Colombia: Reduction Of Working Time Started By Law On 15 July 2023

By virtue of the regulation, Article 161 of the Substantive Labour Code was modified to establish that the maximum duration of the workday would be forty-two (42) hours per week, which may be distributed among five (05) or six (06) days per week by mutual agreement, except in the case of particularly unhealthy or dangerous work.

Implementation of the reduction of working hours

Law 2101 of 2021 established the following alternatives for Employers to implement the reduction of working hours:

• Immediate implementation as of the effective date of the law (July 15, 2023):?The Institute had the possibility of immediately reducing the working hours to forty-two (42) hours per week. This would entail the need to adjust the current work schedules and determine whether the tasks performed by the workers can be fulfilled within the weekly distribution made based on this new workday.
• Gradual implementation: On the other hand, Article 3 of Law 2101 establishes that the reduction of the maximum working day may also be implemented gradually, to that extent, the Institute must consider the following:
• After two (2) years from the effective date of the Law, i.e., 15 July 2023, it shall be reduced by one (1) hour, leaving a working week of forty-seven (47) hours.
• After three (3) years from the effective date of the Law, i.e., 15 July 2024, it shall be reduced by another hour, leaving a working week of forty-six (46) hours.
• After four (4) years from the effective date of the Law, i.e., 15 July 2025, it shall be reduced by two (2) hours each year, until reaching forty-four (44) hours per week.
• After four (5) years from the effective date of the Law, i.e., 15 July 2026, it shall be reduced by two (2) hours each year, until reaching the forty-two (42) hours per week.

Effects of the reduction of the working day.

1. In accordance with the above, if in the employment contracts, it is expressly established that the workday shall be the "legal maximum", without providing that it shall be understood as forty-eight (48) hours per week, as of the entry into force of Law 2101 of 2021, the legal maximum workday shall be understood in terms of the gradual and progressive reduction thereof, until reaching a weekly workday of forty-two (42) hours, or immediately if so deemed by the Company.
2. For its part, the Company's Internal Labour Regulations should also be updated, in the sense of including that the maximum duration of the workday would be forty-two (42) hours per week, which may be distributed among five (5) or six (6) days per week.
3. Thus, it is advisable to consider the following regarding employment contracts in Colombia:
   1. Eventually, it may be necessary to adjust the work schedule of the workers to meet the established operating and service requirements.
   2. The Company shall consider as overtime or supplementary work, any personal service rendered after the maximum legal daily and weekly working day. The aforementioned, notwithstanding whether it is performed during the week from Monday to Friday or on Saturdays.

Key Action Points for Human-Resources and In-House Counsel.

The reduction of the weekly working hours implies a significant modification of workers who had agreed with the employer a maximum legal working day, since the former Article 161 of the Substantive Labour Code, which had already been amended by Article 20 of Law 50 of 1990, established that the maximum legal working day was forty-eight (48) hours per week and eight (08) hours per day.

It is possible that this modification may require a new parameterisation of the Company's payroll, therefore is important to consider that with the reduction of the ordinary working day there is an increase in the value of the ordinary hour and consequently, there will be an impact on the surcharges that must be recognised for overtime, night, and Sunday work, since the calculation of the ordinary hour must be considered.