6.1 Employment at Will
Nebraska is an “employment-at-will” state, which means that agricultural employees or employers may terminate an employment arrangement whenever they choose. Neither party is obligated to give notice or cause of termination.
However, there are some cases in which employees are protected from termination.
For example, discrimination is prohibited by law. If an employee believes their termination was based on their age, race, sex, or other protected characteristic, that employee should contact the Nebraska Equal Opportunity Commission.
Employers also cannot fire employees as retaliation for filing workers’ compensation claims, reporting employer wrongdoing to a state or federal agency, or exercising their rights in another similar manner.
Contractual promises that ensure job security can sometimes override at-will status.
If an employee is terminated, the Nebraska employer must pay the final paycheck by the next regular payday or within two weeks of the termination, whichever is sooner.
6.2 Final Wages
Nebraska law requires employers to pay employees the wages they have earned when employment ends. Under Nebraska Revised Statute, wages generally include compensation for labor or services, whether the pay is calculated by time, task, piece, commission, or other methods. For many farm and ranch operations, this may include hourly pay, piece-rate work, or agreed-upon salary arrangements.
Best practice for agricultural employers is to:
- Provide the employee’s final paycheck promptly after termination or resignation
- Ensure all hours worked, including recent or seasonal labor, are properly recorded and paid
- Follow any written policies your operation has regarding unused leave or other compensation
Because operations often rely on a mix of seasonal and year-round employees, maintaining accurate payroll records is especially important if a question about final wages arises later.
Agricultural employers should also be aware that state and federal wage laws can still apply depending on the size and structure of the operation and the type of work performed. The Nebraska agricultural workforce overview published by National Dairy FARM Program highlights that labor compliance including payroll and wage practices continues to be an important part of managing risk on modern livestock and dairy operations.
6.3 Reporting Responsibilities After Termination
When an employee leaves your operation, there may be more reporting requirements depending on the situation. For example, if an employee has wage withholding related to child support or similar orders, employers may need to notify the appropriate state agency after the employee’s employment ends.
As with many labor compliance issues, the safest approach for agricultural employers is to:
- Review any active withholding orders connected to the employee
- Provide timely updates to the issuing agency if needed
- Keep documentation showing when the employee’s employment ended and when notification occurred
Taking these steps helps ensure your operation remains compliant and avoids potential penalties.
6.4 Insurance Benefits
If your operation offers health insurance or other benefits, termination may trigger important notices to the employee about continuing coverage. In some situations, federal law may allow employees and their families to continue health coverage for a limited time after employment ends.
Even when a farm or ranch is small and not required to offer continuing coverage, it is good practice to:
- Clearly explain when benefits end
- Provide written information about any continuation options that may apply
- Document that the information was shared with the employee
This communication can prevent confusion and maintain goodwill with former employees.
6.5 Exit Interviews
Exit interviews are not required, but they can be especially useful for farm and ranch managers. When an employee voluntarily leaves, taking time for a brief conversation can provide insight into how your operation is running and where improvements might help retain future employees.
For agricultural operations, an exit interview can help you understand:
- What worked well for the employee on your farm or ranch
- Challenges they experienced with workload, scheduling, or supervision
- Whether training and communication were clear
- Ideas that could improve employee retention or safety
Many employers find it helpful to have someone other than the direct supervisor conduct the interview, when possible. This can encourage more honest feedback. Questions might focus on:
- Positive and negative experiences working on the operation
- Reasons for leaving
- Suggestions for improving the workplace
- Whether the employee felt safe and supported on the job
- Whether compensation and expectations were clear
Exit interviews can also help capture practical information about unfinished tasks, livestock care routines, equipment use, or projects the employee was handling before they leave.
Practical takeaway for Nebraska producers:
Even though Nebraska is an employment-at-will state, thoughtful documentation, clear policies, and respectful communication go a long way toward reducing legal risk and keeping your operation running smoothly. These practices are especially important as agricultural operations grow and rely more on hired labor.