Nebraska Labor Laws (2025 Guide)

What’s New in 2025

• Minimum wage increase
• Paid sick leave
• Relocation incentive
• Nonresident tax update

Labor Law Posters

• Federal labor law posters
• State labor law posters

Wage and Hour Laws

Minimum Wage

In 2025, Nebraska’s statewide minimum wage rose to $13.50/hour as part of a phased increase, with a planned rise to $15.00/hour by 2026. Beginning in 2027, Nebraska will adjust the minimum wage annually for inflation.

Employees under age 20 may be paid a training wage of 75% of the federal minimum (currently $5.44/hour) for the first 90 calendar days of employment. After that period or when they turn 20 (whichever is sooner), they must be paid the full minimum wage unless another exception applies. 

There are a few occupation-specific exceptions. Certain agricultural workers, student learners, and individuals with disabilities working in certified training programs may be exempt from the standard minimum wage under specific federal or state provisions. 

Nebraska cities and counties aren’t allowed to enact a minimum wage higher than the state minimum. 

Tipped Minimum Wage

Employers can use a tip credit to pay tipped employees a lower direct (cash) wage of $2.13/hour, as long as: 

• Their tips make up the difference in meeting the full minimum wage. 
• They regularly earn more than $30/month in tips. 

Employers must inform employees in advance and let them keep all tips they earn, except in valid tip pooling arrangements with other tipped workers.

Failing to meet the above conditions invalidates the tip credit, which means the employer must pay the full minimum wage directly. 

Overtime Laws

Nebraska follows the federal Fair Labor Standards Act (FLSA) for overtime.

Under the FLSA and Nebraska law, non-exempt employees must be paid overtime at 1.5 times their regular rate of pay for all hours worked beyond 40 in a single workweek. 

Some workers are exempt from overtime pay altogether. Common exemptions include executive, administrative, and professional employees who meet both the Duties Test and salary thresholds set by the FLSA. Outside sales employees and certain computer professionals also qualify for exemptions. 

Break Laws

Meal Breaks

Under Nebraska law, employers in mechanical establishments, workshops, and assembling plants must provide employees with a 30-minute unpaid meal break during each shift that lasts over 8 hours. This break must occur sometime between the 3rd and 5th hour of the shift, and it must be uninterrupted and duty-free.

For all other industries, Nebraska law doesn’t mandate meal or rest breaks. That means employers aren’t legally required to provide them, though many do so as a matter of policy or in accordance with federal guidelines. Under the FLSA, if an employer does offer breaks:

• Short breaks (usually lasting 5 to 20 minutes) must be counted as paid time.
• Meal periods (typically 30 minutes or more) don’t have to be paid if the employee is completely relieved of duty.
• Employers must give employees who are nursing reasonable breaks to express milk within 1 year of their child’s birth.

Recordkeeping Requirements

Nebraska largely follows the federal FLSA when it comes to employer recordkeeping requirements. There are no state-specific wage recordkeeping rules that significantly expand on federal standards, but employers are still expected to maintain clear and accurate records for all non-exempt employees, including:

• Employee’s full name and Social Security Number.
• Address, including zip code.
• Birth date, if younger than 19.
• Sex and occupation.
• Time and day of week when the employee’s workweek begins.
• Hours worked each day.
• Total hours worked each workweek.
• Basis on which the employee’s wages are paid (e.g., “$9/hour”, “$440/week”, “piecework”)
• Regular hourly pay rate.
• Total daily or weekly straight-time earnings.
• Total overtime earnings for the workweek.
• All additions to or deductions from the employee’s wages.
• Total wages paid each pay period.
• Date of payment and the pay period covered by the payment.

Under the FLSA, covered employers must keep these records for at least 3 years, and records related to hours worked, wage rates, and payroll deductions must be retained for at least 2 years. Some exemptions apply. 

Scheduling Laws

Nebraska doesn’t have any state-level laws that mandate fair or predictive scheduling practices like providing advance notice of work schedules, offering compensation for last-minute schedule changes, or providing guaranteed rest periods between shifts.

Additionally, Nebraska state law prohibits local governments from creating their own scheduling ordinances. 

Employee Compensation and Benefits

Reporting Time Pay

Nebraska state law doesn’t require reporting time pay, meaning employers aren’t obligated to pay employees for a minimum number of hours if they report to work but are sent home early or not given a full shift. Employers are required to pay non-exempt employees for actual time worked only.

Payday Frequency and Method

Employers in Nebraska are required to designate paydays at least 30 days before issuing payment. If a regular payday falls on a non-business day (like a weekend or holiday), payment must be made on the preceding business day. 

Nebraska allows several methods for wage payment, including:

• Cash.
• Check, delivered in person or by mail.
• Direct deposit, with the employee’s written authorization.
• Payroll card, as long as the employee has access to full wages without fees and can opt out in favor of direct deposit or check.

If using payroll cards, employers must provide employees with at least 1 free means of accessing their full pay during each pay period and must ensure the card complies with applicable federal banking regulations.

Paystub Requirements

Employers must also provide a written or electronic pay stub that outlines hours worked, pay rate, gross wages, and all deductions.

Wage Deductions and Garnishments

In Nebraska, wage deductions and garnishments are governed by a combination of state law and federal protections under the Consumer Credit Protection Act (CCPA). Employers must follow strict guidelines to ensure that any money withheld from an employee’s paycheck is legal, authorized, and properly documented.

Nebraska employers may deduct wages only if the deduction is:

• Required by law (e.g., taxes, Social Security, court-ordered garnishments).
• Authorized in writing by the employee for a lawful purpose.
• For the recovery of employer-provided items (such as uniforms, tools, or training expenses), but only if the employee has voluntarily signed a written agreement specifying the terms.

Importantly, deductions can’t reduce an employee’s earnings below the minimum wage, except for legally required deductions or those with proper consent and legal justification.

Nebraska follows the federal CCPA limits for wage garnishments, which protect a portion of an employee’s disposable income. Garnishments must be the lesser of either 25% of disposable earnings (wages after legally required deductions) or the amount by which disposable earnings exceed 30 times the federal minimum wage (currently $7.25/hour, or $217.50/week).

However, exceptions for specific debts may apply:

• Child support: Up to 50–65% of disposable earnings, depending on the employee’s family support status and arrears.
• Federal student loans: Up to 15% of disposable earnings.
• Unpaid taxes: Subject to a graduated formula based on pay and dependents.

Before garnishing wages, most creditors must obtain a court judgment. The IRS, however, may garnish wages without a court order. 

Employers are prohibited from firing an employee because of a single garnishment, but multiple garnishments may affect job protection.

Final Paycheck Laws

Final wages are due on the next regular payday or within 2 weeks of the termination date, whichever comes first. This timeline applies if the employee resigns voluntarily or is fired, laid off, or otherwise involuntarily terminated. This includes all earned wages up to the time of separation, including any accrued and payable vacation under the employer’s policy. 

Nebraska doesn’t allow employers to delay final pay simply because the employee quit without notice.

If the employer fails to issue timely payment, the employee may be entitled to recover unpaid wages plus additional damages under the Nebraska Wage Payment and Collection Act.

Workers’ Compensation

Nebraska’s workers’ compensation system is administered by the Nebraska Workers’ Compensation Court.

Most employers in the state with 1 or more employees must carry workers’ compensation insurance, with very limited exceptions. 

Coverage applies to full-time, part-time, temporary, and seasonal employees. Exceptions include certain domestic workers, independent contractors, and some agricultural laborers, though employers of workers in these categories may still elect to provide coverage.

Employers may secure workers’ compensation insurance by: 

• Purchasing a policy through a private insurance carrier licensed in Nebraska, or 
• Applying for self-insurance, subject to approval by the Nebraska Workers’ Compensation Court, or
• Joining a qualified risk pool or association, if eligible.

Failure to carry coverage can result in civil penalties and liability for damages. Injured workers may receive the following:

• Medical benefits: Full coverage for reasonable and necessary medical treatment.
• Temporary total disability (TTD): Wage replacement while the worker is unable to return to work.
• Temporary partial disability (TPD): Benefits if the worker returns to work at reduced capacity or pay.
• Permanent disability benefits: Payments for permanent partial or total disability.
• Vocational rehabilitation: Assistance for returning to suitable employment if the injury prevents the same job duties.
• Death benefits: Payments to surviving dependents and funeral expense reimbursement (up to $11,000 in 2025).

An employee must notify their employer as soon as possible after a workplace injury or diagnosis of a work-related illness. Employers, in turn, must report the injury to their insurance carrier and file a First Report of Injury with the Workers’ Compensation Court within 10 days of notice. Fatalities must be reported within 24 hours. 

If there’s a dispute—such as a denial of benefits—the worker can:

1. Request mediation through the Workers’ Compensation Court’s informal dispute resolution process.
2. File a petition to formally contest the decision in court.
3. Attend a hearing before a compensation judge if the dispute isn’t resolved informally.

Appeals of compensation court decisions can be made to the Nebraska Court of Appeals and, in some cases, the Nebraska Supreme Court.

Unemployment Insurance

In Nebraska, unemployment insurance (UI) provides temporary financial assistance to eligible unemployed workers. The program is administered by the Nebraska Department of Labor (NDOL) and funded through employer payroll taxes. 

In addition to paying payroll taxes, employer obligations include responding to employee claims in a timely manner and maintaining a UI tax account, which involves filing wage reports and related forms. 

To qualify for UI benefits in Nebraska, a claimant must:

• Be unemployed or working reduced hours through no fault of their own (e.g., layoffs, closures).
• Have earned at least $5,297 during the base period, which is typically the first 4 of the last 5 completed calendar quarters before the claim was filed.
• Be physically able to work, available for work, and actively seeking suitable employment.
• Register with NEworks.nebraska.gov and maintain an active online résumé.
• Submit weekly benefit certifications and report work search activities.

Workers fired for misconduct or those who voluntarily quit without good cause related to the job are generally disqualified from receiving benefits.

The weekly benefit amount (WBA) in Nebraska is calculated as approximately half the worker’s average weekly wage during the highest-paid quarter of the base period, up to a capped amount. In 2025, the WBA cap is $546/week, though this may adjust slightly year to year. Claimants may also receive dependent allowances for qualifying children, which can increase the weekly benefit.

Eligible individuals can receive benefits for up to 26 weeks in a standard benefit year. Extensions may be available during periods of high unemployment through federal or state emergency programs, though none are active as of 2025. 

Claims are reviewed by the NDOL, and employers may be contacted to verify separation details. If benefits are denied, claimants can file an appeal within 20 days of the determination.

Workplace Rights and Protections

Discrimination and Harassment

In Nebraska, workplace discrimination and harassment are prohibited under both federal and state law. These protections are enforced through the Nebraska Fair Employment Practice Act (FEPA) and Title VII of the Civil Rights Act, along with other federal statutes. Under Nebraska law, it’s unlawful for employers to discriminate or harass based on:

• Race.
• Color.
• National origin.
• Religion.
• Sex (including pregnancy).
• Disability.
• Age (40 and older).
• Marital status.
• Retaliation for asserting protected rights.

Some federal protections, such as those for genetic information, sexual orientation, and gender identity (as established in Bostock v. Clayton County), are interpreted to apply in Nebraska even though not all are explicitly listed in the state statute.

Nebraska’s FEPA applies to employers with 15 or more employees, matching federal Title VII requirements. However, age discrimination rules in Nebraska apply to employers with 20 or more employees, and disability discrimination protections cover employers with 15 or more under both state and federal law. Workers who believe they’ve experienced discrimination or harassment can file a complaint with:

• The Nebraska Equal Opportunity Commission (NEOC).
• The Equal Employment Opportunity Commission (EEOC) (if also pursuing a federal claim).

Leave Laws

❌ Family and Medical Leave	Nebraska doesn’t mandate family and medical leave.   However, the federal Family and Medical Leave Act (FMLA) provides eligible employees with job-protected, unpaid leave for specific family and medical reasons. It applies to employees who: • Have worked for an employer for at least 12 months. • Have worked at least 1,250 hours during the 12 months immediately preceding the leave. • Work at an employer with 50 or more employees within a 75-mile radius.  Eligible employees may take up to 12 weeks of unpaid FMLA leave during a 12-month period for the following reasons: • Birth or adoption of a child, or placement of a foster child, and to bond with the child. • Care for a spouse, child, or parent with a serious health condition. • The employee’s own serious health condition that prevents them from performing essential job duties. • Certain military family needs, including qualifying exigencies arising from a family member’s active duty. Employees may also take up to 26 weeks of leave in a single 12-month period to care for a covered service member with a serious injury or illness (military caregiver leave).
✅ Paid Sick Leave	Effective October 1, 2025, Nebraska mandates paid sick leave. Under the Nebraska Healthy Families and Workplaces Act, sick leave applies to private employers with 1 or more employees who work at least 80 hours a year in Nebraska.  Paid sick leave accrues at 1 hour per 30 hours worked, with annual caps: • 40 hours/year for employers with 1–19 employees. • 56 hours/year for employers with 20+ employees. Leave may be used for the employee’s own health or to care for a family member. Unused leave carries over, but use may be capped annually.
❌ Paid Family Leave	Nebraska doesn’t require employers to provide paid family leave.
❌ Pregnancy and Parental Leave	Nebraska has no state mandate for paid maternity or paternity leave.  However, pregnancy-related conditions are covered under state and federal anti-discrimination laws, and employers subject to FMLA must provide unpaid leave for pregnancy, childbirth, and bonding if the employee meets eligibility criteria.
❌ Vacation and Personal Leave	Nebraska doesn’t mandate vacation or personal leave.

Other Mandatory Leave

Nebraska mandates other forms of leave as well. These are:

Military Leave	Nebraska complies with the federal Uniformed Services Employment and Reemployment Rights Act (USERRA) and also provides additional state protections. Public and private employees are entitled to unpaid leave for military duty, training, or deployment. Public employees (state, county, municipal) receive up to 15 workdays of paid military leave per calendar year. Employees must be reinstated to their job with the same seniority, status, and pay if they return within the required timeframe and meet service criteria.
Jury Duty Leave	Employers in Nebraska must allow employees to take leave to serve on a jury. Leave is unpaid, unless the employer chooses to offer pay. Employers may not discharge, threaten, or coerce employees for serving. Employers can’t require employees to use vacation or personal time for jury duty.
Voting Leave	Nebraska law requires employers to provide up to 2 paid hours off to vote, but only if: • The employee doesn’t have 2 consecutive hours outside of working hours when polls are open. • The employee gives prior notice of the need for leave. The employer may designate the time of leave (e.g., at the beginning or end of the shift).

Child Labor Laws

Nebraska’s child labor laws follow a mix of state-specific rules and federal FLSA provisions, depending on the age of the minor and the type of work involved. Statewide, 14 years old is the minimum age for most non-agricultural employment. Youth under 14 may work only in specific exempted jobs, such as delivering newspapers or working for a parent’s business (non-hazardous roles only).

Nebraska requires that any workers aged 14 and 15 register for an employment certificate with the school district in which the minor resides. Exceptions are made for detasseling and for family businesses. Employees aged 16 and 17 years don’t need employment certificates. 

Nebraska prohibits minors from employment in hazardous occupations, including mining, brick manufacturing, and logging. 

Nebraska and FLSA regulations limit working hours for minors as follows:

	14 and 15-year-olds	16 and 17-year-olds
When school is in session	• Work allowed outside of school hours only. • Maximum of 3 hours per day on school days. • Maximum of 18 hours per week when school is in session. • No work before 7am or after 7pm.	No restrictions.
When school isn’t in session	• Up to 8 hours per day and 40 hours per week. • Evening hours extended to 9pm.	No restrictions.

Those guilty of breaking Nebraska child labor law are charged with a Class I misdemeanor. 

Workplace Safety and Health

In Nebraska, workplace safety and health are governed by the federal Occupational Safety and Health Administration (OSHA), as the state doesn’t operate its own OSHA-approved state plan. All private-sector workplaces in Nebraska fall under that agency’s jurisdiction.

Nebraska employers covered by OSHA must:

• Provide a workplace free from recognized hazards that could cause death or serious injury.
• Comply with all OSHA standards relevant to their industry.
• Display the OSHA Job Safety and Health poster in a visible area.
• Maintain records of work-related injuries and illnesses (if they have 11 or more employees and aren’t classified as low-risk).
• Provide training to employees in a language and format they understand.
• Report fatalities within 8 hours and hospitalizations, amputations, or loss of an eye within 24 hours to OSHA. (Reports can be made online or via the OSHA 24-hour hotline.)

All Nebraska employees have the right to a safe workplace, and they may request an OSHA inspection of their workplace if they believe violations have occurred. Retaliation against employees for reporting hazards or participating in safety investigations is strictly prohibited. 

While Nebraska doesn’t enforce OSHA regulations, it does offer voluntary safety programs to support employers and reduce workplace injuries. The Nebraska Workers’ Compensation Court provides Workplace Safety Consultation Services to help employers assess risks and improve safety practices. Employers can also partner with OSHA’s On-Site Consultation Program, which provides free, confidential safety evaluations (without risk of citation or penalty).

Labor Union Regulations

Nebraska is a right-to-work state, which means that the state prohibits mandatory union membership or payment of union dues as a condition of employment. 

Employment Contracts and Severance

Employment Contract Laws

Nebraska follows the doctrine of at-will employment, meaning that either the employer or the employee can terminate the employment relationship at any time, for any reason—or no reason at all—so long as it’s not illegal (e.g., based on discrimination or retaliation).

Nebraska courts generally don’t favor restrictive covenants such as non-compete agreements, non-solicitation agreements, and confidentiality agreements—but will enforce them if they’re reasonable and protect legitimate business interests. 

Severance Pay

In Nebraska, severance pay isn’t required by law. 

Additional State-Specific Employment Laws

Mini-COBRA	Nebraska offers a state-level continuation of health coverage for employees of small employers not covered by federal COBRA. It applies to employers with 2–19 employees: • Employees may elect to continue group health coverage for up to 6 months after losing eligibility (e.g., job loss, reduction in hours). • Employees must’ve been covered under the group plan for at least 3 consecutive months prior to separation. • Election and payment deadlines must be strictly followed for coverage to continue.
Drug Testing	Nebraska allows drug testing as a condition of employment.
Gun Laws	While Nebraska allows concealed carry without a permit, employers may prohibit concealed carry on their premises. They may also ban employees from transporting concealed handguns in company vehicles.
Relocation Incentive	Beginning January 1st, 2025, employers who offer a relocation payment to employees who move to Nebraska will receive an income tax credit of 50% of the relocation expense, with a cap of $5,000 per employee.
Nonresident Tax	From January 1, 2025, nonresidents performing services in Nebraska for more than 7 days in a taxable year will have their compensation considered Nebraska-sourced income. Importantly, this applies to nonresidents who aren’t physically present in Nebraska if their work is directly related to a Nebraska business.

Legal Resources for Employers and Employees

Here are some helpful resources for navigating Nebraska labor laws:

• Nebraska Department of Labor: Provides information and forms for employers and employees on topics including unemployment insurance, workplace safety, and reemployment services.
• Nebraska Equal Opportunity Commission: Responds to complaints related to discrimination in employment. 
• Legal Aid of Nebraska: Provides free legal aid and self-help resources on civil matters, including employment-related issues. 

Disclaimer

The information presented on this website about labor laws in Nebraska is a summary for informational purposes only and is not intended as legal advice. However, laws and regulations regularly change and may vary depending on individual circumstances. While we have made every effort to ensure the information provided is up to date and reliable, we cannot guarantee its completeness, accuracy, or applicability to your specific situation. Therefore, we strongly recommend that readers seek guidance from their legal department or a qualified attorney to ensure compliance with applicable laws and regulations. Please note that we cannot be held liable for any actions taken or not taken based on the information presented on this website.