Overtime

 

Employees who are covered by Colorado Minimum Wage Order Number 30  may, in certain circumstances, qualify for overtime pay. The following information only applies to non-exempt employees covered by the Wage Order.

For more information about Wage Order coverage, contact the Division at 303-318-8441.

The minimum wage for all hours worked must be paid in accordance with the Wage Order, the Colorado Constitution, and federal law.

Overtime Hours

Employees shall be paid time and one-half of the regular rate of pay for any work in excess of: (1) forty hours per workweek; (2) twelve hours per workday, or (3) twelve consecutive hours without regard to the starting and ending time of the workday (excluding duty free meal periods), whichever calculation results in the greater payment of wages.

Workweek Definition and Overtime

A workweek is defined as any consecutive seven-day period starting with the same calendar day and hour each week. A workweek is a fixed and recurring period of 168 hours, seven consecutive twenty-four hour periods, and is typically established by the employer. Hours worked in two or more workweeks shall not be averaged for computation of overtime.

Regular Rate of Pay

The regular rate of pay for an employee is used to calculate overtime pay. The regular rate of pay is expressed as a rate per hour, and it is determined by dividing the total remuneration provided to an employee in any workweek by the total numbers of hours actually worked in that workweek.

The regular rate of pay includes all compensation paid to employees including the set hourly rate, shift differential, non-discretionary bonuses, production bonuses, and commissions.

The following are excludable from the regular rate of pay: business expenses, bona fide gifts, discretionary bonuses, employer investment contributions, vacation pay, holiday pay, sick leave, or jury duty.

 

References

Advisory Bulletin: Overtime Pay, 10(I)
Colorado Minimum Wage Order Number 30 (Section 4)

Quick Links

Overtime Calculation Examples
Wage Order Coverage 
Exemptions from the Wage Order
Compensatory (Comp) Time