Labour and employment law in Colombia

Introduction

Colombian labour law is governed mainly by the Labour Code, which dates from 1950. The applicability of these rules is done (directly) through the law.

Colombian labour conditions are often determined by mandatory rules not subject to parties’ modification, and most of these principles also have a constitutional hierarchy, together with the International Agreements or conventions that recognise human rights ratified by Colombia. The consequence of this situation is that employers cannot (even with the employee’s approval) provide worse conditions than those recognised by the law, the constitution or an international agreement or convention, that recognises human rights ratified by Colombia.

Efforts have been made to increase flexibility in the Colombian labour market to align with globalised standards. Three main reforms were enacted to accomplish this objective: Law 50 of 1990, Law 789 of 2002 and Law 797 of 2003. More recently, Law 2466 of 2025 introduced a labour reform currently in force, strengthening employee protections and increasing employer costs. Additionally, Law 2452 of 2025 enacted a new Labour Procedural Code, in force as of April 2, 2026, modernizing labour and social security proceedings.

Key Points

• Employee-legislation in Colombia is divided (due to its importance) into a compilation of particular rules for each specialty: labour rules, social security, procedural rules and employment law.
• Even when employment contracts are generally regarded as indefinite term, Colombian labour law is flexible compared with other countries as it allows the use of flexible forms of employment without major restrictions.
• Colombian labour law provides high flexibility regarding dismissal. However, case law and affirmative action legislation have developed to provide greater protection to prevent possible discriminatory situations to specific population groups.
• Foreigners are only allowed to work in Colombia through a work permit or with a residence permit if they are planning (or are currently) to stay permanently in the country.
• Constitutional actions (“Tutela”) demanding immediate protection of fundamental rights is an important source for labour norms, as a result of the interpretation of the written labour rules.

Legal framework

Labour law normativity is provided by the Constitution (Fundamental employees’ rights) and the law. Bills can only be issued by the Congress and/or the President in exercise of exceptional powers but does not allow for the municipalities and/or departments to issue normativity regarding labour matters. The Ministries as part of the executive branch, are allowed to issue Decrees to develop the content of a law but not to modify it or derogate it. In particular, the Ministry of Labour is the highest executive authority regarding labour matters.

The Pensions and Contributions Control Unit (UGPP by its initials in Spanish) plays also an important role as an audit governmental body, which exercises control regarding contributions to the social security system.

The main framework for labour law in Colombia is provided by the Colombian Labour Code (CST by its initials in Spanish), issued by Legislative Decree 3743 of 1950. Despite its longevity, the Labour Code has been subject to multiple amendments, mainly to add flexibility to the labour market and adjust Colombia’s rules to a more globalised environment. More recently, Law 2466 of 2025 introduced a structural labour reform currently in force, strengthening employee protections and modifying key aspects such as surcharges, working conditions, and the use of certain contractual arrangements. In 2015, the government issued the 1072 Decree (Regulatory Decree of the Labour Sector) to consolidate all existing labour normativity into a unique document, making them more accessible.

The Constitutional Court and the Supreme Court, in addition to the fact that Colombia has a continental legal system, play a key role in Colombian legal framework as the Constitution and the law establish precedents that are mandatory for inferior hierarchical judges to comply with.

New Developments

• Under Law 2101 of 2021, Colombia has gradually reduced the maximum working hours. As of July 15^th, 2024, the maximum legal workweek has been adjusted to 46 hours. Additional reductions will apply on July 15^th, 2025 (44 hours) and on July 15^th, 2026 (42 hours).
• The Law  2381 of 2024, Pension Reform, was approved by the Congress on June 2024 and will be applicable as of June 2025. This reform will guarantee a solidarity income for more than 2 million elderly people and workers who don´t reach pension legal requirements and have a social vulnerability condition.
• The labour reform proposed by the Government has been approved and has been in force since June 25, 2025. It aims to improve employees’ working conditions, although it is expected to increase informality in the Colombian labour market and generate additional costs for employers, including higher surcharges, changes to severance schemes, restrictions on the use of fixed-term contracts, and other measures. Certain provisions are subject to gradual or phased implementation. The new Labour Procedural Code has been approved through Law 2452 of 2025 and will enter into force on April 2, 2026. It seeks to modernise labour and social security proceedings, improving efficiency, access to justice, and the use of digital tools in judicial processes. The reform introduces significant procedural changes, including updated rules on jurisdiction, evidence, and procedural structure, as well as a stronger role for the judge in directing proceedings.