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Hiring coverage thresholds: 8 NLRB and ADA lines to check

Each law sets its own coverage line, so check the NLRB dollar lines, the ADA 15-employee line, and state lines one at a time. The National Labor Relations Board has statutory jurisdiction over private sector employers whose activity in interstate commerce exceeds a minimal level, National Labor Relations Board. The ADA covers employers with 15 or more employees, including state and local governments, U.S. Equal Employment Opportunity Commission. Nevada’s private-employer line is 50 or more employees in private employment in this State, Nevada Legislature.

Employer coverage thresholds: the short answer

No single headcount or dollar figure decides which hiring rules reach your firm. The NLRB measures jurisdiction through interstate commerce activity, not employee count, so a small firm with high out-of-state sales may fall under its rules while a larger local firm may not. The ADA uses a 15-employee threshold, which is a headcount-based line distinct from the NLRB’s dollar-based standards. State laws like Nevada’s set their own lines, such as the 50-employee mark for private employment under NRS Chapter 608.

Because these lines differ by law and by publisher, you cannot rely on one generic 15-employee rule to determine all coverage. The NLRB’s dollar lines use gross annual volume of business for retail, health care, law, and cultural and educational employers, while the goods-or-services inflow and outflow measure applies only to non-retailers. The ADA’s 15-employee line applies to employers including state and local governments, creating a separate headcount trigger. Nevada’s 50-employee line applies to private employment in that state, which is a different threshold from both the federal lines.

To determine which rules apply, measure your firm against each line separately. First, calculate your gross annual volume of business to check against the NLRB standards. Second, count your total employees to see if you meet the ADA’s 15-employee line. Third, identify the state where each hire works to check against state-specific lines like Nevada’s 50-employee threshold. Each of these checks uses a different metric and a different source, so they must be performed individually.

You should write down your firm’s gross annual volume of business, its headcount, and the state where each hire works. Then check each line in the reference table against those numbers. This approach ensures you do not miss a rule that applies based on dollar volume while assuming you are below the line because your headcount is small. It also prevents you from assuming a state rule applies when your firm is below that state’s specific employee threshold.

Key takeaways

Who the rule covers: definitions in each source

The National Labor Relations Board defines its reach through activity in interstate commerce rather than a single headcount number. According to the National Labor Relations Board, the Board has statutory jurisdiction over private sector employers whose activity in interstate commerce exceeds a minimal level. This baseline applies to the private sector, meaning the rule does not automatically extend to government entities under this specific definition.

The practical scope of this jurisdiction is broad. The National Labor Relations Board notes that its jurisdiction covers the great majority of non-government employers with a workplace in the United States. This includes non-profits, employee-owned businesses, labor organizations, non-union businesses, and businesses in states with “Right to Work” laws. If your firm has a workplace in the U.S. and is not a government employer, it falls within the Board’s coverage only if it meets the applicable dollar line.

Specific industries are named within this coverage. The National Labor Relations Board lists employers in the amusement industry, apartment houses and condominiums, cemeteries, casinos, home construction, hotels and motels, restaurants and private clubs, and taxi services. If your firm operates in one of these sectors, the Board’s dollar-volume lines for that business type still determine coverage, so measure your volume against them.

State definitions of who counts as an employee can differ from federal standards. In Delaware, the definition is explicit about who is included. According to the Delaware General Assembly, “Employee” means a person employed full or part-time by any employer. This definition includes, but is not limited to, at-will employees, contract employees, independent contractors, and volunteer firefighters as defined in § 6651(c) of Title 16. For a separate guide to contractor status categories, see independent contractor status guide.

Check your firm’s location and industry against these definitions. If you are in Delaware, include independent contractors in your headcount for rules governed by that definition. If you are in another state, verify whether that state’s definition includes contractors, as the Delaware rule does not apply everywhere. The NLRB’s dollar-based jurisdiction is separate from these headcount definitions.

Thresholds: the lines you measure your firm against

The National Labor Relations Board (NLRB) uses specific dollar volume figures to determine jurisdiction, rather than a single employee count. You must measure your firm’s gross annual volume of business against these distinct lines to see if the Board’s rules apply.

Retail and commercial spaces For employers in retail businesses, the Board takes jurisdiction if the gross annual volume of business is $500,000 or more, according to National Labor Relations Board. Shopping centers and office buildings face a lower threshold of $100,000 per year. If your firm operates in these sectors, compare your total annual business volume directly to these two figures.

Inflow and outflow The Board also takes jurisdiction when annual inflow or outflow is at least $50,000. For a non-retailer, this measure is goods or services sold out of state, or goods or services purchased from out of state.

Health care and child care Health care and child care institutions have their own specific lines. Hospitals, medical and dental offices, social services organizations, child care centers, and residential care centers are under NLRB jurisdiction with a gross annual volume of at least $250,000. For nursing homes and visiting nurses associations, the minimum is $100,000. If you employ staff in these settings, check which category your firm fits and measure your volume against the corresponding number.

Law firms and legal services Law firms and legal service organizations have a minimum of $250,000 in gross annual volume. This line is separate from the retail and shopping center thresholds. If your firm provides legal services, use this $250,000 figure to determine if the Board’s jurisdictional standards reach your operations.

Cultural and educational centers For private and non-profit colleges, universities, and other schools, art museums, and symphony orchestras, the annual minimum is $1 million. This is the highest dollar threshold among the NLRB lines listed here. If your firm is a cultural or educational institution, you must meet or exceed this $1 million mark in annual volume to fall under the Board’s jurisdiction.

How to check your firm 1. Identify your firm’s primary business category (retail, shopping center, health care, law, cultural/educational, or other). 2. Calculate your gross annual volume of business. 3. If you are a non-retailer, also total your annual inflow and outflow, counting goods or services sold or provided out of state and goods or services bought from out of state. 4. Compare these figures to the specific NLRB line for your category. 5. If your volume meets or exceeds the line, the NLRB’s jurisdictional standards apply to your firm.

Illustrative example: a 15-employee firm

A hypothetical firm has 15 employees, one hire who works in Nevada, and a retail business. Step 1: the ADA line of 15 or more employees applies, so the firm meets that headcount line. Step 2: its gross annual volume of business is checked against the $500,000 retail line. Step 3: the Nevada line of 50 or more employees in private employment does not apply, because the firm has fewer than 50 private employees.

These NLRB lines are dollar-based. They do not replace the headcount-based lines for other laws, such as the ADA’s 15-employee threshold or state-specific lines. You must check each law’s coverage line separately. For a guide to other staff-size lines, see hiring laws at staff-size and age lines.

Reference table: coverage lines by publisher

The table below lists the NLRB and ADA thresholds measured against your firm's activity, with the publisher named in each row.

ThresholdPublisherRequirement
Retail business dollar volume National Labor Relations Board$500,000 gross annual volume
Shopping center and office building volume National Labor Relations Board$100,000 per year
Inflow or outflow of goodsNational Labor Relations Board $50,000 annual inflow or outflow
Health care and child care institutions National Labor Relations Board$250,000 gross annual volume
Nursing homes and visiting nursesNational Labor Relations Board $100,000 minimum
Law firms and legal service organizations National Labor Relations Board$250,000 gross annual volume
Cultural and educational centersNational Labor Relations Board $1 million annual minimum
ADA employer size lineU.S. Equal Employment Opportunity Commission15 or more employees

The National Labor Relations Board takes jurisdiction over private employers whose activity in interstate commerce exceeds a minimal level, with the specific dollar lines varying by business type. The ADA row reflects the employer size line that includes state and local governments. Measure your firm's gross annual volume of business and headcount against each line individually, as no single figure determines coverage for all hiring laws.

Records to keep: write down each line you checked

Non-retailer inflow and outflow For a non-retailer, the National Labor Relations Board measures jurisdiction by the amount of goods sold or services provided out of state, which it calls “outflow,” or the amount purchased from out of state, which it calls “inflow” ( National Labor Relations Board). Record both figures separately if your firm buys and sells across state lines.

Headcount Count the total number of employees. The New York City Commission on Human Rights requires annual sexual harassment prevention training for employers with 15 or more employees under Local Law 96 of 2018 ( New York City Commission on Human Rights). Note whether your headcount meets that 15-employee line.

State of each hire Identify the state where each hire works. The Nevada Legislature sets a line of 50 or more employees in private employment in this State ( Nevada Legislature). If you hire in Nevada, record whether your private-employee count reaches that 50-employee threshold.

Federal contractor status Note if your firm is a private contractor working for the federal government. The National Labor Relations Board states that private contractors who work for the federal government are under NLRB jurisdiction ( National Labor Relations Board).

Your figures Compare your recorded values to the specific thresholds in the reference table. If a number meets or exceeds a line, that rule applies to your firm. If it falls below, that specific rule does not reach your firm based on that metric. For a record of the decision itself, see Hiring Decision Debrief: Notes to a Recorded Decision.

Next step today: check your headcount and gross annual volume of business against the reference table, and save the result with your hiring records.

FAQ: Coverage questions about these lines

What are the employer coverage thresholds for hiring laws?

Each law sets its own line. The National Labor Relations Board uses dollar volume, the ADA uses 15 employees, New York City uses 15 employees, and Nevada uses 50 employees.

Does the 15-employee ADA line apply to my firm?

The ADA covers employers with 15 or more employees, including state and local governments, according to the U.S. Equal Employment Opportunity Commission. If your firm has 15 or more staff, this line applies to you.

How does the NLRB measure inflow and outflow?

For non-retailers, jurisdiction is based on the amount of goods sold or services provided by the employer out of state (“outflow”) or purchased by the employer from out of state (“inflow”), as defined by the National Labor Relations Board.

Which NLRB line applies to a law firm or a cultural center?

Law firms and legal service organizations face a $250,000 minimum in gross annual volume, while cultural and educational centers face a $1 million annual minimum, according to the National Labor Relations Board. These lines are distinct from the retail and shopping center thresholds.

Is a contract worker counted as an employee in Delaware?

Yes.

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