This bill amends several sections of the Reissue Revised Statutes of Nebraska to clarify the relationship between franchisors, franchisees, and their employees. It introduces definitions for "franchise," "franchisee," and "franchisor" in alignment with federal regulations, establishing that franchisors are generally not considered employers of franchisees or their employees. However, it specifies circumstances under which a franchisor may be deemed an employer, such as when they exercise direct control over essential employment terms like wage rates and hiring decisions. The bill also modifies laws regarding workers' compensation and employment security to reflect these definitions, ensuring that franchisors are not classified as employers unless they meet the outlined criteria.

Additionally, the bill clarifies the definition of "employer" to exclude certain entities, including the United States and state political subdivisions, as well as franchisors unless specific conditions are met. It protects franchisors from liability for wages owed by franchisees unless they are considered employers under the act. The bill also expands definitions related to employment, including those concerning marital status, sex discrimination, and accommodations for pregnant individuals. Key changes include the introduction of provisions that outline factors determining undue hardship for employers regarding reasonable accommodations, as well as amendments to the process for employees to claim unpaid wages, including the recovery of attorney's fees in successful claims. Overall, the bill aims to enhance employee protections while providing clearer guidelines for compliance by employers.

Statutes affected:
Introduced: 48-114, 48-116, 48-603, 48-1102, 48-1202, 48-1229, 48-1231