Wage and Hour Claims with Colorado Department of Labor and Employment

When employers fail to pay wages owed to employees either during employment or after termination the employee has rights under Colorado labor and employment law to seek recovery of wages. One option is to file a wage and hour claim with the Colorado Department of Labor and Employment. Administrate wage claims to the Colorado agency may be filed by the employee directly or by Denver employment lawyers representing the employee. Wage and hour complaints to the Colorado Department of Labor and Employment do not cover all unpaid wages or all types of employment law claims. For this reason you should talk to an unpaid wage attorney in Colorado before filing any claims with the Colorado agency.

Colorado Department of Labor and Employment unpaid wages claims

Wage and hour claims filed with the Colorado Department of Labor and Employment are governed by Colorado Revised Statutes 8-4-101 et seq. This employment code includes the Colorado Wage Act and its amendments in the Colorado Wage Protection Act of 2014. The Wage Protection Act expanded the powers of the Colorado Department of Labor and Employment to investigate and order payment of unpaid wages to employees.

Wage and hour complaints filed for unpaid wages are free for employees and offer an alternative to a long and costly lawsuit for unpaid wages. This administrative complaint process for unpaid wages may result in an order against the employer for payment of wages. Note that this process is different from filing a complaint with the federal Department of Labor for unpaid minimum wage or overtime pay under the Fair Labor Standards Act.

Colorado Department of Labor and Employment complaints for unpaid wages

An employee filing a wage and hour complaint, with or without an employment lawyer, can recover only within the limits of the Colorado Wage Protection Act and Colorado Wage Act for this administrative process. Employees may have greater options to recover in a lawsuit or other venue. For example, an administrative claim cannot award attorney’s fees and may only award penalties as permitted by statute.

A wage complaint filed with the Colorado DOLE can only order recovery of wages up to $7500 including:

-Unpaid wages for work performed in Colorado including unpaid final paychecks
-Minimum wage violations
-Unauthorized deductions from paychecks
-Non-payment of overtime pay (as applicable)
-Non-payment of vacation pay earned under an employer’s policy
-Bounced paychecks
-Unlawfully withheld tips
-Unpaid commissions
-Unpaid bonuses
-Meal and rest period disputes (as applicable)

An employee with a claim for more than $7500 or for an employment law claim other than $7500 of wages must pursue remedies in other venues, such as a lawsuit or arbitration. Employees may elect to send a demand for payment to the employer before filing an administrative complaint, which can add penalties if the employer fails to pay due wages.

Demand for Payment of Wages

Under Colorado employment law and employee may choose to send the employer a demand for payment of wages. If the employee sends a demand for payment of wages and the employer fails to pay all wages owed by fourteen days then the employer may be assessed penalties by the department. Sending a demand for payment of wages does not initiate an administrative complaint with the Colorado DOLE. If the employer fails to pay all earned and unpaid wages then the employee must file an administrative complaint with the department to initiate a claim.

If the employer fails to comply with the demand for payment of wages then the department can order payment of penalties to the employee in the amount of 125% of wages owed or up to ten days of the employee’s normal wages, whichever is greater. This amount is paid to the employee in addition to the unpaid wages. Additionally, the department can order payment of fines by the employer. Fines are paid to the department, not the employee.