S.B. 198
- *SB198*
SENATE BILL NO. 198–SENATOR DALY
FEBRUARY 10, 2025
____________
Referred to Committee on Commerce and Labor
SUMMARY—Revises provisions relating to labor. (BDR 53-557)
FISCAL NOTE: Effect on Local Government: No.
Effect on the State: No.
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EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.
AN ACT relating to labor; revising provisions governing the
payment of wages and compensation to an employee who
resigns, quits or is discharged or placed on nonworking
status; revising the penalty imposed upon an employer for
the failure to pay such wages and compensation when
due; requiring the revocation of the license of a cannabis
establishment that violates a federal or state labor law;
and providing other matters properly relating thereto.
Legislative Counsel’s Digest:
Under existing law, whenever an employer: (1) discharges an employee, the 1
wages and compensation earned and unpaid at the time of the discharge become 2
due and payable immediately; and (2) places an employee on nonworking status, 3
the wages earned and unpaid at the time the employee is placed on such status 4
become due and payable immediately. (NRS 608.020) Additionally, existing law 5
provides that whenever an employee resigns or quits his or her employment, the 6
wages and compensation earned and unpaid at the time of the employee’s 7
resignation or quitting are required to be paid not later than the day on which the 8
employee would have regularly been paid the wages or compensation or 7 days 9
after the employee resigns or quits, whichever is earlier. (NRS 608.030) Sections 1 10
and 2 of this bill provide that for the purposes of those requirements, compensation 11
includes, without limitation, fringe benefits. 12
Existing law provides for the imposition of a penalty upon an employer who 13
fails to comply with the requirements pertaining to the payment of wages and 14
compensation of an employee who resigned, quit or was discharged or placed on 15
nonworking status. Under existing law, the wages or compensation of such an 16
employee continues at the same rate until the employee is paid or for 30 days, 17
whichever is less, if the employer fails to pay the wages or compensation, as 18
applicable: (1) for an employee who is discharged, within 3 days after the wages or 19
compensation of the employee becomes due; (2) for an employee who is placed on 20
nonworking status, within 3 days after the wages of the employee becomes due; 21
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and (3) for an employee who resigns or quits, on the day the wages or 22
compensation is due. (NRS 608.040) 23
Section 3 of this bill revises the amount of such a penalty and the 24
circumstances under which such a penalty is imposed. Rather than providing for the 25
imposition of the penalty if an employer fails to pay the wages or compensation of 26
an employee who is discharged or the wages of an employee who is placed on 27
nonworking status within 3 days after the wages or compensation becomes due, 28
section 3 provides for the imposition of the penalty if the employer fails to pay the 29
wages or compensation of such an employee not later than 5 p.m. on the calendar 30
day immediately following the day on which the wages or compensation becomes 31
due. Rather than providing that the wages or compensation of the employee 32
continues at the same rate until paid or for 30 days, whichever is less, section 3 33
requires an employer who fails to pay the wages or compensation of an employee 34
who has resigned, quit or been discharged or placed on nonworking status within 35
the required time to pay the employee an additional amount equal to the amount the 36
employee would receive for 8 hours of work at the rate of 1 1/2 times his or her 37
hourly wage rate for each day or portion of a day that the wages or compensation to 38
which the employee is entitled and any additional amount required by section 3, are 39
not paid or for 30 days, whichever is less. 40
Existing law sets forth procedures by which the Cannabis Compliance Board 41
may take disciplinary action against a licensee or registrant who violates a 42
provision of existing law governing the cannabis industry in this State or any 43
regulation adopted by the Board. (NRS 678A.500-678A.647) Existing law sets 44
forth various disciplinary actions the Board is authorized to take against a licensee 45
or registrant if the Board finds that the licensee or registrant committed such a 46
violation. (NRS 678A.600) Additionally, existing law authorizes the Board to 47
resolve any matter concerning a licensee or registrant who has allegedly committed 48
such a violation by entering into a consent or settlement agreement with the 49
licensee or registrant. (NRS 678A.645) 50
Section 7 of this bill requires a cannabis establishment to comply with all 51
federal and state labor laws. Sections 4 and 6 of this bill prohibit the Board from 52
entering into a consent or settlement agreement with a licensee who has allegedly 53
violated that requirement. Instead, section 5 of this bill requires the Board, if the 54
Board finds that a licensee has violated that requirement, to revoke the license of 55
the licensee. 56
THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN
SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:
Section 1. NRS 608.020 is hereby amended to read as follows: 1
608.020 1. Whenever an employer discharges an employee, 2
the wages and compensation earned and unpaid at the time of such 3
discharge shall become due and payable immediately. 4
2. Whenever an employer places an employee on a nonworking 5
status, the wages earned and unpaid at the time the employee is 6
placed on nonworking status are due and payable immediately. 7
3. As used in this section [, “nonworking] : 8
(a) “Compensation” includes, without limitation, fringe 9
benefits. 10
(b) “Nonworking status” means the temporary layoff of an 11
employee by the employer whereby the employee remains 12
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employed and may be called back to work by the employer at a 1
future date. The term does not include an employee who an 2
employer: 3
[(a)] (1) Places on suspension pending an investigation relating 4
to employment; 5
[(b)] (2) Places on suspension pursuant to a disciplinary action 6
relating to employment; 7
[(c)] (3) Places on-call for available work; or 8
[(d)] (4) Approves to take a leave of absence. 9
Sec. 2. NRS 608.030 is hereby amended to read as follows: 10
608.030 1. Whenever an employee resigns or quits his or her 11
employment, the wages and compensation earned and unpaid at the 12
time of the employee’s resignation or quitting must be paid no later 13
than: 14
[1.] (a) The day on which the employee would have regularly 15
been paid the wages or compensation; or 16
[2.] (b) Seven days after the employee resigns or quits, 17
whichever is earlier. 18
2. As used in this section, “compensation” includes, without 19
limitation, fringe benefits. 20
Sec. 3. NRS 608.040 is hereby amended to read as follows: 21
608.040 1. If an employer fails to pay: 22
(a) [Within 3 days after] Not later than 5 p.m. on the calendar 23
day immediately following the day on which the wages or 24
compensation of a discharged employee becomes due; 25
(b) [Within 3 days after] Not later than 5 p.m. on the calendar 26
day immediately following the day on which the wages of an 27
employee placed on nonworking status pursuant to NRS 608.020 28
becomes due; or 29
(c) On the day the wages or compensation is due to an employee 30
who resigns or quits, 31
the employer shall, in addition to payment of the wages or 32
compensation of the employee [continues] which has become due 33
pursuant to NRS 608.020 or 608.030, as applicable, pay to the 34
employee an amount equal to the amount the employee would 35
receive for 8 hours of work at the [same] rate [from the day the 36
employee resigned, quit or was discharged or placed on nonworking 37
status until] of 1 1/2 times his or her hourly wage rate for each day 38
or portion of a day that the wages or compensation due pursuant 39
to NRS 608.020 or 608.030, as applicable, and any additional 40
amount required by this subsection are not paid or for 30 days, 41
whichever is less. 42
2. Any employee who secretes or absents himself or herself to 43
avoid payment of his or her wages or compensation, or refuses 44
to accept them when fully tendered to him or her, is not entitled to 45
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receive the payment thereof for the time he or she secretes or 1
absents himself or herself to avoid payment. 2
3. For the purposes of subsection 1, the hourly wage rate of 3
an employee must be: 4
(a) For an employee who is paid wages by the employer at a 5
rate based on an hour of time, the hourly wage rate of the 6
employee as of the day on which the employee resigned, quit or 7
was discharged or placed on nonworking status. 8
(b) For an employee who is paid wages by the employer by 9
salary, piece rate or any other wage rate except for a wage rate 10
based on an hour of time, the amount of wages earned by the 11
employee in the pay period in which the day the employee 12
resigned, quit or was discharged or placed on nonworking status 13
falls, or if the employee has not earned any amount of wages 14
during that pay period, the immediately preceding pay period, 15
divided by the number of hours worked by the employee during the 16
pay period. 17
Sec. 4. NRS 678A.510 is hereby amended to read as follows: 18
678A.510 1. If the Executive Director transmits the details of 19
a suspected violation to the Attorney General pursuant to NRS 20
678A.500, the Attorney General shall conduct an investigation of 21
the suspected violation to determine whether it warrants proceedings 22
for disciplinary action of the licensee or registrant. If the Attorney 23
General determines that further proceedings are warranted, he or she 24
shall report the results of the investigation together with a 25
recommendation to the Executive Director in a manner which does 26
not violate the right of the person charged in the complaint to due 27
process in any later hearing on the complaint. The Executive 28
Director shall transmit the recommendation and other information 29
received from the Attorney General to the Board. 30
2. The Board shall promptly make a determination with respect 31
to each complaint resulting in an investigation by the Attorney 32
General. The Board shall: 33
(a) Dismiss the complaint; 34
(b) [Enter] Except for a complaint involving a suspected 35
violation of subsection 8 of NRS 678B.510 by a licensee, enter into 36
a consent or settlement agreement with the licensee or registrant 37
pursuant to NRS 678A.645; or 38
(c) Proceed with appropriate disciplinary action in accordance 39
with NRS 678A.520 to 678A.600, inclusive, chapter 233B of NRS 40
and the regulations adopted by the Board. In determining the 41
disciplinary action to impose the Board shall consider mitigating 42
factors pursuant to NRS 678A.647. 43
Sec. 5. NRS 678A.600 is hereby amended to read as follows: 44
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678A.600 1. [If] Except as otherwise provided in subsection 1
2, if the Board finds that a licensee or registrant has violated a 2
provision of this title or any regulation adopted pursuant thereto, the 3
Board may: 4
(a) Limit, condition, suspend or revoke the license or 5
registration card of the licensee or registrant; 6
(b) Impose a civil penalty in an amount established by 7
regulation, not to exceed $20,000 for a single violation; 8
(c) Take any combination of the actions authorized by 9
paragraphs (a) and (b); 10
(d) Issue a warning to the licensee or registrant; or 11
(e) Take no action against the licensee or registrant. 12
2. If the Board finds that a licensee has violated subsection 8 13
of NRS 678B.510, the Board shall revoke the license of the 14
licensee. 15
3. In determining the appropriate action to be taken against a 16
licensee or registrant pursuant to [this section,] subsection 1, 17
including, without limitation, the amount of any civil penalty 18
imposed, the Board shall consider whether any of the mitigating 19
circumstances set forth in NRS 678A.647 exist. 20
Sec. 6. NRS 678A.645 is hereby amended to read as follows: 21
678A.645 1. The Board may, at any time, resolve a matter 22
involving a licensee or registrant who has allegedly violated a 23
provision of this title or any regulation adopted pursuant thereto , 24
other than an alleged violation of subsection 8 of NRS 678B.510, 25
by entering into a consent or settlement agreement with the licensee 26
or registrant so long as the terms of the agreement, and any 27
modification of those terms, are discussed and approved at a 28
meeting of the Board. 29
2. In determining whether to approve or modify the terms of a 30
consent or settlement agreement pursuant to subsection 1, the Board 31
shall consider whether any of the mitigating circumstances set forth 32
in NRS 678A.647 exist. 33
3. The Board shall state on the record in any meeting in which 34
the terms of a consent or settlement agreement are approved or 35
modified pursuant to subsection 1: 36
(a) The determination of the Board as to whether any of the 37
mitigating circumstances set forth in NRS 678A.647 exist; and 38
(b) If the Board determines that any of the mitigating 39
circumstances exist, the weight given by the Board to each 40
mitigating circumstance in determining whether to approve or 41
modify the terms of the agreement. 42
4. If the terms of a consent or settlement agreement impose a 43
civil penalty, the statement required by paragraph (b) of subsection 44
3 must specify the weight given by the Board to each mitigating 45
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circumstance in determining whether to approve or modify the 1
amount of the civil penalty. 2
Sec. 7. NRS 678B.510 is hereby amended to read as follows: 3
678B.510 1. The operating documents of a cannabis 4
establishment must include procedures: 5
(a) For the oversight of the cannabis establishment; and 6
(b) To ensure accurate recordkeeping. 7
2. Except as otherwise provided in this subsection, a cannabis 8
establishment may have more than one entrance so long as each 9
entrance is secure and shall implement strict security measures to 10
deter and prevent the theft of cannabis and unauthorized entrance 11
into areas containing cannabis. The provisions of this subsection do 12
not supersede any state or local requirements relating to minimum 13
numbers of points of entry or exit, or any state or local requirements 14
relating to fire safety. 15
3. Except as otherwise provided in NRS 678D.400, all 16
cultivation or production of cannabis that a cannabis cultivation 17
facility carries out or causes to be carried out must take place in an 18
enclosed, locked facility at the physical address provided to the 19
Board during the licensing process for the cannabis cultivation 20
facility. Such an enclosed, locked facility must be accessible only by 21
cannabis establishment agents who are lawfully associated with the 22
cannabis cultivation facility, except that limited access by persons 23
necessary to perform construction or repairs or provide other labor 24
is permissible if such persons are supervised by a cannabis 25
establishment agent. 26
4. A cannabis establishment that is not a cannabis consumption 27
lounge shall not allow any person to consume cannabis on the 28
property or premises of the establishment. 29
5. Cannabis establishments are subject to reasonable inspection 30
by the Board at any time, and a person who holds a license must 31
make himself or herself, or a designee thereof, available and present 32
for any inspection by the Board of the cannabis establishment. 33
6. Each cannabis establishment shall install a video monitoring 34
system which must, at a minimum: 35
(a) Allow for the transmission and storage, by digital or analog 36
means, of a video feed which displays the interior and exterior of the 37
cannabis establishment; and 38
(b) Be capable of being accessed remotely by a law enforcement 39
agency in real-time upon request. 40
7. A cannabis establishment shall not dispense or otherwise sell 41
cannabis or cannabis products from a vending machine or allow 42
such a vending machine to be installed at the interior or exterior of 43
the premises of the cannabis establishment. As used in this 44
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subsection, “vending machine” has the meaning ascribed to it in 1
NRS 209.229. 2
8. A cannabis establishment shall comply with all state and 3
federal labor laws. 4
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