The Colorado Division of Labor Standards and Statistics (CDOL) enforces wage laws and helps employees recover unpaid wages. Under the Colorado Wage Act and Colorado Wage Order, employees have the right to timely payment of earned wages, including commissions and bonuses.
Workers can file a wage claim with the CDOL if their employer fails to pay owed wages. The claim limit is $7,500, and the agency investigates violations to ensure compliance with state labor laws.
How the Colorado Wage Complaint Process Works
Employees can start a wage claim by submitting a Wage Complaint Form to the Colorado Division of Labor Standards and Statistics (CDOL). Once received, the CDOL reviews the claim and investigates if necessary.
For covered claims, the Division will investigate the complaint and determine if the Colorado wage and hour laws have been violated. After receiving the Wage Complaint form, the Division may ask additional questions to the employee-claimant. If there is sufficient evidence that wages are owed, the Division will send the employer a Notice of Complaint (“NOC”) with an explanation of the allegations, the relevant law, and a copy of the wage complaint and supporting documents.
Employers must respond within the given timeframe. After reviewing the evidence, the CDOL issues a final determination:
- Citation and Notice of Assessment – If the employer is found in violation, they must pay the wages owed, plus potential penalties.
- Notice of Compliance – If the employer is found compliant, the case is closed with no further action.
Learn more about the Colorado Wage Act
Penalties and Fines: Consequences for Colorado Employers Who Fail to Pay Earned Compensation
Employers who fail to pay earned wages within 14 days of a valid written demand or Notice of Complaint (NOC) face automatic penalties. If the employer’s failure is willful—meaning they knowingly or recklessly violated the law—additional penalties apply.
- Automatic penalty: 2x the unpaid wages
- Willful violation penalty: 3x the unpaid wages
Beyond wage penalties, employers may also face fines for non-compliance, including:
- Failure to pay wages: Up to $50 per day for each unpaid day (subject to reduction for good-faith efforts or increase for bad faith)
- Failure to respond to CDOL notices: $250 per non-response
- Failure to provide pay statements upon request: $250 per month
If wages remain unpaid for 60 days, penalties and fines increase. Additionally, employees may recover certain claim costs, and if represented by an attorney and awarded more than $5,000, they may also receive attorney’s fees.
Appeal Rights for Colorado Wage Determinations
Employees and employers may appeal a wage determination by filing an appeal with the Colorado Division of Labor Standards and Statistics (CDOL) within 35 days of the decision.
The Appeal Process:
- Submitting an Appeal – The appeal must be received by the CDOL within 35 days of the wage determination.
- Case Review & Hearing – The CDOL will provide an appeal record containing all claim documents and will either:
- Issue a Notice of Hearing with the date, time, and participation instructions (phone or video).
- Explain why a hearing is unnecessary.
- Hearing Officer Decision – After reviewing the case, the Hearing Officer will issue a final decision.
- Judicial Review – If either party disagrees with the outcome, they may seek judicial review by filing in the appropriate Colorado district court within 35 days of the Hearing Officer’s decision.
Appealing a determination does not typically extend the payment deadlines outlined in the Notice of Assessment.
Questions about Colorado wages? Contact our Denver Employment Lawyers
Enforcing Employer Compliance: What Happens After 60 Days?
If an employer fails to pay wages within 60 days of a wage determination, the Colorado Division of Labor Standards and Statistics (CDOL) imposes increased fines and penalties and may take further enforcement actions.
CDOL’s Enforcement Actions:
- Increased Penalties – Employers face higher fines for continued non-payment.
- Court Judgments – The CDOL may file a certified copy of the determination in court, making it an official court judgment against the employer.
- Freezing Assets – If necessary, the CDOL can issue orders to freeze employer assets to secure payment of owed wages.
Holding Colorado Employers Accountable
The CDOL enforces wage laws to protect employees and ensure compliance. Employees can file wage claims for unpaid wages up to $7,500, and employers who violate wage laws face significant penalties, especially for willful non-payment. After 60 days, non-compliant employers risk escalating fines, court judgments, and asset freezes.
Contact Baird Quinn, LLC for Wage and Hour Legal Assistance
Navigating wage and hour claims under the Colorado Wage Act can be complex. Baird Quinn, LLC provides experienced legal guidance to employees facing unpaid wage disputes, helping them understand their rights and pursue the compensation they are owed.
If you need legal assistance with a wage claim, unpaid commissions, or employer non-compliance, contact Baird Quinn, LLC today for expert support.