Government files first draft of labour reform with Congress

At a glance

• Recently, the Colombian Government filed the first draft of the reformed labour law with the Colombian Congress.
• Please find below, a summary of the main issues addressed in the reform.

Key points

Reinforced labour stability: employers will be required to have prior authorisation to terminate, with just or legal cause, the employment contracts of employees who are under special protection such as union leaders, employees during pregnancy and maternity leave, disabled employees or those with a health condition that substantially impedes them from performing the work, and pre-pensioners.

Labour contracts: indefinite term agreements will be the norm and general rule.  Fixed term and contracts for the duration of the task or project may be agreed exceptionally, provided that there is sufficient justification.

Legal indemnification: Indemnification for terminating indefinite term agreements without cause has been increased to 45 days of salary for the first year of service, plus an additional 45 days per additional year (this will also be applied pro-rata). For fixed term agreements, indemnification will be equal to the outstanding salaries and no less than 45 days of salary. For agreements fixed on the duration of a task or project, the indemnification will be equal to the expected salary upon completion of the task or project and no less than 45 days.

Labour outsourcing: independent contractors must provide their services with full autonomy, with their own means and assuming all the risks. In addition, the contracting party is required to have an “entrepreneurial organisation” or “specialized production”, although the draft does not define these terms.

Working schedule: surcharges for work carried out on Sundays and holidays will increase from 75% to 100% over the cost of the hour. Additionally, the starting time for night shifts will switch to 6:00 pm (currently night shift starts by 9:00pm.)

Equality and gap reductions: all employers must ensure the equality of opportunities for people with disabilities. No gender discrimination will be tolerated by any worker or employer.

Migrant workers: all foreign workers will have the same labour guarantees as Colombian workers, excluding their migratory status.

Digital platforms: regulation of digital platform jobs will implement the presumption of an employment relationship.

Collective rights of association, bargaining and strike: The draft labour law extends the right of unionisation to contractors and temporary employees.  Most of the representative unions will negotiate at any given level, Strikes can be partial (a portion of the activities) and not necessarily full stoppage of the company.

Job automation and decarbonisation: all employers involved in mining activities or in the process of automating their jobs, must implement a closure plan for their workers, who must be notified at least six months before the closure takes place.

Rural work: these type of jobs must be formalised and landlords will be jointly liable for every worker’s labour rights.