Table of Contents
About BMNS
BMNS is a Costa Rica-based nearshoring company that provides comprehensive, end-to-end HR solutions that extend beyond traditional EOR and BPO models. As a company headquartered in Costa Rica, with leadership deeply connected to the country, including our COO and Managing Partner, we bring a unique, firsthand understanding of the local business landscape, culture, and talent market. We believe that people are the driving force behind business growth, which is why we take a people-first approach to talent and workforce management. By partnering closely with our clients, we help them achieve their strategic objectives through tailored hiring solutions and exceptional talent acquisition support.
Overview
Colombia has become one of the most attractive nearshore hiring destinations in Latin America, offering a large, highly educated workforce, competitive labor costs, and a mature business environment. The country is particularly strong in technology, software development, finance and accounting, customer support, digital marketing, engineering, and business operations.
With major talent hubs in Bogotá, Medellín, Cali, and Barranquilla, Colombia offers employers access to one of the largest labor markets in the region. Its strong cultural alignment with North America, growing English proficiency among professionals, and favorable time zone overlap make collaboration with U.S. companies seamless.
| Category | Detail |
|---|---|
| Capital | Bogotá – other major cities include Medellín, Calí and Barranquilla |
| Population | Approximately 54 million people (2026 estimate) |
| Currency | Colombian Peso (COP). Exchange rates fluctuate, but as of October 2026, US$ 1 ≈ COL$ 3.172 Colombian Pesos (COP). |
| Language | Spanish (official language). Ranked #7 in English proficiency among all LATAM countries. |
| Working Hours | Standard workweek is up to 42 hours per week, typically 8 hours per day, with a minimum 30-minute to one-hour meal/rest break. |
| Vacation | Minimum of 2 weeks (15 business days) after 12 months of service worked for the same employer. |
| Public Holidays | 18-20 public holidays annually. Certain holidays can be moved to another day and require special pay if worked. |
| Time Zone | Central Standard Time (UTC -5), providing strong overlap with U.S. business hours. No daylight savings. |
| Literacy Rate | Approximately 95%. |
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Largest Employers & Labor Market Influencers
Some of Colombia’s largest and most influential employers include:
1. Grupo Aval – Financial Holdings
2. Grupo Sura – Financial Services
3. Almacenes Éxito – Retail / Supermarkets
4. Bancolombia – Bank
5. Grupo Bolivar – Financial Group
6. Grupo Nutresa – Foods & Beverage
7. BAC – Bank
8. EcoPetrol – Oil & Gas
9. Grupo Argos – Infrastructure
10. Banco del Occidente – Bank
Other relevant, multinational companies in Colombia are:
- Teleperformance – Contact Center
- Terpel – Oil & Gas
- Jeronimo Martins – Retail
Talent Market
#1 - National University of Colombia (UNAL)
Primary Areas: Engineering, Sciences, Business, Healthcare
Main Campus: Bogotá
UNAL, or Universidad Nacional de Colombia, is Colombia’s largest and most influential public university, widely recognized as one of the top higher education institutions in Latin America. With campuses across the country and a strong emphasis on research, innovation, and academic excellence, it produces highly skilled professionals in engineering, sciences, healthcare, and business who contribute to both Colombia’s domestic industries and multinational organizations.
#2 - Andes University (Uniandes)
Primary Areas: Business, Engineering, Economics, Technology
Main Campus: Bogotá
Uniandes, or Universidad de los Andes, is one of Colombia’s most prestigious private universities and is consistently regarded as a leading source of executive, engineering, and technology talent. Known for its rigorous academic standards, international partnerships, and strong connections with the private sector, the university is highly valued by multinational employers operating throughout Latin America.
#3 - EAFIT University
Primary Areas: Business, Engineering, Technology, International Business
Main Campus: Medellin
EAFIT is a leading private university based in Medellín and a key contributor to the city’s emergence as a regional hub for innovation and technology. The institution is recognized for its strong focus on entrepreneurship, international business, engineering, and digital transformation, supplying talent to both high-growth startups and global companies.
#4 - Pontificia Universidad Javeriana (Javeriana)
Primary Areas: Business, Law, Communications, Healthcare
Main Campus: Bogotá
Founded in 1623, Javeriana is one of Colombia’s oldest and most respected universities. The institution is known for combining academic excellence with a strong emphasis on leadership, ethics, and social impact. Its graduates are highly sought after across healthcare, legal, business, and communications sectors, particularly among large corporations and professional services organizations.
#5 - Antioquia University (UdeA)
Primary Areas: Engineering, Sciences, Healthcare, Research
Main Campus: Medellin
UdeA, or Universidad de Antioquia, is one of Colombia’s premier public research universities and a major talent generator for Medellín and the surrounding Antioquia region. The university is especially recognized for its strengths in scientific research, engineering, and healthcare education, producing professionals who play a key role in the region’s industrial, technological, and healthcare ecosystems.
Understanding Employee Law, Benefits & Compliance
Prima de Servicios (13th Month Bonus)
Employees are entitled to a mandatory annual bonus known as Prima de Servicios, equivalent to one month’s salary per year, paid in two installments:
- June
- December
Employees receive a proportional amount if they do not complete the full year.
Paid Vacation
Employees are entitled to:
15 days of paid vacation annually that are accrued throughout the year.
Employees must take vacation in blocks of at least 6 days. This means they cannot take a single vacation day; any vacation request must be for 6, 7, 8, or more consecutive days.
Employees may not carry forward unused vacation days for more than two vacation periods. The maximum vacation balance that can be accrued is 30 days.
Unused vacation may be carried forward subject to legal requirements.
Public Holidays
Colombia observes approximately 18-20 national public holidays annually, making it one of the countries with the highest number of public holidays in Latin America. Employers should double-check holiday dates because some are moved depending on the year.
Employees who work on designated holidays are generally entitled to premium compensation
Sick Leave
Employees may qualify for paid sick leave benefits upon presentation of appropriate medical documentation.
Benefits are generally covered through a combination of employer payments and the healthcare/social security system depending on duration.
Maternity, Paternity Leave & Lactation
Maternity Leave – 18 weeks (126 days) of paid leave
Lactation Period – During the workday, employees are entitled to two 30-minute nursing breaks (with no reduction in pay) during the child’s first six months of life. From 6 months to 2 years of age, employees are entitled to one 30-minute nursing break per day.
Paternity Leave – 2 weeks (14 days) of paid leave
For both paternal and maternal leave, the employer pays the entire employee leave, and then, half gets reimbursed by the social security system (EPS). Colombian labor law provides strong protections against dismissal related to pregnancy and parental leave.
Cesantías
Employers must accrue severance funds equal to approximately one month’s salary per year worked.
These funds are deposited annually into the employee’s selected severance fund and can be accessed under specific circumstances such as housing or education.
Bereavement Leave
In the event of the death of a close family member you are entitled to 5 paid working days
This applies to the death of:
- Spouse or partner
- Parents, children
- Family up to second degree of consanguinity
- Family by upbringing
Termination Requirements
Notice Periods
For indefinite-term contracts, Colombian law generally does not require a statutory notice period before termination. However, employees terminated without just cause are typically entitled to statutory compensation based on salary level and tenure. For fixed-term contracts, employers generally must provide at least 30 days’ notice if they do not intend to renew the agreement.
Severance
When terminating an employee without just cause, employers may be required to pay statutory indemnification according to formulas established by Colombian labor law.
Final settlements may also include:
- Accrued vacation
- Proportional Prima
- Cesantías
- Interest on Cesantías
- Outstanding salary payments
Protected Employees
Special protections apply to:
- Pregnant employees & new mothers
- Employees on medical leave
- Union representatives
- Certain employees with disabilities
Employers should seek guidance before terminating employees within protected categories.
Relevant Government Institutions
M.T.
DIAN
E.P.S.
Ministerio del Trabajo (Ministry of Labor)
Primary authority overseeing employment regulations and labor compliance.
Dirección de Impuestos y Aduanas Nacionales (National Directorate of Taxes and Customs)
National tax authority responsible for tax administration.
Entidades Prestadoras de Salud (Health Service Providers)
Healthcare administration and social security health coverage.
Legal Disclaimer
This guide is provided for educational purposes only and should not be considered legal advice. Employment laws, social security rates, tax requirements, and public holiday regulations may change. Employers should consult qualified legal advisors and local workforce experts before making employment decisions. BMNS recommends verifying current requirements through the appropriate government authorities and local employment specialists.
BMNS' Local Hiring Insights
#1
The documentation and hiring process includes medical tests to guarantee the candidate’s suitability. This process can take 1-2 weeks.
#5
The strongest English-speaking talent pools are typically concentrated within multinational companies, BPOs, shared service centers, and technology organizations.
#2
Bogotá and Medellín are the country’s strongest hubs for technology and business services. – Also, where the largest pools of bilingual Colombians are
#6
Senior tech, data, and finance roles face greater talent competition.
#3
Candidates in Bogotá often command higher salaries than comparable talent in Medellín, Cali, or Barranquilla, particularly in technology and leadership roles.
#7
Counteroffers are common for high-performing professionals, making speed and candidate engagement critical during the hiring process.
#4
SENA Apprenticeship Requirement: Employers with 15+ employees in Colombia may be required to sponsor SENA apprentices based on workforce size.
#8
Benchmarking salaries against local market rates is essential, as compensation expectations can differ substantially between cities and industries.
Frequently Asked Questions
Can a foreign company hire employees in Colombia without establishing a local legal entity?
Foreign companies may have options through structures such as an Employer of Record (EOR) or other compliant local employment solutions. Companies should consult legal and employment experts before hiring.
What are the best cities in Colombia for hiring talent?
Bogotá, Medellín, Cali, and Barranquilla are among Colombia’s leading talent hubs. Bogotá offers the country’s largest professional workforce, while Medellín is particularly known for technology, innovation, engineering, and bilingual talent.
Is English widely spoken in Colombia's workforce?
English proficiency varies by region and profession, but Colombia has made significant investments in bilingual education. Many professionals in technology, customer service, business operations, and multinational environments possess strong English skills, particularly in major cities such as Bogotá and Medellín.
Is Colombia a good location for hiring software developers and technology professionals?
Colombia has become one of Latin America’s fastest-growing technology hubs, particularly in cities like Medellín and Bogotá. The country produces thousands of graduates annually in engineering, computer science, and related technical fields, making it a popular destination for nearshore technology teams.
How many public holidays does Colombia have, and how does that impact employers?
Colombia has one of the highest numbers of public holidays in Latin America, with approximately 18 national holidays each year. While these holidays may affect scheduling and workforce availability, they are a standard part of the employment landscape and should be considered when planning staffing, project timelines, and operational coverage.
Sources
Government & Institutional Sources
- Departamento Administrativo Nacional de Estadística (DANE)
- Ministerio del Trabajo (MinTrabajo)
- Ministerio de Educación Nacional (MEN)
- Banco de la República
- Dirección de Impuestos y Aduanas Nacionales (DIAN)
- Administradora de los Recursos del Sistema General de Seguridad Social en Salud (ADRES)
- Servicio Nacional de Aprendizaje (SENA)
Referenced Sources
DANE (National Statistics Department) – Population, workforce, and demographic data
https://www.dane.gov.coMinistry of Labor (MinTrabajo) – Employment regulations, benefits, and labor compliance
https://www.mintrabajo.gov.coSNIES (National Higher Education Information System) – University and higher education statistics
https://snies.mineducacion.gov.coProColombia – Investment climate, talent market, and business environment insights
https://www.procolombia.coEF English Proficiency Index (EPI) – English proficiency benchmarks and rankings
https://www.ef.com/epiInvest in Bogotá – Talent availability, industry, and business services data
https://investinbogota.org
Planning to Hire in Colombia?