One year after an audit revealed the Office of Human Resources was failing to ensure Denver city workers are paid competitive wages, the office hasn’t addressed the issue, according to an audit released last week. 

The 2020 report discovered multiple examples of workers who hadn’t received a pay increase in years and found the office does not allow workers to appeal wage rates set by the federal 1931 Davis-Bacon Act. 

Denver Auditor Timothy O’Brien said he was “disappointed in the lack of action Human Resources took” in his release of the new audit. 

“Human Resources continues to sidestep responsibility on this issue, and it’s leaving some workers without recourse or assurance when it comes to making sure they are making market wages for their expertise,” O’Brien said. 

The Davis-Bacon Act establishes requirements for local prevailing wage rates – the minimum amount workers should be paid for city projects for construction, improvement, repair, maintenance, demolition or janitorial work. In Denver, prevailing wages are set by the Office of Human Resources.

The 2020 report suggested the Office of Human Resources work with an expanded oversight board to review and address the issue of stagnant wages that exists under the Davis-Bacon Act, including by offering a wage appeal process.

The office “disagreed” that it should make such changes and declined to take any action toward them, according to the 2021 audit.

“Not only did the Office of Human Resources disagree with our recommendation to consider opportunities for an appeal process, they also failed to follow through on their agreement to clarify parts of the ordinance and evaluate the appropriateness of third-party pay surveys,” the audit said.

The 2020 report also recommended the office implement an additional review process for benefit rates and prepare a formal prevailing wage guidelines manual. Both of these recommendations were only partially implemented, according to the new audit.

Since none of the recommendations made in the 2020 audit was properly fulfilled, the Audit Services Division might revisit the office again in the future, the audit said.