Colorado has established robust overtime laws that go beyond federal standards, offering greater protection to workers. Understanding these state-specific regulations is crucial for both employers and employees.
Key Features of Colorado Overtime Law:
Colorado’s minimum wage is higher than the federal minimum wage. As of January 1, 2024, it is $14.42 per hour for non-tipped employees and $11.40 for tipped employees. These rates increased to $14.81 and $11.79 respectively on January 1, 2025. The state constitution mandates annual adjustments based on inflation.
The statute of limitations for unpaid overtime claims in Colorado is 2 years under the Colorado Minimum Wages of Workers Act. This can be extended to 3 years for willful violations, similar to federal law.
Colorado employees can typically recover the following damages:
Colorado law allows for class action lawsuits for overtime violations, often combined with collective actions under the FLSA. These “hybrid” lawsuits provide a powerful tool for employees to seek redress for unpaid overtime.