Search

Colorado: Terms of Employer’s Vacation Policy Control Whether Accrued, Unused Vacation Must Be Paid

Colorado Employers: On September 24th, 2020 the Colorado Court of Appeals issued a favorable decision for employers in regards to whether an employer must pay out accrued, unused vacation to a separated employee when the vacation policy states that the employer will not make this payout.


The Colorado Wage Claim Act (CWCA) requires employers to pay to separated employers any unpaid wages and compensation within a specified period of time after employment has ended. Historically, vacation pay was included in this bucket because it was 'earned' and therefore payable upon separation even if an employer's policy stated that earned vacation would not be paid.


Recap from Holland and Hart:

https://www.hollandhart.com/colorado-court-of-appeals-terms-of-employers-vacation-policy-control-whether-accrued-unused-vacation-time-must-be-paid-out-at-separation


Decision:

https://f.datasrvr.com/fr1/620/84923/Blount_Inc._vs._CDLE_Decision.pdf


If you are an employer and not sure how to address this policy issue, I encourage you to contact the experts at Apex HRO for an immediate policy review.

1 view0 comments

Recent Posts

See All

Ready for Colorado's Equal Pay for Equal Work Act?

Colorado Equal Pay for Equal Work Act On January 1, 2021, Colorado’s new pay equity law, the “Equal Pay for Equal Work Act,” will become effective. Regulations by the Colorado Department of Labor and

Colorado Voters Pass Proposition 118

Colorado Proposition 118 (Colorado Paid Family and Medical Leave Insurance Act) was passed by voters and is slated to go into effect in 2023. Here are some key details that will directly impact Colora

© 2020 by Apex HRO, LLC
Unauthorized use and/or duplication of this material without express and written permission from this site’s author and/or owner is strictly prohibited. Excerpts and links may be used, provided that full and clear credit is given to Apex HRO, LLC with appropriate and specific direction to the original content.
  • Facebook
  • LinkedIn