All About Offering Employee Benefits in Colombia
Hire the best talent in Colombia with the information you need to offer a competitive benefits package and stay compliant.
Required Benefits in Colombia
In Colombia, offering competitive benefits and compensation packages can help you stand out and recruit top talent. Justworks EOR offers guidance on must-have and nice-to-have benefits, and can even help you access localized benefits. Here’s a look at the benefits employers should offer employees to hire the best talent and keep up with global companies.
Social Security
Employers in Colombia typically contribute around 30% of each employee’s base income to the General Social Security System through payroll deductions. These payments cover various benefits like health insurance, maternity leave, and work risk insurance. The contribution amount depends on the employee's income bracket.
Time Off
Colombian employees are entitled to at least 15 paid days of vacation time. Other statutory leave includes paid holidays, bereavement leave, sick leave, maternity and paternity leave, marriage leave, and other miscellaneous leave.
Short-Term/Long-Term Disability
Employees who qualify for short-term disability are entitled to collect two-thirds of their salary for 90 days plus 50% of their salary for an additional 90 days. The pension amount for long-term disability depends on the age of the person applying. Employees under the age of 20 only qualify for long-term disability if they've lost 50% or more of their labor capacity due to non-work-related causes and contributed 26 weeks of payments into disability the previous year.
Offer Competitive Benefits
Here are the additional benefits employers hiring in Colombia should considerto attract top tier talent.
Employer-sponsored Health Benefits
Offering private health insurance on top of mandatory social security benefits is a common added benefit. Private health insurance in Colombia provides access to a wider network of doctors and better overall care with shorter wait times.
Financial Planning & Retirement Benefits
Many companies pay for their employees’ voluntary life insurance. This protects an employee in the case of sudden death, disability, or illness. Employers can also boost employees’ retirement benefits by offering additional pension payments beyond what payroll taxes cover. This option has tax credits that benefit both employers and employees.
Lifestyle Spending or Expenses
Some companies provide travel allowances for taxis, gas, parking, and public transportation. If a company is located in a rural area, they might provide employees with a bus or shuttle service. Additional benefits include small stipends for meals, gas, and groceries.
Education Support
Employers may offer to cover up to 50% of the costs for employees to receive a postgraduate degree in some sectors. To take advantage of this benefit, employees are usually required to work at the company for a set period or pay back the costs of the postgraduate degree.
Ready to Offer Benefits in Colombia?
Justworks EOR makes building your global team seamless by helping you access localized benefits to attract top talent in Colombia. Simplify international hiring today.
