Employee Benefit Reforms in Colombia for 2025
Colombia’s employee benefit reforms for 2025 include updates to labor, healthcare, and pension laws. While some aspects of these reforms are still under discussion, others have already been approved. Key components include potential changes to leave policies, a proposed shift towards a government-managed healthcare system, and an evolution of the pension system to central management with expanded retirement savings options.
Labor Reform
The labor reform project has made partial progress through Congress, with key provisions already approved:
- Enhanced Worker Benefits: Employees now enjoy expanded paid leave for personal events such as marriage, medical appointments, and family emergencies.
- Extended Paternity Leave: Fathers are now entitled to 4 weeks of paternity leave, doubled from the previous 2 weeks.
- Increased Holiday Pay: Sunday and holiday work now commands 100% of regular salary, up from 75%.
- Gig Economy Regulations: Workers for delivery platforms and transportation sectors are now subject to formal employment regulations.
The reform is expected to conclude by July 2025, with ongoing debates focusing on daily wages, agricultural contracts, and alignment with international labor standards.
Healthcare Reform
While the government’s proposed overhaul of the healthcare system remains under debate, some changes have been approved:
- Healthcare Worker Formalization: Medical professionals are being incorporated into a formal labor regime.
- New Governing Body: A National Health Council has been established to oversee the National Health System.
- Enhanced Regulatory Powers: State entities like the Superintendency of Health now have expanded oversight capabilities.
Contentious issues still under discussion include resource management, transformation of health insurance entities, and funding sources for the system.
Pension Reform
The pension system has undergone significant changes, enacted in July 2024:
- Centralized Retirement System: All workers must now retire through the public entity Colpensiones.
- Supplementary Private Pensions: Workers earning above 2.3 minimum monthly wages can supplement their public pension with private funds.
- Four-Pillar System: A new structure has been implemented to expand pension coverage through contributory, semi-contributory, solidarity, and voluntary systems.
While the changes present some challenges, they also offer opportunities to enhance employee benefits and contribute to a more formalized and equitable work environment in Colombia. Correcol will provide updates as these reforms continue to evolve.
Asinta’s employee benefits consulting Partner, Correcol, provided this information on employee benefits reforms in Colombia for 2025. If you need support with your employee benefits in the country, please contact Asinta, and we will put you in touch with the local experts at Correcol.