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Outsourcing and temporary staffing in Colombia: contractor liability, temporary service agencies, cooperatives and union contracts

Last verified: 2026-10-26 · Status: Changing

A Colombian company that outsources work related to its normal activities is jointly liable for the contractor's unpaid wages, benefits and compensation. Temporary service agencies (EST) are the only lawful way to supply staff, and only for occasional work, replacements, or production peaks of six months plus six; if the need persists the user becomes the employer. Supplying permanent core staff through worker cooperatives can be fined up to 5,000 minimum wages, and since June 2026 union contracts require a six month old union, an assembly vote and a technical study proving direct hiring is not possible.

USD figures use the TRM (tasa representativa del mercado) of COP 3,158.43 per US dollar, valid 24 to 26 October 2026, from the official TRM series published by the Superintendencia Financiera on the national open data portal (datos.gov.co). Conversions are for orientation only.

Key facts

Joint liability of the beneficiary for contractor's workers (core activities)	yes CST art. 34 (Ley 2466 de 2025 art. 44), as of 2026-10-26 · in force
Maximum temporary placement for production peaks	12 monthsLey 50 de 1990 art. 77 num. 3 (6 plus 6), as of 2026-10-26 · in force
Temporary service agency minimum paid in capital	300 monthly minimum wagesLey 50 de 1990 art. 83 num. 2, as of 2026-10-26 · in force
Temporary service agency insurance guarantee	500 monthly minimum wagesLey 50 de 1990 art. 83 num. 5, as of 2026-10-26 · in force
Maximum fine for intermediation through worker cooperatives	5000 monthly minimum wagesLey 1429 de 2010 art. 63, as of 2026-10-26 · in force
Maximum labor inspection fine	5000 monthly minimum wagesCST art. 486 (Ley 1610 de 2013 art. 7), as of 2026-10-26 · in force
Minimum age of a union to sign a union contract	6 monthsDecreto 1072 art. 2.2.2.1.21 (Decreto 661 de 2026), as of 2026-10-26 · in force

The rule

1. Contractors and subcontractors are those who, for a set price, perform works or services for third parties, assuming all risks, with their own means and technical and managerial autonomy. The company that contracts the work is jointly and severally liable with the contractor for the workers' wages, benefits and compensation unless the work is unrelated to its normal activities; it may require guarantees and recover what it pays.
Cost to do it: Exposure equals the contractor's unpaid labor debts to the workers on the job; art. 34 lets the beneficiary require guarantees from the contractor.Código Sustantivo del Trabajo, as amended by Ley 2466 de 2025, Art. 34 (Ley 2466 art. 44), 2025-06-25 official text · verified 2026-10-26

2. A temporary service agency (empresa de servicios temporales, EST) employs the workers it places with users and is their employer. Users may hire an EST only for occasional, accidental or transitory work; to replace staff on vacation, leave, sick leave or maternity; or to meet increases in production, transport, sales, harvest seasons or services, for six months extendable by up to six more.Ley 50 de 1990, Art. 71 and 77, 1990-12-28 official text · verified 2026-10-26

3. If, once the term or condition ends, the specific need still exists, the user may not extend that service with the same EST or hire it from a different one. Exceeding these limits makes the user the real employer of the placed workers and the EST a mere intermediary, after a judicial declaration; an EST that seriously breaches the rules can lose its operating license. The worker's contract must state the cause of the placement.Ley 50 de 1990, as added by Ley 2466 de 2025, Art. 77 par. 1 to 4 (Ley 2466 art. 45), 2025-06-25 official text · verified 2026-10-26 · changed: Ley 2466 de 2025 art. 45 added four paragraphs to Ley 50 art. 77: ban on rotating ESTs for the same need, user deemed employer, license revocation and stated cause.

4. An EST needs a Ministry of Labor license. Requirements include paid in capital of at least 300 monthly minimum wages at incorporation and an insurance guarantee for its workers of at least 500 monthly minimum wages, updated yearly with the minimum wage, deposited with the Ministry. The user contract must be in writing and state the insurer, policy number, term and amount, and how occupational health duties are handled.
Cost to do it: At the 2026 minimum wage: capital of COP 525,271,500 (US$166,307.79) and a guarantee of COP 875,452,500 (US$277,179.64).Ley 50 de 1990, Art. 81, 82 and 83, 1990-12-28 official text · verified 2026-10-26

5. Staff needed for permanent core activities may not be engaged through worker cooperatives (cooperativas de trabajo asociado) that intermediate labor, nor through any other arrangement that undermines labor rights. The Ministry of Labor can fine the user company up to 5,000 monthly minimum wages, and the cooperatives are dissolved.
Cost to do it: Up to COP 8,754,525,000 (US$2,771,796.43) in 2026.Ley 1429 de 2010, Art. 63, 2010-12-29 official text · verified 2026-10-26

6. Since 27 June 2026 a union contract (contrato sindical) is valid only if the union has existed for at least six months, its members include workers of the company, branch or sector, the general assembly expressly authorized it, the union proves real administrative, technical and financial capacity, and the contracting company prepares a technical study showing it cannot hire directly and that the work does not cover permanent positions.Decreto 661 de 2026 (amending Decreto 1072 de 2015), Decreto 1072 art. 2.2.2.1.21 (Decreto 661 art. 2), 2026-06-26 official text · verified 2026-10-26 · changed: Decreto 661 de 2026 (26 June 2026, Diario Oficial 53.535 of 27 June 2026) tightened the requirements for union contracts to curb illegal labor intermediation.

7. Employers may not fraudulently use differentiated regimes granted to particular sectors or to micro and small companies to undermine workers' rights; besides other sanctions, the worker is owed one day's salary for each day the conduct lasted, up to 24 months.Código Sustantivo del Trabajo, as added by Ley 2466 de 2025, Art. 59A (Ley 2466 art. 48), 2025-06-25 official text · verified 2026-10-26

8. Labor inspectors can fine employers 1 to 5,000 monthly minimum wages per infraction, according to its seriousness and while it lasts; fines go to SENA.
Cost to do it: COP 1,750,905 to COP 8,754,525,000 (US$554.36 to US$2,771,796.43) in 2026.Código Sustantivo del Trabajo, as amended by Ley 1610 de 2013, Art. 486 num. 2 (Ley 1610 art. 7), 2013-01-02 official text · verified 2026-10-26

Model	When lawful	Main limit	Who is liable	Rule
Independent contractor or service provider	Autonomous work, own means, own risk	No subordination	Contractor; beneficiary jointly liable for core activities	CST art. 34
Temporary service agency (EST)	Occasional work, replacements, peaks	6 + 6 months for peaks; no rotation between ESTs	EST as employer; user deemed employer if limits breached	Ley 50 art. 71 to 83
Worker cooperative	Genuine associated work	Not for permanent core staff	User fined up to 5,000 minimum wages	Ley 1429 art. 63
Union contract	Union with capacity and assembly approval	Six month old union; technical study by the contracting company	Union and contracting company	Decreto 1072 art. 2.2.2.1.21

Ways to engage workers indirectly in Colombia

Worked example

A food processor faces a Christmas peak and engages 50 packers through a licensed EST for four months (the peak cause allows six months extendable by six more). In September of the next year the same peak need persists: it cannot extend those placements or move them to another EST, so it must hire directly or risk being declared the employer (Ley 50 art. 77 par. 1 and 2).
A cleaning contractor it uses for its plants stops paying its staff. Because plant cleaning is related to the company's normal activities, the company is jointly liable for the unpaid wages and benefits (CST art. 34) and should have required an insurance guarantee in the service contract.

Step by step

1. Classify each outsourced activity as core or unrelated to normal activities; core work brings joint liability under CST art. 34.
2. Require contractors to prove monthly PILA payments and to provide guarantee policies covering wages and benefits.
3. For ESTs, check the Ministry of Labor license and the deposited guarantee, document the legal cause and keep a calendar of the 6 + 6 month limit.
4. Do not use cooperatives or union contracts to cover permanent core positions; if a union contract is used, keep the technical study required since June 2026.
5. Include contractors in the occupational safety system (SG-SST covers contractors and placed workers, Decreto 1072 art. 2.2.4.6.1).

Common traps

Rotating ESTs. Moving the same need to a new agency once the term ends is expressly prohibited and makes the user the employer (Ley 50 art. 77 par. 1 and 2).
Contractors who look like employees. Personal work under subordination is an employment contract, whatever the services agreement says (CST art. 23 and 24).
Old union contract templates. Contracts signed after 27 June 2026 need the new requirements of Decreto 661 de 2026.
Assuming the contractor's insurance is enough. Joint liability runs directly to the workers; the guarantee only helps recover the money.

Sources

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