A series of recent developments in Colorado law have made it clear that employers are prohibited from causing employees to forfeit earned vacation time. A compilation of recent developments and the Colorado Department of Labor and Employment’s current position are contained in Interpretive Notice & Formal Opinion (INFO) #14, which explains that:
- Employees must be paid all earned vacation pay when their job ends.
- No employment policy or agreement can waive or forfeit earned vacation at any time.
- All paid leave which can be used at the discretion of the employee is considered “vacation pay” subject to the non-forfeiture rules.