Each year, activity in the Colorado Legislature and courts brings about change to employers in the state. Below is a brief summary of recent changes and items for employers to consider as they look forward to 2018.
Minimum Wage Increase
Effective January 1, 2018, the minimum wage will increase from $9.30 per hour to $10.20 per hour and from $6.28 per hour to $7.18 per hour for tipped employees. To qualify as a tipped employee, the employee must customarily and regularly receive more than $30.00 a month in tips. The increase to minimum wage will also impact employees who are exempt from overtime under Colorado's "Commission Sales Exemption." To be exempt from overtime, these sales employees must work in the retail or service industry and be paid on a commission basis, with 50% or more of their total earnings in a pay period derived from commissions and their regular rate of pay at least one and one-half times the state minimum wage (so they must earn at least $15.30 per hour).
Colorado Anti-Discrimination Act (CADA) Right to Discuss Wages Broadened
Employers who were exempt from the provisions of the National Labor Relations Act (NLRA) were not covered by CADA's prohibition of discriminating against employees for discussing their wages. CADA has been amended to now cover those employers exempt from the NLRA, which are generally governmental entities, Federal Reserve banks, and entities subject to the Railway Labor Act. This amendment became effective on August 9, 2017.
Colorado Wage Theft Transparency Act Violations are Public Record
This change became effective on April 13, 2017. The law makes violations of the Colorado Wage Act subject to Open Records Act disclosure. Specifically, the Colorado Department of Labor and Employment (CDLE) will treat any Notice of Citation or Notice of Assessment issued to employers as public record after an employer has exhausted all appeals available.
The CDLE will inform employers of an Open Records Act request, and the employer will have twenty days to demonstrate that the information or some portion thereof is a trade secret. If the CDLE determines the information or part constitutes a trade secret, it will be treated as confidential and not subject to release. Once released, the information may be provided to the public and used in court proceedings. For more information, see our Client Alert here.
Workers' Compensation Mental Impairment Further Defined
Definitions for "psychologically traumatic event" and "serious bodily injury" have been added, and the definition of "mental impairment" has been revised under the Colorado workers' compensation statutes. Specifically, the definitions identify that mental impairment may include being subject to the use of deadly force or witnessing a death or serious bodily injury or the immediate aftermath of the same as a psychologically traumatic event for purposes of workers' compensation coverage.
Fingerprinting for Criminal Background Checks
Individuals being considered for employment that requires a fingerprinting as part of the criminal background check previously were required to have their fingerprints taken by a local law enforcement agency. The new law allows third-party vendors, who are approved by the Colorado Bureau of Investigation, to take fingerprints electronically to expedite the process.
As a reminder, new laws were passed last year, such as CADA amendments to address accommodations for pregnant workers, a law providing employees access to their personnel files, and greater whistleblower protections for state employees. Read more about these laws in our Client Alerts here and here.
The new year is an excellent time to have your handbook and company procedures reviewed by legal counsel. The Lewis Brisbois Labor and Employment Law group is available to review your employee handbook and audit your employment practices for compliance.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
