Labor reform softened changes in night work, Sundays and holidays: this is how they were left
In a new attempt to change the labor policy in the country, the Ministry of Labor filed, for the second time, the labor reform bill in the House of Representatives. It happened today, without fanfare and behind closed doors.
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In this new version, which is being processed by the new legislature, the Ministry of Labor included the contributions of more of the country’s business associations, with which it expects a more solid support from the productive sectors.
Among the most representative changes of the second version of the labor reform is the length of the night shift, as well as the Sunday and holiday surcharge. Both issues were controversial in the first legislature of 2023.
Labor reform: Night shift increases
In her work to promote the labor reform in the first semester of 2023, the Minister of Labor, Gloria Inés Ramírez, stated that the government’s proposal would return the twelve-hour night to Colombian workers.
However, this was one of the points that generated most controversy among the country’s business associations, who would have to assume an increase in labor costs at a time when Colombia’s economy is showing minimal growth, there is high local and global inflation, and there are expectations of an increase in production costs due to higher energy and hydrocarbon prices in the country.
In view of this scenario, the new version of the labor reform states that the night working day would no longer go from 6:00 p.m. to 6:00 a.m., as was presented in the original document, but from 7:00 p.m. to 6:00 a.m.
Let us remember that, at present, the night shift starts at 9:00 p.m. and ends at 6:00 a.m.
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Labor reform: Increase in Sunday and holiday surcharge
The proposal of the Ministry of Labor points out as a medium-term objective to achieve a 100% Sunday and holiday surcharge. However, it recognizes the challenges that this represents for the country’s companies, since today this surcharge is 75% of the ordinary salary.
In view of this, this new version of the labor reform bill introduces the progressive nature of the Sunday and holiday surcharge for those who work on the mandatory day of rest or on a holiday, until reaching 100% in 2026.
According to the document filed in the House of Representatives, the employer may opt for the gradual implementation of the Sunday and holiday surcharge of 100% over the ordinary salary and proportional to the hours worked.
If the bill is approved as filed today in the House of Representatives, the gradual increase would start to be implemented as of July 2024, with a Sunday and holiday surcharge of 80% (5% more than at present). In July 2025, this surcharge would be 90% and from July 2026 the full 100% surcharge would start to be applied.
Finally, the explanatory memorandum document of the labor reform explains that both modifications will represent a gradual increase in labor costs for the national economy of $87 billion per month in 2024, and an additional $115.3 billion per month in 2026.
“Most of the increase is explained by the change in the start of the night shift, although the importance of the change in the Sunday and holiday rate surcharge also grows in the projection of the coming years”, can be read in the exposition of motives of the labor reform.
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