Understanding the Impact of Colombia’s Labor Reform on Workers’ Rights
The recent approval by the Congress of the Republic to the labor reform in Colombia marks a historic shift in labor rights and employee protection. This legislative change aims to enhance the salaries and improve the working conditions for millions of Colombian workers. The new law has been in effect since mid-July 2025.
One of the pivotal aspects of the reform is its new stipulations regarding salary sanctions imposed by companies. Previously, many workers faced penalties that were often implemented without due process. The updated regulations, now enshrined in the Substantive Labor Code (CST), are designed to offer better clarity and protection for employees, as explained by Gustavo Petro’s government.
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Labor law experts believe that this reform addresses the urgent need to prevent abuse and ensure transparent disciplinary practices that affect employee compensation . Labor lawyer María Fernanda Ardila emphasizes that the law mandates that any investigation and potential sanctions affecting a worker’s pay must adhere to principles of due process , thereby respecting each employee’s right to defend themselves.
Ardila asserts that this reform brings significant changes to corporate cultures across Colombia, compelling businesses to document and justify every stage of the disciplinary process . The newly implemented guidelines require that:
- Formal communication to the worker regarding the opening of the sanction process.
- The employer must inform, in writing, what facts, behaviors, or omissions led to the need for disciplinary action.
- All evidence supporting the allegations must be made available to the worker.
According to Andrés Santamaría, director of the firm Santamaría & Asociados, “it is not enough to highlight a mistake; the employer must provide copies of documents, audio recordings, or any other evidence supporting the disciplinary process.”
The revised labor law also establishes that:
- Workers have at least five days to present their version of events, challenge the evidence, or add new elements to their defense. This provision ensures that workers can fully exercise their right to due process .
- If a verbal statement is given, the company must prepare a document capturing the worker’s statement.
- Following the review of arguments and evidence, the company must deliver a definitive ruling. This ruling must be well-reasoned and explicitly outline the basis for the decision.
Labor lawyer Ricardo Melo asserts, “The justification for the decision must not be vague; it should articulately explain the infraction and the rationale behind it to prevent arbitrary actions.”
Regarding sanctions, the law stipulates that:
- Sanctions must reflect the severity of the infractions identified.
- Employers cannot impose excessive or unjustified measures; proportionality is key in any disciplinary action affecting salary.
- The entire disciplinary process must unfold within a reasonable timeframe, in line with the principle of immediacy, unless otherwise stipulated in collective agreements or internal regulations.
These provisions are designed to establish a clear and transparent framework for implementing salary sanctions and to fortify fundamental workers’ rights within labor relations. Experts believe that the major challenge facing companies will be to adjust their internal processes and effectively educate their HR teams on the new legal mandates.

