Accrued but Unused Vacation Pay Must Be Paid Out Upon Termination of Employment in Colorado

Colorado’s Supreme Court found that Colorado employees receiving vacation time must be paid out accrued but unused time when their employment is terminated. In Carmen Nieto v. Clark’s Market, Inc., the state Supreme Court held that if an employer chooses to provide vacation pay, all accrued but unused vacation pay must be paid to employees upon termination and that no agreement to the contrary will be enforced.

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