Colombia is a country located in South America and bordered by Venezuela, Brazil, Ecuador, Peru, the Andes mountain range, and the Caribbean Sea. It is a megadiverse country with rainforest, highlands, desert, and grasslands. Since the 2010s, Colombia has tried to diversify its economy by exporting modern pop culture to the world.

The minimum wage in Colombia is COP 1,423,500 per month, as of 2025.

The maximum number of working hours is 8 per day and 44 hours per week. Colombia is gradually reducing its standard workweek from 48 to 42 hours. As of July 2025, the limit dropped to 44 hours, with a final reduction to 42 hours set for July 2026.

Any work done past the standard working hours is paid as overtime. In Colombia, overtime compensation varies depending on whether the extra hours are worked during the day or at night:

• Daytime overtime applies to hours worked beyond the standard schedule between 6:00 a.m. and 6:59 p.m.
• Nighttime overtime applies to extra hours worked between 7:00 p.m. and 5:59 a.m.

Overtime payments are considered part of an employee's taxable income for the employer. This means that when overtime is paid, employer contributions (such as social security, pension, and other statutory benefits) must also be calculated based on the increased total salary (i.e., base salary + overtime). When overtime is paid, employer contributions also increase, because they are calculated based on the total compensation, not just the base salary.

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Separate from overtime, employees in Colombia are entitled to a night shift surcharge if their regular working hours fall partially or entirely between 7:00 p.m. and 5:59 a.m. This surcharge is paid even if the employee is not working beyond the standard daily or weekly hours, as it compensates for working during night hours.

Parental Leave

Pregnant employees in Colombia receive 18 weeks of paid maternity leave, usually starting 1 week before the due date. Fathers receive 2 weeks of paid paternity leave. This leave also applies to adoption. Employers pay for the leave upfront at 100% of the salary, and later receive a refund from the government.

Sick Leave

Sick leave is not accrued but rather granted as needed, based on medical need and certification, and there is no fixed annual limit. Employees in Colombia are entitled to sick leave at 2/3 of their regular pay. The employer pays for the first 2 days and the rest is reimbursed by social security.

Paid Leave

Colombia recognizes 17 public holidays each year. In addition, employees who have completed one year of service are entitled to 15 working days of paid annual leave, accrued at a rate of 1.25 days per month. Annual leave cannot be taken in half-day increments. Employees may also be eligible for bereavement leave and marriage leave under Colombian labor law.

Process

Either party unilaterally terminating the employment contract must state in writing at the time of termination the cause or motive that led to the termination, except in some special cases.

The termination process must follow rules and regulations set by employment contract law, salary law, and social security regulations. Employers must offer a “fair” reason for terminating the employee in the eyes of the law or risk penalties and fines.

Notice Period

In Colombia, the notice period for termination depends on the reason for dismissal. No notice is required when termination is due to misconduct. If the dismissal is based on poor performance, the employer must provide at least 15 days’ notice. For fixed-term contracts, a 30-day notice period is required.

Severance Pay

The severance amount depends on the cause of the termination, the salary, and the agreement.

For fixed-term contracts, the severance must be the remaining amount of salary due to the employee up to the last date of the contract.

For indefinite contracts, severance depends on the years of service and current salary:

• If earning less than 10 times the monthly minimum wage, the employee receives 30 days salary for the 1st year of employment and then 20 days salary for every additional year worked.
• If earning more than 10 times the monthly minimum wage, the employee receives 20 days salary for the 1st year of employment and then 15 days salary for every additional year worked.

In Colombia, there are two types of salary structures: ordinary salary and integral salary. They differ in their composition, legal requirements, and the benefits they include. By law, employees on an ordinary salary are entitled to a statutory “13th-month” bonus — equivalent to an extra month’s pay each year — paid in two installments, one in June and the other in December. However, this benefit does not apply to employees earning more than 13 times the minimum wage, as they fall under the integral salary scheme.