2.2 Exemption from all except Rules 1, 2, and 8. COMPS Order 36 provides two narrow exceptions from the requirement that employers provide 10-minute, off-duty rest periods for every four hours worked. 8.8 Separability. Because a rest period requires 10 minutes of pay without work being performed, work during a rest period is additional work for which additional pay is not provided. 36 informational page, outlines critical wage rights and responsibilities that are to take effect March 16, including minimum-wage eligibility, overtime pay for work in excess of 40 hours in a week or 12 hours in a day . On a go-forward basis, employees should be required to acknowledge COMPS Order 36 or the Poster (which may be part of the handbook) at hire. The COMPS Order, like the prior issued wage orders, is the source of critical Colorado wage rights and responsibilities beyond those provided by federal law: eligibility for the Colorado minimum wage, overtime pay for work past 40 hours per week and 12 hours per day, meal and rest breaks, and other employee and employer rights and COMPS Order 36 deviates in important ways from the federal Fair Labor Standards Act (FLSA), including by defining any tasks taking over one minute as time worked, eliminating any de minimis exception, and requiring workers to actually cross state lines to be engaged in interstate commerce. Thus, for the first time on March 16, 2020, a vast swath of private sector employers will be subject to Colorados overtime, meal and rest break, travel time, and exemption rules that previously were limited to four discrete industries. (E) Range workers in jobs related to herding or production of livestock on the range who occupy employer-provided housing as part of their employment and are provided without cost or deduction any housing, food, transport, and equipment required for H2-A visa range workers by federal regulations (20 C.F.R. as either: (A) enrolled students receiving credit for an unpaid work-study program or internship; or (B) bona fide volunteers for non-profit organizations. An employee receiving less than the full wages or other compensation owed is entitled to recover in a civil action the unpaid balance of the full amount owed, together with reasonable attorney fees and court costs, notwithstanding any agreement to work for a lesser wage, pursuant to C.R.S. References to the Colorado Minimum Wage Order shall be deemed to reference the COMPS Order, as the successor to the Colorado Minimum Wage Order. It adds an exemption for the highest-ranked and highest paid employee of a non-profit, as long as that person is paid within the minimum salary threshold discussed below. Such meal periods, to the extent practical, shall be at least one hour after the start, and one hour before the end, of the shift. Employers may be required by law to post certain posters. is an acknowledgement and witnessing a signature the same thing. Print. 6.2.3 Tip Credit. In order to be exempt from overtime requirements, Colorado employees must now meet a rising minimum salary threshold that exceeds the federal threshold: $40,500 on Jan. 1, 2021 $45,000 on Jan. 1, 2022 $50,000 on Jan. 1, 2023 $55,000 on Jan. 1, 2024 Minimum Wage and Overtime Poster Notice of Paydays Employment Security Act FAMLI Program Notice FAMLI Break Room Poster Employers should be mindful that certain payment that are excluded from the regular rate of pay under the FLSA are not expressly excluded by COMPS Order 36, leading to a potential need to run separate state and federal overtime calculations. An employer shall retain records reflecting the information contained in an employees itemized earnings statement as described in this rule for at least 3 years after the wages or compensation were due, and for the duration of any pending wage claim pertaining to the employee. The COMPS Order regulates wages, hours, working conditions, and procedures for all employers and employees for work performed within Colorado, with the exceptions and exemptions contained within Rule 2. Under Colorado law, for shifts in excess of five hours, employees are entitled to an uninterrupted, duty-free, 30-minute meal period. For employers covered by prior Minimum Wage Orders, COMPS Order 36 provides some clarification, but does not materially change, their obligations with respect to pay for travel time, as the prior orders defined travel time as all time spent at the control or direction of an employer, excluding normal home to work travel. This definition is significantly more expansive than the definition of compensable travel time under the FLSA (as amended by the Portal to Portal Act), however, imposing heightened obligations on employers not in one of the four previously covered industries. 7.4.2 Distribution. On the March 16, 2020 effective date, the Colorado Department of Labor and Employment Division of Labor Standards and Statistics ("Division") adopted three temporary changes to the Order, as well as a one-month compliance grace period. Every employer that requires employees to sign any handbook, manual, or policy shall, at the same time or promptly thereafter, include a copy of the COMPS Order, or a COMPS Order poster published by the Division, and have the employee sign an acknowledgement of being provided the COMPS Order or the COMPS Order poster. The COMPS Order rejects those decisions and imposes a much more onerous requirement that employers generally pay for any time worked over one minute. In addition, a signed acknowledgment of the new order is required. On January 22, 2020, the Colorado Department of Labor adopted the final Colorado Overtime and Minimum Pay Standards Order #36 ("COMPS Order"), which makes significant changes for both exempt and non-exempt employees. endobj a notary may perform a copy certification of records obtained from which office. Copies may be obtained from the Division of Labor Standards & Statistics at a reasonable charge. The COMPS order has left many unanswered questions. The COMPS Order, like the prior issued wage orders, is the source of critical Colorado wage rights and responsibilities beyond those provided by federal law: eligibility for the Colorado minimum wage, overtime pay for work past 40 hours per week and 12 hours per day, meal and rest breaks, and other employee and employer rights and responsibilities, such as what wage deductions are permissible, how hourly rates are calculated from non-hourly pay for overtime, and posting the Order's provisions to employees for ease of access. 1.8.1 Pay included in regular rate. The COMPS Order is a comprehensive regulatory change to Colorado minimum wage, overtime, and working condition rules, and imposes significant new obligations and restrictions on employers. 1.6 Employer, as defined by C.R.S. Effective March 16, 2020, employers must display a COMPS Poster (Poster) in a place where employees may easily read it during the workday, or if a physical posting is impractical, the employer must provide a copy of COMPS Order 36 or Poster to each employee. 8-4-101(14). A meal credit, equal to the reasonable cost or fair market value of meals provided to the employee, may be used as part of the minimum hourly wage. % Every employer shall keep at the place of employment, or at the employers principal place of business in Colorado, a true and accurate record for each employee which contains the following information: (A) name, address, occupation, and date of hire of the employee; (B) date of birth, if the employee is under 18 years of age; (D) record of credits claimed and of tips; and. These records must be maintained for a period of at least three years and for the duration of any pending wage claim pertaining to a given employee. COMPS Order #36 is the currently-effective state wage and hour law for employers in Colorado. COMPS Order Adopted On January 22, 2020, the Colorado Department of Labor and Employment (CDLE) adopted its "COMPS" Order, which replaces what has previously been known as the Colorado. While COMPS Order 36 does not contemplate monetary penalties for failure to comply with the posting requirements, it provides that failure to comply may result in ineligibility for employee-specific credits, deductions, or exemptions. Colorado: COMPS Order Acknowledgment Form; View/Print PDF Forms : Colorado: COMPS Order Acknowledgment Form . November 30, 2020 Early this year, COMPS Order #36 made substantial changes in Colorado wage law. 6.3.2 The cost of ordinary wear and tear of a uniform or special apparel shall not be deducted from an employees wages. This acknowledgment should be included when issuing or updating a handbook, but employers aren't required to reissue the handbook merely to update the COMPS . When the nature of the business activity or other circumstances make an uninterrupted meal period impractical, the employee shall be permitted to consume an on-duty meal while performing duties. Acknowledgement of Receipt of Colorado Overtime and Minimum Pay Standards Order (COMPS Order #38) Poster Handbook Statement: Colorado [insert COMPS Order Poster] I acknowledge that Access to the Employee Handbooks product requires a subscription Learn More Request a Demo Already an XpertHR user? (B) Property managers residing on-premises at the property they manage. 1.12 Workday means any consecutive 24-hour period starting with the same hour each day and the same hour as the beginning of the workweek. 2.3.2 The Rule 2.3.1 exemption does not apply if an employer draws at least 50% of its annual dollar volume of business from sales to the consuming public (rather than for resale) of any services, commodities, articles, goods, wares, or merchandise.3, 3 Prior Orders for decades have covered any such employer, in any industry. As detailed below: The weekly salary from July 1, 2020, through December 31, 2020, shall be $684 ($35,568 per year4), then shall be $778.85 for 2021, $865.38 for 2022, $961.54 for 2023, and $1,057.69 for 2024, and then shall be indexed every January 1 by the same Consumer Price Index (CPI) as the Colorado minimum wage; except that the 2020 salary does not apply to the following two categories of employers, to whom the below salary schedule applies only as of January 1, 2021 (A) non-profit employers with annual total gross revenue of under $50 million, and (B) for- profit employers with annual total gross revenue of under $1 million. Referred to as Colorado Overtime and Minimum Pay Standards (COMPS), these rules make significant and far-reaching changes to most parts of Colorado's compensation laws, including overtime pay, rest periods, and travel compensation. 2 The Rule 1.6 definition of employer parallels the statutory amendment to the employer definition enacted by Colorado H.B. 1.8.2 Regular rate for employees paid a weekly salary or other non-hourly basis. Second, Colorado state law provides more robust coverage than current federal overtime law. The Division's Statement of Basis, Purpose, Authority, and Findings for COMPS Order #38 offers more detail on the nature, basis for, and findings underlying the changes made to the COMPS Order. 8.5 Reprisals. E.g., Order #35, Rule 2(A) (covering any employer that sells or offers for sale, any service, commodity, article, good, wares, or merchandise to the consuming public and draws 50% or more of its annual dollar volume from such sales, rather than from sales to other businesses for resale.). COMPS Order 36 applies to virtually all private employers in Colorado and overhauls wage and pay regulations, including overtime, meal and rest breaks, exemption tests, and numerous other areas. Colorado: 3.3% CFR Title 47. These changes, adopted Nov. 10, 2021, include Colorado Overtime and Minimum Pay Standards (COMPS) Order #38; 2022 Publication and Yearly Calculation of . Simply choose your state, look for a form, and download a state-specific template. COMPS Order 36 has proven to be an overhaul of existing Colorado law, reaching many employers previously exempt from prior wage orders. On January 22, 2020, the Colorado Department of Labor and Employment issued new rules that will overhaul the state's wage-and-hour laws. Unlike with meal periods, employers need not permit employees to leave the premises for their rest periods. (a) In this title: (1) "Acceptor" means a drawee who has accepted a draft. COMPS Order 36 replaces prior Minimum Wage Orders, which covered only four industries, and expands Colorado overtime, meal and rest break, and travel time requirements, as well as exemption tests, among other rules, to virtually all private employers in the state. 201 et seq.). Meal Periods Employees shall be entitled to an uninterrupted and duty-free meal period of at least a 30-minute duration when the shift exceeds five consecutive hours of work. 3.3 Reduced Minimum for Certain People with Disabilities and Minors. A lodging credit for housing furnished by the employer and used by the employee may be considered part of the minimum wage if it is: (A) no greater than the smaller of (1) the reasonable and actual cost to the employer of providing the housing, (2) the fair market value of the housing, or (3) $25 per week for a room (in a shared residence, dormitory, or hotel) or $100 per week for a private residence (an apartment or a house); (B) accepted voluntarily and without coercion, and primarily for the benefit 6.2 Credits Toward Minimum Wages. As such, for employees paid near the minimum salary level who work a high number of hours, it may be necessary to pay additional compensation in workweeks where the employee works a great number of hours. The Colorado Department of Labor and Employment (CDLE) has adopted new rules, effective Jan. 1, 2022, pertaining to overtime and minimum pay, adjusted labor compensation and wage protection. The COMPS Order is intended to remain in effect to the maximum extent possible. The Colorado Overtime and Minimum Pay Standards Order ("COMPS Order") is the source of key wage rights and responsibilities: eligibility for the Colorado minimum wage; overtime pay for work over 40 hours a week or 12 a day; meal and rest breaks; and rules on wage deductions, on what work time must be paid, and on posting the COMPS Order to employees. Section 8 - Colorado Addendum 84 8-1. This exemption covers a salaried employee, paid at least the applicable salary in Rule 2.5, who directly serves the executive, and regularly performs duties important to the decision-making process of the executive. Colorado Enacts New Wage Protection Rules The Colorado Department of Labor and Employment recently published final rules on overtime and minimum pay and other wage and hour protections for. 8-4-101, et seq. Every employer shall authorize and permit a compensated 10-minute rest period for each 4 hours of work, or major fractions thereof, for all employees, as follows: 5.2.1 Rest periods shall be 10 minutes unless, (A) on a given workday, or in a writing covering up to a one-year period that is signed by both parties, the employee and the employer agree, voluntarily and without coercion, to have two 5-minute breaks, as long as 5 minutes is sufficient, in the work setting, to allow the employee to go back and forth to a bathroom or other location where a bona fide break would be taken; or. (D) interruptions to perform duties are considered time worked. By July 1, 2024, the COMPS Order will impose a $55,000 minimum salary threshold for an employee to qualify as exempt. Portions of the COMPS Order have been amended annually, to adjust the minimum wage for inflation as the Colorado Constitution requires, and to adjust similar wage figures. The COMPS Poster reflects major provisions of the COMPS Order including the 2020 minimum wage rate and tip credit, overtime pay . 4.3 Overtime for Minors. This partial overtime exemption does not apply to ski area employees performing duties related to lodging. COMPS Order 36 provides that, to the extent practical, meal periods must occur at least one hour after starting and one hour before ending shifts. All sources cited or incorporated by reference are available for public inspection at the Colorado Department of Labor and Employment, Division of Labor Standards & Statistics, 633 17th Street, Suite 600, Denver CO 80202. The Colorado Overtime and Minimum Pay Standards Order #36 ("COMPS Order") is now effective, but with some last-minute changes and a temporarily modified enforcement scheme. Read more items tagged with the same topics US Jurisdictions Colorado Manage your tracked topics > (5) "Maker" means a person who signs or is identified in a note as a . 1.2 Incorporation by reference. Most provisions become effective March 16, 2020, with the exception of the increased salary thresholds, which begin on July 1, 2020. L1gUskihs0Y)V"WD\ u[|L9,iaa"2ih:` N\,#MJ"'a:
Qe]V7STVA'"SJf0i}V[, .B&tyVwEzE~@Os7]I l*uKQfn ,YNh LPm_5!wt (m7,._^J{E2[X|5~RDm!o-lsIl4-Ftey0fW,4"""""2Ma2romE`ih6R}V`RnRWW1d&V ?GF.e{H([/N/peS,|}F|D. The employee must spend a minimum of 50% of the workweek in duties directly related to supervision. Colorado has followed the sweeping changes to its minimum wage, overtime, and other wage and hour rules implemented under Colorado Overtime and Minimum Pay Standards (COMPS) Order #36 with more changes, including a revamped transportation worker exemption. (C) Student residence workers working in premises where they reside for sororities, fraternities, college clubs, or dormitories. If pay is on a piece- rate, salary, commission, or other non-hourly basis, any overtime compensation is based on an hourly regular rate calculated from the employees pay. In response this blog noted that the CDLE has just issued some additional information. This applies to certain salespersons and mechanics, qualifying commission sales employees, certain employees in the ski industry, and qualifying medical transportation workers. 2.5.2 Exemption for Certain Professionals Exempt from the Salary Requirement under Federal Wage Law. In an abundance of caution, employers can ensure compliance by providing a copy of COMPS Order 36 or Poster to everyone in their current workforce on or about March 16, 2020 and obtaining a signed acknowledgment. 2.2.1 Administrative employees. (2) "Drawee" means a person ordered in a draft to make payment. Rule 1.8 of COMPS Order 36 sets forth which items are included in the calculation of an employees regular rate of pay, as well as how to calculate the regular rate for those employees who are paid a weekly salary or on some other non-hourly basis. Under Rules 7.1 and 7.3, employers are required to maintain records of an employees (a) name, address, occupation, and date of hire; (b) date of birth, if the employee is under 18 years of age; (c) daily record of all hours worked; (d) record of credits claimed and of tips; and (e) regular rates of pay, gross wages earned, withholdings made, and net amounts paid each pay period. Under the C.R.S. Violations may be subject to the administrative procedure as described in the Colorado Wage Act, C.R.S. Any person may register with the Division a written complaint that alleges a violation of the COMPS Order within 2 years of the alleged violation(s), except that actions brought for a willful violation shall be commenced within 3 years. XpertHR is part of the LexisNexis Risk Solutions Group portfolio of brands. Additionally, COMPs Order #36 set Colorado's minimum wage at $12 per hour. It includes time employers permit or require employees to be on the premises, on-duty, or at prescribed workplaces, but does not include merely permitting an employee completely relieved from duty to arrive or remain on the premises. In prior minimum wage orders, the meal credit requirement stated the employee had to consume the meal before the deduction was permitted. Following is the appropriate contact information to communicate with us about the COMPS Order: Employer or employee questions on substance of COMPS rules: , 633 17th Street, Denver, CO 80202.The hearing was transcribed, and a draft of the, , in addition to all the comments received, and the. Pay stubs still must comply with the Colorado Wage Acts required pay statement elements, however, including: (a) gross wages earned; (b) all withholdings and deductions; (c)net wages earned; (d) inclusive dates of the pay period; (e) name of the employee or the employees Social Security number; and (f) name and address of the employer. "Time Worked" Includes Any Task Taking Over One Minute. 19-1267, effective January 1, 2020. 8-4-101(6), has the same meaning as in the federal Fair Labor Standards Act at 29 U.S.C. Having knowledgeable resources and teams to help guide you through this will be of utmost importance. Rule 7 CCR 1103-1-2 - Coverage and Exemptions 2.1 Scope of coverage. Similarly, the minimum salary threshold for exemptions requiring a salary (such as for administrative, executive, and professional employees) will increase to $778.85 per week ($40,500.20 per year). 5.2.4 When an employee is not authorized and permitted a required 10-minute rest period, his or her shift is effectively extended by 10 minutes without compensation. In defining an employer, COMPS Order 36 incorporates the definition under the FLSA, with some minor exceptions. 8.2 Complaints. 201, 3.2 Minimum and Overtime Wage Requirements of Other Applicable Jurisdictions. 4.1.5 In calculating when 12 consecutive hours are worked for purposes of the Rule 4.1.1 requirement of overtime after 12 hours, meal periods may be subtracted, but only if the meal periods comply with the Rule 5.1 requirements for meal periods. For individuals covered under COMPS Order #38, the following rules apply. Learn More or Request a Demo. 8-4-105, are also permitted. (B) Subpart included in cross-references. Were ready for your tomorrow because were built for it. 24-4-103. 2.5.1 For exemptions requiring a salary, the Salary Requirement rules of the federal Fair Labor Standards Act in 29 C.F.R. When work-related interruptions prevent 5 hours of sleep, the employee shall be compensated for the entire workday. Register today to find other auction properties in Colorado. An itemized earnings statement of the information in Rule 7.1 shall be provided to each employee each pay period. 5 This salary requirement of minimum wage for all hours work applied under Minimum Wage Order #35 (2019) and prior Minimum Wage Orders. (1) the application of systems analysis techniques and procedures, including consulting with users, to determine hardware, software, or system functional specifications, (2) the design, development, documentation, analysis, creation, testing, or modification of computer systems or programs, including prototypes, based on and related to user or system design specifications, or. AS explained in that post, employers should review the CDLE's summary . (A) Availability of court action or Division administrative complaint. 2.1 Scope of coverage. <> 2023 The Lore Law Firm | Attorney Advertisement |, Colorado Overtime and Minimum Pay Standards Order (COMPS Order) #36, Website Design by Omnizant - View site in new window. COMPS Order 36 defines compensable time worked as all time performing labor or services for an employers benefit, including all time employees are suffered or permitted to work, whether or not required. Employees must be completely relieved of all duties and permitted to pursue personal activities, including by leaving the premises if desired. It is unlawful to employ workers in any occupation under conditions of labor detrimental to their health or morals.); 8-6-105 (It is the duty of the director to inquire into the wages paid to employees and into the conditions of labor in any occupation if the director has reason to believe conditions of labor are detrimental to the health or morals of said employees or that the wages paid to a substantial number of employees are inadequate to supply the necessary cost of living and tomaintain such employees in health.); 8-6-106 (The director shall determine the minimum wages sufficient for living wages ; standards of conditions of labor and hours not detrimental to health or morals for workers; and what are unreasonably long hours.); 8-6-108 ([F]or the purpose of investigating any of the matters [s/]he is authorized to investigate by this article [t]he director has power to make reasonable and proper rules and procedure and to enforce said rules and procedure.); 8-6-109 (If after investigation the director is of the opinion that the conditions of employment surrounding said employees are detrimental to the health or morals or that a substantial number of workers in any occupation are receiving wages inadequate to supply the necessary costs of living and to maintain the workers in health, the director shall proceed to establish minimum wage rates.); 8-6-111 (Overtime, at a rate of one and one-half times the regular rate of pay, may be permitted by the director under conditions and rules and for increased minimum wages which the director. Every employer subject to the COMPS Order must display a COMPS Order poster published by the Division in an area frequented by employees where it may be easily read during the workday. The Statement of Basis, Purpose, Authority, and Findings accompanying the spring 2020 modifications explains the modifications considered and adopted at that time. a notary must be an employee of a financial institution. As previously discussed on this blog, the Colorado Division of Labor and Employment recently finalized its new wage order, titled COMPS Order 36. (A) Doctors, lawyers, and teachers who qualify as exempt Rule 2.2.3 professional employees need not receive any particular salary or hourly pay to be exempt. In workdays requiring multiple rest periods under Rule 5.2, rest periods need not total exactly 10 minutes in each 4-hour period, as long as an employee: (A) receives rest periods that average, over the workday, at least 10 minutes per 4 hours worked; and. An employer must pay a cash wage of at least $8.98 per hour if it claims a tip credit against its minimum hourly wage obligation; if an employees tips combined with the cash wage of at least $8.98 per hour do not equal the minimum hourly wage, the employer must make up the difference in cash wages. The public hearing on COMPS Order #36 was held on Monday, December 16, 2019 at 3:00 pmat theColorado Division of Labor Standards and Statistics, 12th Floor Conference Room, 633 17th Street, Denver, CO 80202.The hearing was transcribed, and a draft of thetranscript is publicly available, in addition to all the comments received, and the transcript of the Division's pre-rulemaking public meeting which took place on August 28, 2019. 8.4 Violations. 4.1.3 Hours worked in two or more workweeks shall not be averaged for computing overtime. Where an uninterrupted or off-duty meal period is impractical, such as when an employee is single-staffed and required to monitor the phones during their meal period, the employee must be permitted to consume an on-duty meal while performing duties.