New Year, new minimum wage: Colorado’s hourly rate jumps to $12.32 an hour on Friday |

New Year, new minimum wage: Colorado’s hourly rate jumps to $12.32 an hour on Friday

A new minimum wage increase will take effect in Colorado on New Year’s Day, bringing wages to $12.32 an hour, or $9.30 for tipped workers.

The 2.7% statewide increase is based on language in the Colorado Constitution, which mandates annual inflation adjustments based on the consumer price index. Colorado voters approved a constitutional amendment in 2016 enshrining the annual wage increase in the state’s governing document.

The increase comes as 31 counties are still under Level Red coronavirus shutdown restrictions, although Gov. Jared Polis said Wednesday that he is asking health officials to downgrade those counties to Level Orange.

Industries that rely on low-wage workers, such as restaurants and hospitality, have seen some of the highest rates of new unemployment claims filed with the state.

After months of closures and limited operations, the Colorado Restaurant Association said the mandated increase would be difficult for restaurants, especially in Denver where the increase will be by $1.92 per hour.


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