?
• Do vacation banks count toward the accrual values?
• If we front load 56 hours of leave and allow for annual carry-over (with the a 56-hour usage cap) - we would NOT then have to pay out any balance at termination correct?
• Our employees are required to work a 32 hr, 4 day work week. If an employee were to call out due to a covered sick leave event, can we ask the employee to come in and cover on their scheduled day off? Or would this be considered retaliatory?
• My company has an unlimited PTO policy currently. What is your recommendation for starting the paid leave policy?
• Do PRN / Substitute Teachers / part-time employees / seasonal / temporary workers accrue sick leave?
• Some employees never use their sick pay/time so can they take or use sick pay for vacation if needed?
• Do you anticipate further guidance release prior to 9/15/25?
• Is the exclusion of temporary employees only for agricultural employers?
• I know this seems a little crazy to ask but can this be used to take care of sick pets?
• If we have a PTO policy for FT employees but not PT employees do we need to give 56 hours of sick to PT?
• Isn't that 80 hours worked anywhere in the state? Not just for you as the employer?
• If a Company employs fewer than 20 employees that work in Nebraska, but employs a total number of employees greater than 20 (including employees that work in multiple other states), do they follow the requirements for companies with less than 20 or greater than 20 employees?
• Does this law apply to employees covered by a collective bargaining agreement?
• If our policy today allows more than 56 hours of PTO which would include vacation and sick time, but our policy has a max accrual, do we have to allow unlimited accrual or does the additional language added by LB 415 exclude us from having to implement unlimited accrual?
• If you have a combined PTO Policy, how would you comply with the reporting requirements (i.e. how would you know that an employee took time for sick or vacation)?

How do you calculate the hourly rate of sick leave for employees paid by commission, mileage, or fee-for-service?

Paid sick time is compensated at the employee’s regular rate of pay at the time it’s used or paid. For employees paid on a commission, mileage, piece-rate, or fee-for-service basis, paid sick time means time that is compensated at an hourly rate determined by the employer using the average weekly rate calculation under Nebraska’s Workers Compensation Statute, Neb. Rev. Stat. 48-126, which is then reduced to an hourly rate based on a 40-hour work week.

Are student workers covered under the Act?

Yes, student workers are covered under the Nebraska Healthy Families and Workplaces Act as long as they meet the other eligibility requirements under the Act.

Does sick leave accrue during unpaid FMLA leave?

Employees generally do not accrue paid sick leave during periods of unpaid FMLA leave unless their employer’s internal policy specifically allows for it. Under the Nebraska Paid Sick Leave Act, if an employee is using paid sick leave concurrently with FMLA leave, they will continue to accrue sick leave for the portion of the leave that is paid. Once the employee exhausts their paid leave and the FMLA leave becomes unpaid, accrual of sick leave typically stops, unless the employer’s policy provides otherwise. Employers may choose to allow accruals to continue during unpaid leave, but this is not required by law.

Can you require employees to use paid sick leave concurrently with FMLA leave?

Yes, employers are allowed to require that employees use their available paid sick leave concurrently with FMLA leave if the leave is for a qualifying reason, provided that this requirement is clearly stated in the employer’s leave policies. This prevents employees from stacking paid and unpaid leave periods consecutively and ensures consistent application of benefits under both laws.

Does the Act apply to domestic partnerships or unmarried partners under the “family member” definition?

Yes, the Act includes a broad “catch-all” clause under the definition of “family member,” covering any individual related by blood or whose close association with the employee is the equivalent of a family relationship. This allows for the inclusion of domestic partners or unmarried partners, even if not legally married, as long as the relationship resembles that of a family member.

Is there any coverage or usage allowed under the Act for victims of domestic violence or stalking (i.e., “safe leave”)?

No, the Nebraska Healthy Families and Workplaces Act does not provide explicit coverage for “safe leave” related to domestic violence, stalking, or abuse. Sick leave can only be used if the situation results in a medical or mental health condition that meets the Act’s criteria, such as requiring diagnosis, treatment, or preventative care. Unlike some other state laws, Nebraska’s version does not currently include general protections for absences related to seeking legal aid, relocation, or safety planning.

Would lice or an IEP meeting qualify for school-related sick leave under the Act?

Yes, both lice and IEP (Individualized Education Program) meetings likely qualify under the Act’s provision allowing leave to attend meetings necessitated by a child’s physical or mental health condition at a school or place of care. Therefore, an employee attending such meetings for their child would be entitled to use paid sick time.

If we provide leave balances on our employee self-service payroll portal, accessible online, will that satisfy the notice requirement of the act?

An employer is required to provide employees a statement of the following on each regular pay period: amount of paid sick time available, amount of paid sick time taken, and amount of pay the employee has received as paid sick time. This requirement can be satisfied with an online system to which the employees have access. The employer must be able to demonstrate to the department how many hours the employee worked, how much paid sick time the employee accrued, and how much paid sick time the employee was permitted to use.

Do vacation banks count toward the accrual values?

Paid sick time provided to an employee on or after January 1, 2025 and before October 1, 2025 shall be counted toward an employer’s obligation under the Sick Leave Act for 2025 only. From October 1, 2025, and going forward, employers must allow employees to accrue at least 1 hour for every 30 hours worked, and leave earned prior to October 1, 2025, will not count toward this obligation after December 31, 2025.

If we front load 56 hours of leave and allow for annual carry-over (with the a 56-hour usage cap) - we would NOT then have to pay out any balance at termination correct?

If it is sick leave, yes, assuming that the cap applies to usage of hours (i.e., hours can continue to accrue without any limit, but an employee may not use more than 56 hours per year), it is acceptable to not pay out the hours at the end of the year. All accrued/unused vacation/PTO must be paid out upon termination in Nebraska.

Our employees are required to work a 32 hr, 4 day work week. If an employee were to call out due to a covered sick leave event, can we ask the employee to come in and cover on their scheduled day off? Or would this be considered retaliatory?

Inviting an employee to pick up an extra shift after using paid sick leave is not unlawful per se. You can allow an employee to voluntarily pick up a missed shift if it is their preference. If the employee is pressured to pick up the extra shift or is treated negatively for not doing so, this could give rise to a retaliation claim. The better practice would be to allow them their scheduled day off unless they volunteer to come in on their off day.

My company has an unlimited PTO policy currently. What is your recommendation for starting the paid leave policy?

One option might be to implement a “Sick Leave” addendum to the unlimited PTO policy allowing employees to use up to 40 or 56 hours (depending on employer size and the applicable cap) of sick leave per year specifically for reasons covered by the Nebraska Healthy Families and Workplaces Act. This addendum (and any policy modifications relating to this new law) should be reviewed by legal counsel for any nuances relating to terms and conditions of leave which should be spelled out in the policy (i.e., to avoid creating a balance that must be paid on termination of employment and to make clear how sick leave hours should be reported and paid).

Do PRN / Substitute Teachers / part-time employees / seasonal / temporary workers accrue sick leave?

Yes, absent any of the exceptions identified in the act, any covered employee is eligible to accrue sick leave at a rate of at least 1 hour per every 30 hours worked, after they have worked for the employer for 80 hours.

Some employees never use their sick pay/time so can they take or use sick pay for vacation if needed?

No, sick leave should only be used for covered sick leave usage reasons. Leave that is allowed to be used for any reason is considered a wage that must be paid out on termination of employment, whereas true “sick” leave does not have to be paid out on termination.

Do you anticipate further guidance release prior to 9/15/25?

Nothing specific, although we are expecting the Department to publish proposed posters for employers to display in the workplace (which we will circulate to our employment mailing lists when available).

Is the exclusion of temporary employees only for agricultural employers?

Yes.

I know this seems a little crazy to ask but can this be used to take care of sick pets?

We understand and appreciate many people view their pets as part of the family! However, based on the definition of Family Member under the Act, there is no coverage to care for a sick pet.

If we have a PTO policy for FT employees but not PT employees do we need to give 56 hours of sick to PT?

If part-time employees do not accrue PTO, under the act, there should be a separate sick leave policy for these employees that meet the minimum standards of the Act (i.e., accrual at a rate of 1 hour for every 30 worked; usage for covered reasons, etc.).

Isn't that 80 hours worked anywhere in the state? Not just for you as the employer?

No, employees begin accruing paid sick time after 80 hours of consecutive employment for the employer.

If a Company employs fewer than 20 employees that work in Nebraska, but employs a total number of employees greater than 20 (including employees that work in multiple other states), do they follow the requirements for companies with less than 20 or greater than 20 employees?

For the purposes of determining business size, the Department will only include individuals that worked at least 80 hours of consecutive employment in the state of Nebraska for the out of state employer in a calendar year.

Does this law apply to employees covered by a collective bargaining agreement?

Yes. An employer signatory to a multi-employer collective-bargaining agreement may fulfill its obligations under the Nebraska Healthy Families and Workplaces Act by making contributions to a multi-employer paid sick time fund, plan, or program based on the hours each employee accrues pursuant to the act while working under the multi-employer collective bargaining agreement, if the fund, plan, or program enables employees to collect paid sick time from the fund, plan, or program based on hours they have worked under the multi-employer collective-bargaining agreement and for the purposes specified under the act. Employees who work under a multi-employer collective-bargaining agreement into which their employers make contributions as provided in this subsection may collect from the paid sick time fund, plan, or program based on hours they have worked under the multi-employer collective-bargaining agreement and for the purposes specified under the act.

If our policy today allows more than 56 hours of PTO which would include vacation and sick time, but our policy has a max accrual, do we have to allow unlimited accrual or does the additional language added by LB 415 exclude us from having to implement unlimited accrual?

The following is the closest guidance the Department has provided on this topic in the FAQ: Employers must allow their employees to carry over unused sick time to the following year. An employer designates when the year starts and ends. There is no maximum carryover. Alternatively, in lieu of carryover, an employer may choose to pay out accrued but unused paid sick time provided that the employee begins the new year at or above the minimum paid sick time requirement. Despite the requirement that paid sick hours be carried over, the employer is not required to permit an employee to use more than the maximum yearly amount of paid sick time provided within the Act (either 40 or 56 hours). Employers whose current paid leave policy already meets the requirements of the Act are not required to allow an employee to accrue or carry over benefits beyond the existing policy.

If you have a combined PTO Policy, how would you comply with the reporting requirements (i.e. how would you know that an employee took time for sick or vacation)?

You only need to track the usage and availability of PTO hours, if the PTO hours are the paid leave to be used to cover sick leave under the Act. If an employee exhausts PTO for non-illness related reasons (i.e., vacation), they are not entitled to any additional leave.

For any additional questions or clarifications, please feel free to contact an attorney in our Employment Department. Our team is ready and available to provide personalized assistance and support for your compliance needs. 

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