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New Nevada Laws Impact Employers’ Ability to Decrease Wages and Make Changes to Paydays

Volume 2, Issue 14
October 1, 2003

In addition to providing the Labor Commissioner with additional powers, the 2003 Nevada Legislature tightened up some of Nevada's labor laws. A complete list of the new changes can be found on the Labor Commissioner's website at www.laborcommissioner.com. The most notable changes, applicable to all employers, involve new notice requirements before employers decrease wages or change paydays. Employers who fail to follow the new changes or any of the labor laws contained in NRS 608.005 to NRS 608.195 are guilty of a misdemeanor and subject to administrative fines up to $5,000.00. Additional penalties exist for specific employers or in specific situations.

With respect to employers that have the ability to decrease the wage, salary or compensation of an employee, such decreases cannot be made unless the employer provides the employee with written notice of the decrease no less than seven (7) days before the employee is to perform any work at the decreased wage, salary or compensation. However, employers may lawfully follow requirements relating to wage or compensation decreases that differ from this law if controlled by the provisions of any collective bargaining agreement or any contract between the employer and the employee.

Additionally, the Nevada labor law setting forth an employer's notice posting obligations with respect to paydays, payment times, and payment locations, contained in NRS 608.080, was supplemented last legislative session to require employers to provide written notice at least seven (7) days before changing paydays or the place of payment. The written notice must be provided in a manner that gives each employee actual notice of such changes.

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.