Colorado Passes Onerous Pay Equity Law, Expanding the State Law Patchwork

May 23, 2019

Colorado Governor Jared Polis (D) signed the Equal Pay for Equal Work Act on May 22, 2019, resulting in Colorado becoming the most recent state to join the patchwork of state pay equity laws that employers must navigate. The Colorado pay equity law becomes effective January 1, 2021, giving employers time to prepare and come into compliance.

The Colorado equal pay law provisions The Colorado law prohibits employers from discriminating between employees on the basis of sex, or on the basis of sex in combination with another protected status, for “substantially similar work.”  The Colorado law includes specific affirmative defenses, but the defenses under the new law are narrower than those provided under the federal Equal Pay Act and other state pay equity laws and the Colorado defenses likely will be more difficult for employers to meet. Specifically, a difference in pay can be justified if the employer can demonstrate that the wage differential is based upon a seniority or merit system or a system that measures earnings by quantity or quality of production or the employer can demonstrate:

  • All factors are applied reasonably;
  • Each factor accounts for the entire wage differential; and
  • Prior wage history was not relied on to justify a disparity in current wage rates.

The Colorado law also has an explicit ban on asking for salary history or relying on the salary history of prospective employees to determine their wage rate.

Employees claiming wage discrimination have expanded litigation rights, including that claimants may circumvent the administrative process and allowing for two years to file a lawsuit, instead of the usual 300 days to file an EEOC charge. There also are expanded remedies, including back pay for the entire time the violation continues, not to exceed six years. Additionally, an employer may be liable for economic damages in an amount equal to the difference between the amount that the employer paid to the employee and the amount the employee would have received had there been no violation, plus liquidated damages.

There is a good-faith exception, however. The additional payments are not permitted if the salary disparity was unintentional. The burden is on the employer to demonstrate that the act or omission giving rise to the violation was done in good faith.

Additional challenges for multi-state employers operating in Colorado .  Colorado joins a number of other states in passing comprehensive equal pay legislation, and more states are likely to continue the trend in the near future.  It is critical that employers, particularly those operating in multiple states, quickly get up to speed on their varying obligations.  Moreover, proactive pay audits under the protection of attorney-client privilege and, where appropriate, pay adjustments, will put employers in the best possible position to defend against what we expect will be an increase in complaints of compensation discrimination.

FortneyScott’s Pay Equity practice is dedicated to guiding employers through the changing and challenging world of pay equity. FortneyScott’s attorneys in Denver, Colorado and Washington, DC advise employers on compliance with the new Colorado pay equity law and additional workplace matters. Please contact FortneyScott for legal counsel and advice on complying with the Colorado fair pay law and the additional federal and state fair pay laws, and to enable your company to “get pay equity right.”

September 18, 2025
Federal policies under the Trump Administration are reshaping workplaces nationwide. Employers must stay ahead of evolving laws and shifting EEOC priorities. Join FortneyScott attorneys on Thursday, September 18th at noon EDT to learn the key steps organizations should take now to ensure compliance with EEO laws influenced by these broader policy changes. Key Topics to be Covered Include: Status of the Commission and what to expect once there is a restored quorum; Current EEOC priorities , including protecting religious liberties, eliminating unlawful DEI, and reshaping sex discrimination; Notable EEOC enforcement actions, updates, and emerging trends; and Actionable strategies and key takeaways to ensure compliance with Title VII, the PWFA, etc . This webinar is the first in a four-part series designed for compliance professionals, in-house counsel, HR and inclusion leaders, and other business leaders responsible for labor and employment law compliance.
September 4, 2025
Federal policies under the Trump Administration are reshaping workplaces nationwide. Employers must stay ahead of evolving laws and shifting EEOC priorities. Join FortneyScott attorneys on Thursday, September 18 th at noon EDT to learn the key steps organizations should take now to ensure compliance with EEO laws influenced by these broader policy changes. Key Topics to be Covered Include: Status of the Commission and what to expect once there is a restored quorum; Current EEOC priorities , including protecting religious liberties, eliminating unlawful DEI, and reshaping sex discrimination; Notable EEOC enforcement actions, updates, and emerging trends; and Actionable strategies and key takeaways to ensure compliance with Title VII, the PWFA, etc. This webinar is the first in a four-part series designed for compliance professionals, in-house counsel, HR and inclusion leaders, and other business leaders responsible for labor and employment law compliance. To register for FortneyScott’s Workplace Legal Compliance training series, please click here .
September 2, 2025
During the first months of the Trump Administration employers have faced unprecedented challenges in understanding and keeping up with the rapidly changing legal environment. To assist our clients in successfully navigating these challenges, FortneyScott is initiating a four-month, complimentary training program addressing Workplace Legal Compliance. These new, original trainings will occur during September through December, 2025 and will include 4 monthly webinars, at least 4 podcasts of DC Insider—Employer Update and timely alerts as developments unfold. The trainings are designed to provide substantive updates and to assist employers in addressing the latest developments as part of their organization’s comprehensive workplace legal compliance program. How to Participate : Register now for the FortneyScott Workplace Legal Compliance webinars, podcast notifications and alerts: Register for all 4 webinars (September 18, October 23, November 20 and December 18). Register for notifications of new podcast episodes of DC Insider—Employer Update. Register for Workplace Legal Compliance alerts and updates. If you have an immediate questions or feedback, please contact any of the FortneyScott attorneys or email info@fortneyscott.com . Additional Background : Workplace legal compliance is essential for mitigating risk, protecting employees, and fostering a positive and reputable company culture. Adhering to federal, state, and local laws concerning labor, safety, and discrimination prevents costly penalties, lawsuits, and operational disruptions. Beyond simply avoiding legal and financial consequences, compliance builds trust with employees and other stakeholders by demonstrating a commitment to ethical conduct. This creates a fair and safe work environment that boosts employee morale, increases retention, and enhances overall productivity. By proactively managing legal responsibilities, an organization strengthens its reputation and brand image, which in turn can attract top talent and create a competitive advantage in the marketplace. FortneyScott’s Workplace Legal Compliance supports employers in meeting these objectives. Ultimately, legal compliance is not only a regulatory obligation – it is a strategic investment in the long-term success and integrity of your organization.
August 21, 2025
We are pleased to announce that FortneyScott attorney David Fortney has been recognized as one of The Best Lawyers in America for 2026, in recognition of outstanding achievement and contributions to the field of Labor and Employment law. This marks a continuation of his recognition in The Best Lawyers in America since 2008, reflecting a sustained commitment to excellence, innovation, and leadership. It underscores the impact of his work within the professional community. We extend our congratulations on this well-deserved recognition.
August 18, 2025
The U.S. Department of Justice (DOJ), Civil Division is sending Civil Investigative Demands (CIDs) to federal contractors seeking information on their DEI practices, under its authority to investigate False Claims Act (FCA) claims. Flowing from President Trump’s Executive Order 14173, which seeks to limit DEI efforts, the DOJ recently launched the Civil Rights Fraud Initiative, which utilizes the FCA to investigate and pursue claims against recipients of federal funds (including federal contractors) that their DEI practices violate federal civil rights laws. The focus of these investigations will likely be: Discriminatory preferences/goals: DEI programs that assign benefits or burdens based on race, ethnicity, or national origin. Use of proxies to mask discrimination: Practices using criteria like "cultural competence" or "lived experience" as proxies for protected characteristics in hiring or promotion decisions. Segregation in the workplace: Limiting membership in affinity groups or separating employees by protected characteristics during training. Discriminatory training programs: DEI training that promotes stereotypes, excludes individuals based on protected characteristics, or creates a hostile environment. Failure to protect against antisemitism: Institutions accepting federal funds that do not adequately address antisemitism or other civil rights violations. Organizations found to be in violation of the FCA can face significant penalties, including treble damages (three times the amount of damages incurred by the government), civil penalties for each false claim, and reputational harm. As a result, all federal contractors and grant recipients should be on high alert for any communication from DOJ and should immediately notify internal counsel if any such communication is received. Please contact your FortneyScott attorney or email us at info@fortneyscott.com for additional information on how to be prepared and to respond to these DOJ investigations and other best practices recommendations.
August 18, 2025
As the Trump Administration reshapes the U.S. Department of Labor (DOL), employers and federal contractors face significant shifts in agency leadership, budget priorities, enforcement programs, and regulatory strategies. Join FortneyScott attorneys for an in-depth webinar covering what these changes may mean for your organization. Key Topics to be Covered Include: New Leadership: Review of confirmed and pending DOL appointees, including Secretary Chavez-DeRemer and Deputy Secretary Keith Sonderling. Compliance & Self-Audit Programs: Expansion of opinion letter guidance and voluntary audit initiatives across W&H, VETS, OSHA, EBSA, MSHA, and OLMS. Aggressive Deregulatory Agenda: Efforts to revoke EO 11246 regulations, registered apprenticeship affirmative action requirements, and legacy EBSA guidance. Regulatory Revisions & Enforcement: Reforms to Section 503, VEVRAA, tip-credit rules, and child labor standards — including new penalty frameworks. Status of Biden-Era Rules: Updates on independent contractor, overtime, minimum wage, and PLA-related regulations. Proposed FY2026 Budget: 35% overall reduction, including workforce downsizing and potential elimination of OFCCP, Job Corp, and the Women’s Bureau. Strategic Considerations: How the return of the PAID program and potential OFCCP self-audit options may affect employer risk exposure.
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September 18, 2025
Federal policies under the Trump Administration are reshaping workplaces nationwide. Employers must stay ahead of evolving laws and shifting EEOC priorities. Join FortneyScott attorneys on Thursday, September 18th at noon EDT to learn the key steps organizations should take now to ensure compliance with EEO laws influenced by these broader policy changes. Key Topics to be Covered Include: Status of the Commission and what to expect once there is a restored quorum; Current EEOC priorities , including protecting religious liberties, eliminating unlawful DEI, and reshaping sex discrimination; Notable EEOC enforcement actions, updates, and emerging trends; and Actionable strategies and key takeaways to ensure compliance with Title VII, the PWFA, etc . This webinar is the first in a four-part series designed for compliance professionals, in-house counsel, HR and inclusion leaders, and other business leaders responsible for labor and employment law compliance.
September 4, 2025
Federal policies under the Trump Administration are reshaping workplaces nationwide. Employers must stay ahead of evolving laws and shifting EEOC priorities. Join FortneyScott attorneys on Thursday, September 18 th at noon EDT to learn the key steps organizations should take now to ensure compliance with EEO laws influenced by these broader policy changes. Key Topics to be Covered Include: Status of the Commission and what to expect once there is a restored quorum; Current EEOC priorities , including protecting religious liberties, eliminating unlawful DEI, and reshaping sex discrimination; Notable EEOC enforcement actions, updates, and emerging trends; and Actionable strategies and key takeaways to ensure compliance with Title VII, the PWFA, etc. This webinar is the first in a four-part series designed for compliance professionals, in-house counsel, HR and inclusion leaders, and other business leaders responsible for labor and employment law compliance. To register for FortneyScott’s Workplace Legal Compliance training series, please click here .
September 2, 2025
During the first months of the Trump Administration employers have faced unprecedented challenges in understanding and keeping up with the rapidly changing legal environment. To assist our clients in successfully navigating these challenges, FortneyScott is initiating a four-month, complimentary training program addressing Workplace Legal Compliance. These new, original trainings will occur during September through December, 2025 and will include 4 monthly webinars, at least 4 podcasts of DC Insider—Employer Update and timely alerts as developments unfold. The trainings are designed to provide substantive updates and to assist employers in addressing the latest developments as part of their organization’s comprehensive workplace legal compliance program. How to Participate : Register now for the FortneyScott Workplace Legal Compliance webinars, podcast notifications and alerts: Register for all 4 webinars (September 18, October 23, November 20 and December 18). Register for notifications of new podcast episodes of DC Insider—Employer Update. Register for Workplace Legal Compliance alerts and updates. If you have an immediate questions or feedback, please contact any of the FortneyScott attorneys or email info@fortneyscott.com . Additional Background : Workplace legal compliance is essential for mitigating risk, protecting employees, and fostering a positive and reputable company culture. Adhering to federal, state, and local laws concerning labor, safety, and discrimination prevents costly penalties, lawsuits, and operational disruptions. Beyond simply avoiding legal and financial consequences, compliance builds trust with employees and other stakeholders by demonstrating a commitment to ethical conduct. This creates a fair and safe work environment that boosts employee morale, increases retention, and enhances overall productivity. By proactively managing legal responsibilities, an organization strengthens its reputation and brand image, which in turn can attract top talent and create a competitive advantage in the marketplace. FortneyScott’s Workplace Legal Compliance supports employers in meeting these objectives. Ultimately, legal compliance is not only a regulatory obligation – it is a strategic investment in the long-term success and integrity of your organization.
August 21, 2025
We are pleased to announce that FortneyScott attorney David Fortney has been recognized as one of The Best Lawyers in America for 2026, in recognition of outstanding achievement and contributions to the field of Labor and Employment law. This marks a continuation of his recognition in The Best Lawyers in America since 2008, reflecting a sustained commitment to excellence, innovation, and leadership. It underscores the impact of his work within the professional community. We extend our congratulations on this well-deserved recognition.
August 18, 2025
The U.S. Department of Justice (DOJ), Civil Division is sending Civil Investigative Demands (CIDs) to federal contractors seeking information on their DEI practices, under its authority to investigate False Claims Act (FCA) claims. Flowing from President Trump’s Executive Order 14173, which seeks to limit DEI efforts, the DOJ recently launched the Civil Rights Fraud Initiative, which utilizes the FCA to investigate and pursue claims against recipients of federal funds (including federal contractors) that their DEI practices violate federal civil rights laws. The focus of these investigations will likely be: Discriminatory preferences/goals: DEI programs that assign benefits or burdens based on race, ethnicity, or national origin. Use of proxies to mask discrimination: Practices using criteria like "cultural competence" or "lived experience" as proxies for protected characteristics in hiring or promotion decisions. Segregation in the workplace: Limiting membership in affinity groups or separating employees by protected characteristics during training. Discriminatory training programs: DEI training that promotes stereotypes, excludes individuals based on protected characteristics, or creates a hostile environment. Failure to protect against antisemitism: Institutions accepting federal funds that do not adequately address antisemitism or other civil rights violations. Organizations found to be in violation of the FCA can face significant penalties, including treble damages (three times the amount of damages incurred by the government), civil penalties for each false claim, and reputational harm. As a result, all federal contractors and grant recipients should be on high alert for any communication from DOJ and should immediately notify internal counsel if any such communication is received. Please contact your FortneyScott attorney or email us at info@fortneyscott.com for additional information on how to be prepared and to respond to these DOJ investigations and other best practices recommendations.
August 18, 2025
As the Trump Administration reshapes the U.S. Department of Labor (DOL), employers and federal contractors face significant shifts in agency leadership, budget priorities, enforcement programs, and regulatory strategies. Join FortneyScott attorneys for an in-depth webinar covering what these changes may mean for your organization. Key Topics to be Covered Include: New Leadership: Review of confirmed and pending DOL appointees, including Secretary Chavez-DeRemer and Deputy Secretary Keith Sonderling. Compliance & Self-Audit Programs: Expansion of opinion letter guidance and voluntary audit initiatives across W&H, VETS, OSHA, EBSA, MSHA, and OLMS. Aggressive Deregulatory Agenda: Efforts to revoke EO 11246 regulations, registered apprenticeship affirmative action requirements, and legacy EBSA guidance. Regulatory Revisions & Enforcement: Reforms to Section 503, VEVRAA, tip-credit rules, and child labor standards — including new penalty frameworks. Status of Biden-Era Rules: Updates on independent contractor, overtime, minimum wage, and PLA-related regulations. Proposed FY2026 Budget: 35% overall reduction, including workforce downsizing and potential elimination of OFCCP, Job Corp, and the Women’s Bureau. Strategic Considerations: How the return of the PAID program and potential OFCCP self-audit options may affect employer risk exposure.
August 1, 2025
As the Trump Administration reshapes the U.S. Department of Labor (DOL), employers and federal contractors face significant shifts in agency leadership, budget priorities, enforcement programs, and regulatory strategies. Join FortneyScott attorneys on Thursday, August 14th at noon EDT for an in-depth webinar covering what these changes may mean for your organization. CLICK HERE to register. Key Topics to be Covered Include: New Leadership: Review of confirmed and pending DOL appointees, including Secretary Chavez-DeRemer and Deputy Secretary Keith Sonderling. Compliance & Self-Audit Programs: Expansion of opinion letter guidance and voluntary audit initiatives across W&H, VETS, OSHA, EBSA, MSHA, and OLMS. Aggressive Deregulatory Agenda: Efforts to revoke EO 11246 regulations, registered apprenticeship affirmative action requirements, and legacy EBSA guidance. Regulatory Revisions & Enforcement: Reforms to Section 503, VEVRAA, tip-credit rules, and child labor standards — including new penalty frameworks. Status of Biden-Era Rules: Updates on independent contractor, overtime, minimum wage, and PLA-related regulations. Proposed FY2026 Budget: 35% overall reduction, including workforce downsizing and potential elimination of OFCCP, Job Corp, and the Women’s Bureau. Strategic Considerations: How the return of the PAID program and potential OFCCP self-audit options may affect employer risk exposure. Who Should Attend: Compliance professionals, in-house counsel, HR and inclusion leaders, and anyone with responsibility for compliance with labor and employment laws.
July 31, 2025
On July 30, 2025, the U.S. Court of Appeals for the Ninth Circuit in a panel decision affirmed the District Court’s Order in Center for Investigative Reporting v. DOL compelling the DOL to disclose federal contractors’ EEO-1 reports in response to a Freedom of Information Act (“FOIA”) request. The underlying FOIA request was sent to the DOL’s Office of Federal Contract Compliance Programs (“OFCCP”) in 2022 seeking consolidated EEO-1 reports for all federal contractors filed between 2016 and 2020. DOL disclosed the EEO-1 report of non-objecting contractors but withheld from disclosure 16,755 EEO reports from 4,141 objection contractors. In its Opinion, the Ninth Circuit affirmed the District Order’s finding that EEO-1 reports are not exempt from disclosure under FOIA Exemption 4, which protects trade secrets and confidential commercial or financial information. Specifically, the Ninth Circuit found that EEO-1 report data is not “commercial” because workforce-compensation data is not designed to be bought and sold, nor does it reveal basic commercial operations, such as sales statistics, profits and losses, or inventories. The Court held that DOL failed to establish that EEO-1 reports describe an exchange of goods or services or the making of a profit. While the Ninth Circuit Order is limited to compelling the release of 2016-2020 reports in response to CIR’s FOIA request, DOL also relied on Exemption 4 to withhold the production of federal contractors’ 2021 consolidated EEO-1 reports in response to FOIA requests issued by the University of Utah and As You Sow. DOL has not issued a comment, and it is not known at this time whether the DOL will appeal this determination. FortneyScott will continue to monitor this and related cases.
July 31, 2025
On July 23, 2025, the Trump Administration issued America’s AI Action Plan that provides policy recommendations to achieve the goal of global AI dominance by the United States. Of particular interest to employers, the Action Plan includes recommendations to empower American workers in the age of AI, for training a skilled workforce for AI infrastructure and jobs, and for developing new criteria to address misinformation, including specifically identifying DEI. Join FortneyScott for a discussion on the employment-law related key provisions of America’s AI Action Plan and how they may impact the workforce.
July 24, 2025
On July 23, 2025, the Trump Administration issued America’s AI Action Plan that provides policy recommendations to achieve the goal of global AI dominance by the United States. Of particular interest to employers, the Action Plan includes recommendations to empower American workers in the age of AI, for training a skilled workforce for AI infrastructure and jobs, and for developing new criteria to address misinformation, including specifically identifying DEI. Join FortneyScott lawyers on Thursday, July 31, 2025, at 12:00 PM ET for a discussion of the employment-law related key provisions of America’s AI Action Plan and how they may impact the workforce. Please click here to register.
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