Colorado has become the latest state to step into an area where federal workforce reporting and compliance requirements may be facing uncertainty.
On June 4, 2026, Colorado enacted HB 26-1207, a new law requiring certain private employers to report workforce demographic data to the state beginning July 1, 2027. Colorado is not the first state to require workforce demographic reporting. California, Illinois, and Massachusetts already maintain state-level reporting obligations that supplement federal requirements. Moreover, Colorado's new law expressly preserves workforce demographic reporting even if federal EEO-1 reporting disappears altogether.
For employers, this may signal the next phase of compliance: a growing patchwork of state workforce reporting obligations that increasingly operate independently of federal requirements.
Under HB 26-1207, private entities conducting business in Colorado and employing 100 or more workers must include workforce demographic information collected through the federal EEO-1 reporting process as part of periodic filings submitted to the Colorado Secretary of State beginning July 1, 2027. The law specifically requires employers to provide this information even if the federal government repeals or discontinues EEO-1 reporting requirements, stating that employers are to submit “EEO-1 Data” in the format of the federal EEO-1 report as it existed on March 1, 2026.
In practical terms, Colorado has created a state-level mechanism to ensure continued collection of workforce demographic data regardless of future federal policy changes. For compliance reporting teams, this means that EEO-1 data collection processes may remain necessary for Colorado operations even if federal reporting obligations evolve.
What makes Colorado's law particularly noteworthy is how the state chose to implement the requirement. Rather than establishing a separate civil rights reporting program administered through an employment or human rights agency, Colorado embedded demographic workforce reporting into its existing business entity filing structure overseen by the Secretary of State. Because the reporting is incorporated into existing periodic business reporting, employers will not all file at the same time – creating another reporting deadline that employers must track.
In addition, this approach could have significant implications for how workforce demographic information is stored, maintained, and potentially accessed. Historically, EEO-1 reports submitted to the federal government have been subject to confidentiality protections and have not generally been available to the public. Because Colorado's law incorporates demographic reporting into business filings rather than a traditional employment compliance framework, employers should pay close attention to future regulatory guidance regarding confidentiality, disclosure, and public records treatment.
Although the first reporting deadline is still more than a year away, organizations should begin preparing now.
1. Determine Whether You Are Likely Covered
Employers with 100 or more employees and business operations in Colorado should evaluate whether they are likely to fall within the law's scope. Organizations with complex corporate structures, remote workforces, or multi-state operations may need to monitor future guidance closely to understand how employee counts and reporting obligations will be calculated.
2. Review Workforce Demographic Data Collection Processes
Many employers already collect demographic information for federal EEO-1 reporting. Employers should continue to do so, despite the uncertainty about the future of the federal EEO-1 report. It is likely other states may follow Colorado’s lead, creating a patchwork of state EEO reporting requirements that employers must follow.
Employers should also take time to ensure that their data collection processes are sound – and that their practices incorporate the following EEOC guidance about proper data collection:
3. Prepare for State-Level Reporting Expansion
Colorado may be the first state to establish this type of EEO-1 continuity requirement, but it is unlikely to be the last. As states increasingly pursue independent pay transparency, pay data, AI governance, and workforce reporting initiatives, employers should anticipate a more fragmented compliance landscape that requires monitoring obligations beyond the federal level.
4. Evaluate Data Governance and Recordkeeping Practices
Because the law raises questions regarding data handling and potential disclosure, employers should review internal controls related to demographic data management, retention, reporting workflows, and legal review procedures. Strong governance practices will help organizations respond efficiently as additional state guidance becomes available.
Colorado's enactment of HB 26-1207 signals an emerging trend in employment compliance: states are increasingly willing to preserve workforce reporting requirements even when federal obligations may be uncertain.
For employers, the message is clear. EEO-1 data collection is no longer solely a federal compliance issue. Organizations should begin evaluating how state-level reporting requirements may affect their workforce data strategies, compliance programs, and reporting infrastructure in the years ahead.
At Berkshire Associates, we continue to monitor developments affecting EEO-1 reporting , state workforce reporting requirements, and other employment data obligations. Employers should stay alert for additional guidance from Colorado as implementation details emerge ahead of the July 1, 2027 effective date.