Hello,
no, JoomSEF will remember the original URL if you change the category names. (due to the fact search engines may have them already indexed).
If you want to change the category URL also, you may use the URL editor of JoomSEF and rewrite the existing URLs. These may be then stored as "custom" URLs. Also, you will be given option to automaticle create a 301 redirect, so JoomSEF will automatically tell search engine crawlers, the page location was changed and you shall not loose your positions.