Five months after Colorado's new Equal Pay for Equal Work Act became effective, employers are still struggling with understanding this law and related guidance, and how to comply. On November 10, 2020, the Colorado Department of Labor and Employment (CDLE) issued its final Equal Pay Transparency (EPT) Rules implementing Colorado's Equal Pay for Equal Work Act, which goes into effect January 1, 2021. While the state labor department says most companies comply after learning of a violation, the Equal Pay law is still creating confusion for employers statewide. A. What jobs need to be posted now and what information is required to be included? Beginning January, employers in Colorado must (1) provide formal notice to Colorado employees of "promotional . According to the CDLE final rules, a promotional opportunity exists when the employer has or anticipates a vacancy in an existing or new position that could be considered a promotionfor one or more employee(s). Promotional Posting Requirements J. Buckner, Rep. S. Gonzales-Gutierrez, Sen. J. Bridges, Sen. L. Court, Sen. K. Donovan, Sen. S. Fenberg, Sen. R. Fields, Sen. M. Foote, Sen. L. Garcia, Sen. J. Ginal, Sen. J. Gonzales, Sen. P. Lee, Sen. D. Moreno, Sen. R. Rodriguez, Sen. T. Story, Sen. N. Todd, Sen. A. Williams, Sen. F. Winter, Sen. R. ZenzingerRep. Drop us a note at tips@coloradosun.com. Now they must disclose the promotion to all workers. The median annual pay of full-time working women was only 80 cents for each dollar a man working full-time earned in 2016. December 21, 2020. was signed into law by Colorado Governor Polis on May 22, 2019. * Amendments passed in committee are not incorporated into the measure unless adopted by the full House or Senate. Federal and Colorado equal pay laws prohibit employers from discriminating against individuals by retaliation because they engaged in a protected activity. In other words, he added, employers already have a sense of what theyre willing to pay and how much their competitors do. But Colorados law wasnt perfect. Companies need to go beyond wage transparency if they really want to address pay equity. Employees may also contact campus HR or also submit a question or concern at any time using the CU Boulder Employees Compensation & Equal Pay for Equal Work Act Questions form. This isnt a complicated regulatory regime or complex benefit, Johnson said. They need to look at where the really big gaps are and ask why is that there? The Colorado Department of Labor and Employment ("CDLE") has released new guidance on the Equal Pay for Equal Work Act ("EPEW"), taking a much harder line on Colorado employers whose remote job postings exclude Colorado applicants. CU Boulder, along with each campus and system office of the University of Colorado, is evaluating the requirements of the new law and reviewing existing policies and pay practices for alignment. Specifically, the law has changed the way employers post jobs, promotions, hire, determine pay, and keep records. UCB 565 All Rights Reserved. Friday Development: New Sanctions and Export Controls to Address Weekly IRS Roundup February 20 February 24, 2023, Everything to Know About Unbundled Legal Services. From the workers perspective though, having extra knowledge of what a job actually will pay creates a starting point that helps workers in the long run, even if its not an instant fix for the wage gap, said Michelle Jones, president of BPT Staffing in Centennial, which places IT workers of color. There's a clear movement across the country for greater pay transparency and workers' rights, but Colorado's Equal Pay law remains the most expansive. The NLR does not wish, nor does it intend, to solicit the business of anyone or to refer anyone to an attorney or other professional. Theres a form online to report wage transparency violators. Colorados Equal Pay for Equal Work Act became effective at the beginning of 2021, but employers across the state continue to have questions about the scope of the new law. In an apparent response to employers who have excluded Colorado residents from their applicant pools since the CEPEWA took effect on January 1, 2021, Revised INFO #9 also provides: "Thus, a remote job posting, even if it states that the employer will not accept Colorado applicants, remains covered by the Act's transparency requirements: the . Some recent settlements include: The Act and the CDLE final rules do not provide any geographic limitation on promotional opportunities that must be announced; employers should announce promotional opportunities in all states to Colorado-based employees. Statement in compliance with Texas Rules of Professional Conduct. Employers operating, even on a limited basis, in Colorado should be aware of Colorados recentwage disparity and discrimination bill, which takes effect in 2021 and imposes widespread requirements related to record-keeping, disclosure, and transparency. A. filed a lawsuit in the U.S. District Court for the District of Colorado against the Colorado Department of Labor and . View the resource pages for the 2021-22 Equity Increases: Staff Equity Review & 2021-22 Equity Increases, Faculty Equity Review & 2021-22 Equity Increases, 2022-23 Staff Compensation Work in Progress. The Act applies to any entity employing at least one employee working in Colorado. Others didnt have the top amount, only a + sign, as in Salary Range: $70,000 95,000+. And some openings offered full benefits but no description as to what those benefits were. >> Weekly schedule, How old are you? When introduced four years ago, Colorado's Equal Pay law sought to equalize pay for substantially similar work. was signed into law by Colorado Governor Polis on May 22, 2019. $10.63 / Hour for tipped employees, Colorado Department of Labor and Employment, 633 17th Street, Suite 201 Should they be? U.S. economy grew slower News that the nations economy is still growing was a relief as talk of recession continued. Join the fun and support good journalism. On May 22, 2019, Colorado Governor Polis signed the "Equal Pay for Equal Work Act" into law, one of the toughest state pay equity laws in the country. Effective January 1, 2021, Part 2 of the Equal Pay for Equal Work Act, C.R.S. Not surprisingly, the Act has led to a number of questions for employers. 303-492-6475 The Division investigates complaints against employers concerning transparency in pay and employment opportunities. The Equal Pay for Equal Work Act (C.R.S. Privacy Legal & Trademarks Campus Map. That is now a violation of the law.. Spot a job listing in violation of the Equal Pay law? We will monitor the developments in Colorado and provide updates as warranted, so you should ensure you are subscribed to Fisher Phillips Insight system to gather the most up-to-date information. There are so many bottomline benefits to transparency, especially in terms of attracting candidates and retaining talent. This page has timelines for upcoming rulemaking, copies of current and previous rules, recordings and transcripts from previous rulemaking, and comments received. Email tamara@coloradosun.com with stories, tips or questions. When introduced four years ago, Colorados Equal Pay law sought to equalize pay for substantially similar work. (Note: This summary applies to this bill as enacted.). A promotional opportunity must be provided for any job tied to a location in Colorado, a remote job, or a job tied to a location outside of Colorado. Under the new law, employers are prohibited from paying an employee of one sex (including gender identity) a wage rate less than the rate paid to an [] Colorado's Equal Pay for Equal Work Act goes into effect on January 1, 2021, and applies to all entities with at least one employee in Colorado, including public bodies, schools, and private individuals. 8-5-101 et seq., requires employers to include compensation in job postings, notify employees of promotional opportunities, and keep job description and wage rate records. Singer, Rep. E. Sirota, Rep. T. Sullivan, Rep. B. Titone, Rep. A. Valdez, Rep. M. Weissman, Rep. J. Arndt, Rep. S. Bird, Rep. M. Froelich, Rep. M. Gray, Rep. L. Herod, Rep. T. Kraft-Tharp, Rep. J. McCluskie, Rep. M. Snyder, Rep. K. Tipper, Rep. D. Valdez. Employers that violate the job posting requirements may be required to pay a fine of between $500 and $10,000 for each violation. While the Colorado Department of Labor and Employment has attempted to provide clarity around the job posting and pay transparency provisions in the Act adopting Equal Pay Transparency Rules, issuing its Statement of Basis, Purpose, Specific Statutory Authority, and Findings, and providing its Interpretive Notice and Formal Opinion #9 there remain some common compliance questions that are not easily uncovered in these documents. An employer can be sued for changing the schedule (without) a two-week advance notice, Furman said. Some of that has to do with the competition for workers as businesses reopened in the pandemic. The promotional and compensation posting requirements are two particularly challenging areas to understand. But it wasnt perfect, apparently. Employees who believe they have been unlawfully discriminated against with their compensation or have experienced or witnessed a violation of this policy shall promptly report the matter to the Office of Institutional Equity & Compliance (OIEC). But even California is now working on revamping its law. Danielson is joined by two of the three prime sponsors of the original bill, including Sen. Janet Buckner, an Aurora Democrat and Rep. Serena Gonzales-Gutierrez, a Denver Democrat. The general description language was intended to clarify that a specific range or monetary value of bonus compensation and other benefits were not required. Dec'21- Dec'22: 104,700, 2023 Minimum Wage Effective January 1, 2021, this act amends Colorado law and provides new wage discrimination and employer provisions that differ from federal law and other state equal pay laws. More by Tamara Chuang, Got a story tip? Maybe theyre not hitting the skills that they need and thats why the gap is there, she said. Including compensation and benefits in job postings is required for all jobs tied to a location in Colorado or a remote job. Employers are also required to maintain records of job descriptions and wage rate history for each employee while employed and for 2 years after the employment ends. Customer Reviews: Five-Star Enforcement and the Expanding Regulations. Just visit the Colorado General Assembly schedule and press the audio icon to listen. But heres one suggestion: I would love to see a bill that lets the public see how much big companies pay their shareholders while causing consumer prices to skyrocket and keeping workers pay low.. First Offshore Wind Energy Lease Sales in the Gulf of Mexico, Telephone and Texting Compliance News: Litigation Update February 2023. When businesses provide workers with schedules 14 days in advance and provide at least 12 hours of rest time between shifts, its a win-win for employers and employees alike, Nina DiSalvo, policy director at Towards Justice, said in an email. This story was updated at 5:03 p.m. on July 13, 2022 to share more details about the Colorado Department of Labor and Employment letter to Monigle Associates and how the company attempted to rectify the issue. A. Also read: COUNTERPOINT | 'Bad businesses need not hire here' If they notice in their pay audits that a Hispanic female business analyst at one level is paid less than a male business analyst at a lower level, that should trigger an alert that somethings not quite right, she said. June 29, 2021. He is an experienced trial lawyer with first-chair trial experience before state and federal trial Elizabeth M. Rowe is an associate in the Labor and Employment Practice Group in the firm's Chicago office. The Denver branding firm was out of compliance with a new state law requiring job listings to include salaries. Supporters of Colorados pay-transparency law eye protections for workers blackballed by national employers, Whats Working: Colorado asks how much does that job pay? For student assistants, substantially similar work is determined by the type and level of work as assigned by the hiring department, school or college. In May of 2019, Colorado Governor Jared Polis signed the Equal Pay for Equal Work Act into law. The main provisions of the EPEWA are summarized below. Copyright 2023, Sheppard Mullin Richter & Hampton LLP. Plus: Wage transparency violators fined, other labor bills and more. Refer to the HR Staff Compensation page for information on compensation practices for staff. Has the law helped you as a job seeker or been a burden as an employer? Johnson, with the National Womens Law Center, said ideally, a federal law would help employers nationwide set uniform policies for all workers instead of changing depending on the state. And a few years later, now we have a different labor market, a tighter labor market where employers are starting to provide value ranges voluntarily even if they arent in a state with a law because they know it helps attract candidates.. Colorado's Equal Pay for Equal Work Act (EPEWA) goes into effect January 1, 2021, and the Division of Labor Standards and Statistics within the Colorado Department of Labor and Employment issued proposed regulations on September 29, 2020, regarding equal pay transparency. >> Read, Thanks for sticking with me for this weeks report. Whats Working is a Colorado Sun column about surviving in todays economy. Remote jobs are not addressed in the draft bill. The Act also contains several broader obligations and prohibitions intended to increase pay transparency, including: Requiring employers to announce opportunities for promotion or advancement; Requiring employers to disclose hourly or salary compensation and benefits for each posting or job opening; and. Colorado Equal Pay for Equal Work Act. But the states average wage has grown faster than the rest of the nation. This upcoming Colorado Equal Pay law includes 2 new rules to do with job postings, as pointed out by the Boulder Area Human Resources Association: The Act requires that employers do not discriminate between employees on the basis of sex, or on the basis of sex in combination with another protected status, by paying an employee of one sex a wage rate less than the rate paid to an employee of a different sex for substantially similar work, unless the pay difference is based on a seniority system; a merit system; a system that measures earnings by quantity or quality of production; the geographic location where the work is performed; education, training or experience to the extent that they are reasonably related to the work in question; or travel, if the travel is a regular and necessary condition of the work performed. Nonetheless, it has proven wildly successful in ensuring equal pay, regardless of sex, of $0.00 per hour for Colorado job seekers. The Act will go into effect on January 1, 2021. The law which was passed in 2019 and took effect at the start of this yearushered in a range of rules regarding employee compensation, including new procedures for adjudicating sex-based wage. No attorney-client or confidential relationship is formed by the transmission of information between you and the National Law Review website or any of the law firms, attorneys or other professionals or organizations who include content on the National Law Review website. Dont even ask. If you would ike to contact us via email please click here. Enacting one of the toughest enhanced state pay equity laws to date, Colorado has become the tenth state in the country to pass an equal pay law that is more demanding than federal law. Colorado employers, public and private, should prepare to comply with the Equal Pay for Equal Work Act (EPEWA), which will become law on January 1, 2021. Rep. Jennifer Bacon, also a Denver Democrat, is also a prime sponsor. >> Read, Why energy bills shot up 52% Thats how much the average Xcel Energy utility bill rose in December from a year ago, said a Colorado Public Utility Commission economist in a story by Sun reporters Joshua Perry and Mark Jaffe. >> Read story. A draft shared with The Colorado Sun attempts to clarify the difference between career progression for existing workers versus a job opportunity. The latter means a current or anticipated vacancy that needs to be filled. (House Bill 19-085), CDLE Webinar: Equal Pay for Equal Work Act - July 13, 2021NEW, Colorado Division of LaborStandards and Statistics| 303-318-8441|Contact Us, Unemployment Rate - December 2022 Wage differentials must be based on a factor other than sex, race, disability status, or other protected class status. Reminder: High-Earning Exempt Professionals Must Be Paid a "True Gold Dome Report Legislative Day 24 (2023). The exceptions to the job postings requirements are (1)confidentiality from an incumbent employee being replaced, (2)automatic promotion after a trial period of up to a year, and (3)temporary/acting/interim hire for up to six months (employer must post if the position becomes permanent). The states Equal Pay for Equal Work law influenced new laws in other states. Dollarwise, thats $34.62 an hour in Colorado as of May, compared with $31.95 in the U.S. How we know that the law is working is that there was some initial employer resistance to disclosing salary, Seligman said. An employee includes any person employed by an employer covered by the Act. Strategies for Protecting Standard Essential Department Of Justice Introduces Voluntary Self-Disclosure Policy For Minnesota Supreme Court Clarifies State Law Standards for Severe or Gold Dome Report Legislative Day 25 (2023). Is there, she said in compliance with Texas Rules of Professional Conduct draft shared with the general. 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