Effortlessly handle payroll, compliance, and benefits for your team in Colombia with our comprehensive Employer of Record (EOR) service.
Our solutions in Colombia are designed to streamline every aspect of employment management, making your operations as efficient as possible.
Effortlessly handle payroll, compliance, and benefits for your team in Colombia with our comprehensive Employer of Record (EOR) service.
Our solutions in Colombia are designed to streamline every aspect of employment management, making your operations as efficient as possible.
Hiring in Colombia means navigating the Código Sustantivo del Trabajo (Substantive Labor Code), enrolling employees in the integrated social security system for health (EPS), pension, and occupational risk (ARL), and administering mandatory benefits like the prima de servicios and cesantías--all without needing to set up a local entity. As your Employer of Record, Glints legally employs your team on your behalf, handling employment compliance, payroll, and benefits administration so you can focus on building and managing your team smoothly in Colombia.
In Colombia, the most common employment contracts are indefinite-term (contrato a término indefinido) and fixed-term (contrato a término fijo). Under Ley 2466 de 2025, fixed-term contracts may not exceed four years. A written contract in Spanish is strongly recommended so that terms are clear and enforceable under the Substantive Labor Code.
Probation (periodo de prueba) must be agreed in writing and is capped at two months for indefinite contracts. For fixed-term contracts it may not exceed one-fifth of the agreed term, up to a maximum of two months, letting both parties assess the fit early on.
Salaries in Colombia are paid in Colombian Pesos (COP), commonly on a bi-weekly or monthly cycle. Employers withhold income tax at source (retención en la fuente) on a progressive scale that starts once monthly taxable income exceeds 95 UVT, with marginal rates ranging from 19% up to 39%.
Employers fund the integrated social security system: roughly 8.5% for health (EPS), 12% for pension, and 0.52%-6.96% for occupational risk (ARL) by risk class, plus 9% in parafiscales (SENA 2%, ICBF 3%, Caja de Compensación Familiar 4%). Employees contribute about 4% for health and 4% for pension.
Under Ley 2101 de 2021, the maximum ordinary workweek is being phased down from 48 to 42 hours (44 hours from mid-2025, 42 hours from mid-2026). Colombia also observes around 18 paid public holidays each year--one of the highest counts in the region.
Employees are entitled to 15 consecutive working days of paid annual leave (vacaciones) for each year of service, as set out in Article 186 of the Substantive Labor Code.
Colombia mandates 18 weeks of paid maternity leave and 2 weeks of paid paternity leave, along with bereavement leave (luto) and paid leave for voting and other statutory events.
For common-illness sick leave, the employer covers the first two days at 66.67% of salary, after which the health provider (EPS) pays the subsidy from the third day, all supported by a medical certificate.
Employment may end for just cause (justa causa) under the Substantive Labor Code without indemnity, or without just cause, in which case statutory severance applies. For fixed-term contracts, at least 30 days' written notice is required to avoid automatic renewal.
Are you ready to enhance your team management in Colombia? Explore how our comprehensive EOR and PEO services can simplify your workforce operations, ensuring both efficiency and adherence to local regulations.
Learn more about the benefits of partnering with Glints for your EOR and PEO needs in Colombia!
