Colorado Updates Paid Sick Leave Rules Under HFWA - HR ALERTS

Colorado Updates Paid Sick Leave Rules Under HFWA

Effective: February 1, 2026

Colorado has updated its paid sick leave rules under the Healthy Families and Workplaces Act (HFWA). The revised regulations clarify how paid sick leave must be paid and expand employer recordkeeping requirements.

What Changed:

Clarified Pay Rate Requirements

Beginning February 1, 2026, paid sick leave must be paid at the employee’s regular rate of pay. The updated rules clarify that:

• All forms of compensation that are part of the regular rate must be included.

• This may include nondiscretionary bonuses, commissions, and shift differentials when applicable.

• Employers may not pay sick leave at a lower base rate if the employee normally earns more.

Expanded Recordkeeping Requirements

Employers must maintain detailed records related to paid sick leave, including:

• Hours of paid sick leave accrued and used

• The pay rate applied to sick leave

• Records sufficient to demonstrate HFWA compliance

Records must be retained for at least three years and made available upon request.

Reference:

7 CCR 1107-1

7 CCR 1107-3  

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