Colorado expands paid sick leave coverage with new law

On June 2, 2023, Colorado Governor Jared Polis signed Senate Bill 23-017 (SB 23-017), which expands the covered reasons for the use of paid sick leave under the Colorado Healthy Families and Workplaces Act (HFWA). The amended list includes absences related to bereavement leave and certain closures or evacuations due to inclement weather, power loss or other unexpected events. These changes to the HFWA’s covered absences will go into effect on August 7, 2023.

The signing of SB 23-017 marks another milestone in the state’s efforts to provide comprehensive protection for workers. The Colorado Healthy Families and Workplaces Act is a state law that requires employers to provide paid sick leave to their employees. This law benefits many employees who are unable to take paid time off to attend to their own health or the health of their loved ones. With the new amendments to the law, even more employees will benefit from paid sick leave.

New Covered Absences

Under the current HFWA law, eligible employees can take paid sick leave for their own illness, injury, or health condition, or that of a family member. SB 23-017 expands this coverage by including covered absences related to bereavement leave and certain closures or evacuations due to inclement weather, power loss, or other unexpected events. Employees can now take paid sick leave if they or their family members need to attend a funeral or take time off due to bad weather or power outages, for example.

Effective date

The amendments to the Colorado Healthy Families and Workplaces Act will go into effect on August 7, 2023. Employers in Colorado must make sure to adjust their policies and practices to comply with the new law before that date, ensuring that their employees have access to paid sick leave for the new covered reasons starting on August 7, 2023.

No more PHEL benefits for COVID-19 related absences

In addition to the amendments to the HFWA’s covered absences, SB 23-017 also restricts the use of Colorado’s public health emergency leave (PHEL) benefit for COVID-19-related absences. The PHEL benefit is part of the HFWA and serves as an additional form of paid time off for eligible employees during a public health emergency. This benefit will no longer be available for COVID-19-related absences as of June 9, 2023.

As of June 9, 2023, eligible employees will be able to use available paid sick leave for several new covered reasons. However, it is important to note that eligible employees’ ability to use available PHEL benefits for COVID-19-related absences will expire on June 8, 2023.

Paid Sick Leave Requirements

The Healthy Families and Workplaces Act (HFWA) requires employers to allow eligible employees to accrue paid sick leave at a rate of at least one hour for every 30 hours worked, up to 48 hours per year. Employees can carry over up to 48 hours of accrued paid sick leave at year-end. Employers must provide written notice of the amount of paid sick leave available to each employee with each paycheck.

Public Health Emergency Leave

Unlike many state and local COVID-19 related paid leave mandates, the Colorado Healthy Families and Workplaces Act’s public health emergency leave mandate has no sunset date. This benefit can be activated when a covered public health emergency is declared.

Eligible employees who experience a covered public health emergency can use available PHEL benefits for absences related to the emergency. The PHEL benefit provides eligible employees with up to two weeks of additional paid leave, in addition to any other paid leave they are entitled to.

Adjusting to the new law

Colorado employers must take steps now to account for the amended Healthy Families and Workplaces Act (HFWA) by the August 7, 2023, effective date. Employers should update their policies and practices to reflect the new requirements and provide employees with written notice of the changes. Employers must also ensure that wage statements, notifications, and other relevant documents are updated to include the new covered absences.

The Colorado Healthy Families and Workplaces Act provides important protections for workers in the state. With the new amendments to the law, Colorado workers will have access to paid sick leave for a wider range of reasons. Colorado employers must adjust their policies and practices to comply with the new law before its effective date. Employers who fail to do so risk costly penalties and legal disputes with their employees.

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