Employer of Record (EOR) Colombia

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An Employer of Record (EOR) serves as the legal employer of a worker in Colombia. This role, also referred to as a Global Professional Employer Organization (Global PEO), involves managing various aspects of employment. This includes ensuring compliance with local labor laws and regulations, overseeing payroll, handling taxes, providing legally required benefits, and creating employment agreements.

The Employer of Record (EOR) is accountable for:

Ensuring that the worker’s employment complies with Colombian laws.
Accurately managing the local payroll process.
Overseeing the filing of employment-related taxes and essential documentation.
Supplying employees with clear and detailed payslips.
Timely distribution of salary payments to employees.

Simplify your global expansion with our Global PEO services—a seamless solution that eliminates the need for entity setup. Our Employer of Record (EOR) in Colombia ensures legal presence, compliance, and protection of intellectual property (IP), allowing your business to focus on its core activities. Facilitate smooth global mobility and work visas while cultivating a diverse and efficient global workforce. Partner with us as your Employer of Record in Colombia for a compliant and effective employment experience for your international team.

Things you need to know before hiring in Colombia

EOR Solutions in Colombia

EOR for Prospective Employees

Mercans offers seamless Employer of Record (EOR) solutions for businesses that have already identified their ideal candidates in Colombia. Our services encompass every aspect of the employee lifecycle, ensuring compliance with Colombia labor laws and regulations.

EOR + Recruitment

For those seeking assistance in talent acquisition, our EOR and recruitment services provide a holistic solution. We tap into our extensive network and expertise to help you find, onboard, and retain top talent, streamlining your expansion into the Colombia market.

Visa Sponsorship and Global Mobility

Navigating the intricacies of expatriate employment is simplified through our visa sponsorship and global mobility services. We facilitate the relocation of your international workforce, ensuring compliance with Colombia immigration and employment laws.

AOR for Contractor Payments

Businesses grappling with contractor payments can leverage our Assistance on Record (AOR) services. We handle the complexities of contractor payments, guaranteeing accuracy and compliance.

Converting Freelancers to Employees

Mercans supports the transition from independent contractors to permanent employees in Colombia. Our expertise ensures smooth conversions while adhering to legal requirements.

HCM Integration

Integrate Mercans’ EOR services seamlessly with your HCM system in Colombia for real-time data exchange, enhanced compliance, and cost-efficiency. Trust our expertise for a unified, compliant, and efficient approach, elevating your workforce management and payroll operations.

Employees vs Independent Contractor Compliance

When it comes to workforce management, understanding the distinction between employees and independent contractors is crucial for businesses. Both play vital roles in an organization’s success, yet they are governed by different legal frameworks, rights, and responsibilities. Employees are typically engaged in a more permanent, structured relationship with their employer, enjoying benefits such as job security, health insurance, and retirement plans. In contrast, independent contractors operate with greater autonomy, often working on a project basis and retaining control over how they complete their tasks. This section will explore the key differences between these two classifications, highlighting their implications for employers, legal compliance, and overall business strategy.

Consideration	Employees	Independent Contractors
Written Agreement Requirement	Often required for clarity and legal protection	Not necessary, but advisable for clarity
Factors for Classification	- Control over work Control over working hours - Method of Payment	- Similar factors with emphasis differences
Reporting Payments to Authorities	Generally required for tax and legal purposes	Generally not required unless specific conditions met
Regulation of Payments	Central bank processing may be required	Non-regulated market for incoming payments
Intellectual Property Ownership	Typically owned by the employer unless specified	Owned by the contractor unless specified
Enforcement of Payroll Tax Obligations	Employers responsible for payroll taxes	Independent contractors responsible; UGPP scrutiny for misclassification
Legal Accountability for Classification Errors	Liability for employee benefits and compensation	Potential lawsuits and UGPP inquiries for misclassification
Duration of Relationship	Typically ongoing with legal restrictions	No limitations on duration
Nature of Work Performed	Subject to legal and regulatory limitations	Any legal services under Colombian law
Reimbursement of Expenses	May be regulated by employment agreement	Permissible without concerns about employment status

This comparison outlines key considerations between hiring employees and independent contractors in Colombia. It emphasizes factors such as written agreements, classification criteria, reporting obligations, payment regulations, intellectual property ownership, payroll tax enforcement, legal accountability, and considerations related to the nature and duration of the working relationship. Employers should carefully evaluate these factors to ensure proper compliance with Colombian laws and regulations.

Employment Contracts in Colombia

Navigating employment law in Colombia can be intricate, especially for foreigners. The complexity lies not only in legal requirements but also in the variety of contract and compensation options available. The key is to comprehend the nuances to make informed decisions that align with business strategies.

Types of Employment Contracts:

Distinguishing contract types is crucial, as potential severance payments in case of disputes significantly differ. Colombian labor law ensures equal opportunities for local and foreign workers, emphasizing an employment relationship when personal service, subordination, and payment are established. Contract options vary mainly in duration:

Indefinite/Open-Ended Contract

Permanent, verbal or written.
Entails benefits, vacation, social security contributions.
Terminable by either party, with compensation based on salary and service duration.

Fixed Term Contract (contrato a término fijo)

Limited duration, renewable but requires written termination notice.
Must be in writing, automatically extended if notice not given.

Contract for Duration of Work

Tied to a specific project, with a defined end upon project completion.
Clear definition of expected duties is crucial.

Occasional Contract

Temporary agreement, verbal or written, for casual jobs.
Limited to a maximum of one month, complementing regular activities.

Registration and Contributions

Employers are responsible for registering employees in the Colombian Social Security System.
Contributions include pension, health care, labor risk, and withholding tax.

Understanding the intricacies of employment contracts in Colombia is essential for compliance and risk mitigation. Each situation should be assessed independently, considering local regulations to ensure a comprehensive understanding of employment relationships.

Working Hours

In Colombia, standard working hours are 6am-9pm, with either eight or nine hours per day. The labor law sets a maximum of 48 hours a week, extendable to 56 hours with overtime, subject to job requirements.

Probation Period

The Substantive Labour Code of 1950 outlines a probation period aimed at assessing the employee’s skills and familiarizing them with working conditions. The law specifies a maximum probationary duration of 15 days for domestic workers and two months for others, renewable upon agreement. During probation, employees receive full benefits, as detailed in the employment contract, and termination is possible without notice, with benefits still applicable.

Payroll in Colombia

Successfully managing payroll in Colombia requires a thorough understanding of local regulations and compliance standards. The Colombian labor market is governed by specific laws that dictate how payroll must be processed, including employee rights, tax obligations, and benefits administration. Employers must navigate these complexities to ensure accurate and timely compensation for their employees while adhering to legal mandates. This section outlines the essential requirements for running payroll in Colombia, covering topics such as employee classification, payroll frequency, mandatory deductions, and the necessary documentation. By understanding these requirements, businesses can ensure compliance, avoid legal pitfalls, and foster a positive working relationship with their employees.

Payroll Essentials for Colombia

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Government Regulations for Companies in Colombia

Company Registration Process

To establish a business in Colombia, you must first register with the Single Tax Register (RUT) through the Colombian Tax and Customs Authority (DIAN). This registration is essential for tax purposes and compliance with local laws.

Additionally, acquiring a registration certificate from the Chamber of Commerce is crucial. This document contains important details about the business and its owners, serving as a legal acknowledgment of the company’s existence.

Social Security Registration

All companies are mandated to affiliate with social security systems and contribute monthly to the following entities:

ARL (Professional Risk Administrator)
EPS (Health Promotion Entities)
AFP (Pension Fund Administrators)

These registrations ensure that employees have access to essential services and protections as outlined by Colombian law. Required documents for registration include:

Certificate of existence and legal representation
Photocopy of the RUT
ID of the legal representative

Ongoing Compliance Obligations

Companies must ensure timely payments of social security contributions based on employee income. Contributions to EPS, AFP, ARL, and fiscal obligations must be settled according to deadlines defined by the company’s Tax ID (NIT). The maximum contribution limit for social security is 25 SMLV (Minimum Monthly Legal Salary).

Payments are managed through a designated information operator, responsible for distributing contributions to the respective entities.

ARL (Professional Risk Administrator)

Affiliation with an ARL is compulsory for all employees in Colombia to protect them from work-related accidents or diseases. The employer’s contribution varies based on the risk classification assigned by the ARL, which ranges from 0.522% to 6.960% depending on the risk category of the business.

EPS (Health Promotion Entities)

EPS affiliation is mandatory for all Colombian residents seeking health coverage. Contributions total 12.5% of the employee’s base salary, divided as follows:

Employer: 8.5%
Employee: 4%

This contribution provides health coverage for employees and their families, contingent on their affiliation with the chosen EPS.

AFP (Pension Fund Administrators)

All employees must register with an AFP for retirement and disability coverage. Contributions total 16% of the employee’s base salary, with the employer contributing 75% and the employee 25%. Additional contributions apply for higher earners based on salary brackets.

Fiscal Contributions

Employers must pay a monthly payroll tax equivalent to 9% of the salaries disbursed to employees. This tax is allocated among various entities, including:

4% to the Welfare Compensation Fund
3% to the Colombian Institute of Family Welfare (ICBF)
2% to the National Learning Service (SENA)

Local Payroll Tax

Employers are responsible for paying local payroll taxes based on monthly taxable income paid to employees, ensuring compliance with local tax regulations.

Tax Residency in Colombia

Both local and foreign individuals are subject to income tax on local sources of income and capital gains. Foreigners residing in Colombia are taxed on their local and certain foreign income from the moment they establish residency. Tax residency is established after a continuous or discontinuous presence in Colombia for over 183 days within a year.

Tax resident employees are taxed on their global income, with progressive rates applicable based on the tax value unit (UVT), which for 2023 is COP 42,412. Non-residents face a flat rate of 20% on income.

Year-End Compliance Requirements

Income and Retention Certificate: Employers must provide an annual certificate by March, detailing employee income and contributions for the previous year.
Magnetic Media Submission: Employers are required to submit annual reports by April that outline income, social security, and withholdings for the previous fiscal year.

Pension Regulations

Pension Registration Requirements

Colombia offers two pension schemes for employees:

Individual Savings Regime with Solidarity (Colpensiones): Requires an average of 1,300 contribution weeks. The legal retirement age is 57 for women and 62 for men.
Private Pension Regime: Members can retire based on their accumulated savings without age constraints if they meet capital requirements.

Contribution Structure

The pension system is designed to ensure individuals save enough for retirement, with contributions calculated based on the employee’s salary.

Employee Obligations

Minimum Salary and Transport Subsidy For 2023, the Minimum Monthly Legal Salary (MMLS) is set at COP 1,160,000, with a legal transport subsidy of COP 140,606, applicable to employees earning up to twice the MMLS.
Severance Payments Upon termination, employees are entitled to severance pay equivalent to one month’s salary for each year worked, with proportional compensation for partial years. Calculations are based on the last salary received.
Interest on Severance Payments Employers must pay 12% annual interest on severance amounts as of December 31 each year. Payments are due in January of the following year or upon the employee’s retirement or severance liquidation.
Service Premium Employers must pay a service premium equivalent to 15 days’ salary to employees working the full half-year, distributed before the end of June and by December 20.
Vacation Entitlement Employees with at least one year of service are entitled to 15 consecutive days of paid vacation. Employers must maintain records of vacation days taken.
Vacation Record Keeping Employers are required to maintain detailed records of employee vacations, including:
- Employee start date
- Vacation dates taken
- Duration of vacations
- Corresponding remuneration

Payroll Management

Ordinary Salary Ordinary salary refers to the standard remuneration for services rendered. Employees are entitled to severance pay, interest on severance, vacation time, and service premiums based on this salary.
Integral Salary An integral salary applies to employees earning more than 10 MMLS and includes a 30% fringe benefit factor covering social benefits, overtime, and other compensations. Contributions and taxes are calculated based on 70% of this salary.
Withholding Tax on Labor Income Colombian tax laws mandate withholding tax on labor income at the point of payment. The withholding tax rates for 2023 are tiered based on income ranges.
Electronic Payroll System Employers are required to generate electronic payroll documents to ensure compliance with tax authority regulations. This involves submitting payment support documents to DIAN within the first ten days of each month.
Banking Regulations for Payroll Management Salaries must be disbursed in Colombian pesos through cash, check, or bank transfer. Colombian residents are prohibited from holding foreign currency accounts in local banks, ensuring all transactions occur in the national currency.

Minimum Wages

As of November 2023, the current minimum wage in Colombia is COP1,300,606.00 per month, effective from January 1, 2023, until December 31, 2023. This amount includes a monthly transport allowance of COP140,606.00, making the total monthly minimum wage COP1,300,606.00.

Payroll Cycle

The payroll cycle occurs bi-weekly or monthly in Colombia. The provision of a 13th-month salary is compulsory, granting employees an additional month’s salary. This bonus is disbursed in two installments, typically in June and December.

Regarding Mercans’ payroll capabilities, they cover various aspects, including local currency payments for employees and contractors, comprehensive payroll setup, processing, and administration, as well as managing statutory filings and payments.

Social Security in Colombia

In Colombia, employers are mandated to enroll their employees in the comprehensive social security system, which encompasses pensions, healthcare, labor risks, and parafiscal contributions. This system includes contributions to the Family Compensation Fund, National Learning Service (SENA), and Colombian Family Welfare Institute (ICBF). Contributions are subject to a maximum limit of 25 times the minimum monthly legal salary for pensions, healthcare, and labor risks.

Every employee, except for certain foreign employees who may voluntarily affiliate with the pensions system, must be a part of the integral social security system. This system comprises the general pensions system, health social security system, and general system of professional risks.

The basis for contributions is determined by the employee’s monthly salary (excluding non-salary items), ranging from the minimum legal monthly salary to a maximum of 25 times the minimum legal monthly salaries for ordinary salaried employees. For those earning an integral salary, pension contributions are based on the lower of 25 minimum legal monthly salaries or 70% of the integral salary.

Contribution Category	Percentage	Employee Share	Employer Share
Pensions, Healthcare, and Labor Risks	28.5%	25% (Approx. 8%)	75% (Approx. 20.5%)
Mandatory Health System	Employee: 4% (For salaries above 10 minimum monthly wages)	Employee: 4%	Employer: 8.5% (Not applicable for salaries below 10 minimum monthly wages)
Pension System	Employee: 4% (Additional 1% for certain salary brackets)	Employee: 4%	Employer: 12%
Professional Risks (Aportes de Riesgos Profesionales)	Employer: 0.522% to 6.96%	-	-
Payroll Tax (for salaries > 10 min. monthly wages)	Employer: 9% on salary items	-	-

Note: Contributions are based on the monthly salary of the employee. Specific percentages and conditions may vary based on salary levels and the nature of the contribution.

Colombia Employee Hiring Cost

Let us assume the Gross Annual Salary for the employee is COP 99,999.96. However, the Total Annual Employer Costs, which include additional expenses such as social security contributions, benefits, and taxes, amount to COP 498,357.96. The difference between the Gross Annual Salary and the Total Annual Employer Costs represents the additional financial commitments and contributions the employer is responsible for beyond the employee’s salary.

Therefore, the Total Annual Cost of hiring this employee is the sum of the Gross Annual Salary and the Total Annual Employer Costs, resulting in COP 598,357.92. This figure represents the comprehensive financial outlay associated with employing the individual, providing a more holistic perspective on the overall cost to the employer.

Employee Benefits in Colombia

Employee Benefits in Colombia encompass diverse provisions, from health insurance to retirement plans, offering workers essential coverage and financial security. In Colombia, standard working hours are 6am-9pm, with either eight or nine hours per day. The labor law sets a maximum of 48 hours a week, extendable to 56 hours with overtime, subject to job requirements.

Paid Time Off (PTO) in Colombia

Vacation Leave Quota (Annual Leave)

In Colombia, employees are entitled to 15 business days of paid annual leave after completing 12 months of service with their employer. Vacation time is prorated for those with less than a year of service. Additionally, employees receive 18 paid public holidays, and they must be notified of their vacation dates at least 15 days in advance.

Aspect	Details
Vacation Leave Entitlement	15 business days annually
Prorated Calculation	Proportional for those with less than a year
Public Holidays	18 paid holidays in addition to annual leave
Notice Period	15 days in advance
Carry Over	Up to 6 unused days, max. 2 years
Payout	Based on basic salary at the start of leave

Statutory Provisions Addressing Vacation Pay

The regulations do not explicitly address receiving compensation instead of annual leave or employees forfeiting their right to paid annual leave while still employed. However, employers are required to pay for any unused vacation upon termination.

Sick Leave in Colombia

Employees are entitled to up to 180 days of sick leave for non-work-related illnesses. The employer covers the first two days, and social security covers the remainder. Funding for sick leave benefits comes from both worker and employer contributions.

Aspect	Details
Duration	Up to 180 days
Employer Coverage	First two days, then covered by social security
Funding	Worker (4%) and employer (8.5%) contributions

Maternity, Paternity, Parental, and Adoption Leave in Colombia

Maternity Leave: Mothers are entitled to 18 weeks of fully paid maternity leave, including one week of prenatal leave. Employers initially cover the cost, later reimbursed by the government.
Paternity Leave: Fathers, including adoptive fathers, get two weeks of fully paid paternity leave.
Shared Parental Leave: Parents can divide the final six weeks of maternity leave between them.
Adoption Leave: Adoptive parents receive leave on the same terms as biological parents.

Aspect	Details
Maternity Leave Duration	18 weeks, 100% paid
Paternity Leave Duration	Two weeks, 100% paid
Shared Parental Leave	Allows parents to divide the final six weeks of maternity leave
Adoption Leave	Same provisions as for maternity and paternity leave

Bereavement Leave in Colombia

Employees are entitled to five days of paid bereavement leave for the death of a close family member.

Aspect	Details
Duration	Up to five working days
Employer Coverage	Employer pays for bereavement

Jury Duty Leave in Colombia

Not specified by law.

Military Leave in Colombia

Military service is unpaid leave, lasting 1 to 2 years. Employers must reinstate employees within 30 days after military service.

Aspect	Details
Duration	Unpaid leave, 1 to 2 years
Reinstatement	Must reinstate within 30 days

Voting Leave in Colombia

Employees are eligible for half a day of paid leave for voting. The employer covers the cost.

Aspect	Details
Duration	Half-day of paid leave
Employer Coverage	Employer pays for voting leave

Marriage Leave in Colombia

Employees are entitled to five days of paid leave for their wedding.

Aspect	Details
Duration	Up to five working days
Employer Coverage	Employer pays for marriage leave

Public Holidays in Colombia

Private employers must provide paid leave for 18 public holidays in addition to annual leave.

Aspect	Details
Number of Holidays	18 paid public holidays
Separate from Annual Leave	Yes

Public Holidays

Private employers in Colombia are obligated to grant paid leave for 18 public holidays. These statutory holidays are distinct from and provided in addition to annual leave.

Number of Holidays	Separate from Annual Leave
18	Yes

Complete List of Recognized Holidays in Colombia:

Date	Holiday
1 January	New Year’s Day
2nd Monday in January	Epiphany (Three King’s Holiday)
20 March (Movable)	St. Joseph’s Day (Movable)
2 April (Movable)	Palm Sunday (Movable)
Thursday before Easter	Maundy Thursday
Friday before Easter	Good Friday
1 May	Labor Day
22 May (Movable)	Ascension (Movable)
12 June (Movable)	Corpus Christi (Movable)
19 June (Movable)	Feast of the Sacred Heart (Movable)
3 July (Movable)	Feast of Saints Peter and Paul (Movable)
20 July	Independence Day
7 August	Battle of Boyacá Day
21 August	Assumption of Mary
16 October (Movable)	Columbus Day (Movable)
6 November (Movable)	All Saints’ Day (Movable)
13 November (Movable)	Cartagena Independence Day (Movable)
8 December	Feast of the Immaculate Conception
25 December	Christmas

Overtime Pay

Overtime compensation for daytime hours is set at 125.00% of the regular pay rate, while for nighttime overtime, the rate increases to 175.00% of the standard pay rate.

13th Month Salary

The payment of a 13th-month salary is obligatory in Colombia and is usually distributed in two parts. Employers are required to disburse the initial half before June 15 and the remaining half before December.

Employee Termination

An employer has the authority to terminate an employee without cause by providing compensation. However, if the termination is for cause, the employer is not obligated to provide compensation. Article 62 of the Labour Code outlines an exhaustive list of serious misconduct or situations that may constitute cause for termination. These reasons include:

Serious indiscipline or negligence.

Acts of violence or mistreatment.

Systematic poor performance.

Any serious violation of special obligations or prohibitions as per the law, or any fault agreed upon by the parties.

Conduct in which an employee discloses technical or commercial secrets, or reveals private matters to a third party.

When an employee becomes entitled to a pension.

Notice requirements:

Generally, notice before termination is not required, except in two scenarios:

A 30-day notice is necessary when a fixed-term contract will not be extended.
A 15-day notice is mandated when the contract is terminated because the employee is entitled to a pension.

In both cases, it is permissible to provide the equivalent days’ salary in lieu.

Dismissal without notice:

Under what circumstances can an employer dismiss an employee without notice or payment in lieu of notice?

In general, employers can dismiss an employee without notice or payment in lieu except when:

A fixed-term contract is not extended, requiring 30 days’ notice.
The contract is terminated because the employee gains the right to a pension.

Severance pay

Employees have the right to indemnification pay upon termination, unless there is a cause. The calculation is based on years of service, the contract term, and the employee’s salary.

Indefinite-term contracts

For employees with a salary below 10 times the minimum monthly wage, the indemnification amount is 30 days of their salary for the first year of service, plus 20 additional days for each subsequent year. For those with a salary above 10 times the minimum monthly wage, the amount is 20 days for the first year and 15 additional days for each subsequent year.

Fixed-term contracts

The indemnification amount corresponds to the salary for the remaining time until completion of the term, or the term determined by the duration of duty or contracted work, with a minimum of 15 days.

Personal Income Tax

Navigating Personal Income Tax in Colombia involves understanding progressive rates linked to specific income brackets, impacting general, pension, and dividend income baskets.

General Income Basket

Income Types	Description
Employment Income	Income received for services performed in Colombia, including salaries, wages, fringe benefits, commissions, and all income arising from the labor relationship.
Capital Income	Includes interest, financial income, royalties, rentals, and intellectual property (IP) income.
Non-Employment Income	All types of income that cannot be classified in other baskets.

Taxable Income (TU)	Marginal Rate (%)	Tax Liability
Over	Not over
0	1,090	0%
1,090	1,700	19%
1,700	4,100	28%
4,100	8,670	33%
8,670	18,970	35%
18,970	31,000	37%
31,000	And up	39%

TU is a measure for thresholds, equivalent to COP 42,412 for FY 2023.

Pension Income Basket

Included Income	Description
Retirement and Disabilities Pensions	Includes pensions, labor risks compensations, and compensations substituting pensions.

Recent reform exempts foreign pension income up to TU 1,000 from taxation.

Dividend Income Basket

Included Dividends	Description
Dividends Subject to Tax at Corporate Level	Paid to fiscal residents.

Tax Rates and Credits
Progressive Rates	0% to 39%, aligned with the General Income Basket.
Tax Credits	Available based on income levels. See progressive rates in the General Income Basket table.
Untaxed Dividends	Taxed at 35%, net income subject to individual tax (0% to 39%).

Non-Resident Tax Rates

Applicable Tax Rates
Dividend Income	Increased to 20% for non-residents (previously 10%).

Local Income Taxes

Local Tax on Individual Income
No local taxes on individual income in Colombia

Note: This table provides a structured overview; for actual financial or tax transactions, it’s recommended to consult a tax professional or authority due to potential changes or specific conditions.

Work Permit

Foreigners planning to work in Colombia must secure a work permit, which is contingent on the nature of their intended employment. Since June 2013, it’s no longer mandatory for foreign nationals to possess a valid work visa before entering the country. Alternatively, individuals can enter on a tourist visa and subsequently apply for the appropriate work visa internally.

For those seeking an employment relationship with a Colombian entity, obtaining a Visa Temporal TP-4 is essential. This permit is valid for the contract’s duration, up to a maximum of three years, allowing multiple entries.

Individuals interested in independent work, entrepreneurial activities, or hiring employees should opt for the Visa Temporal TP-7, valid for one year with an annual renewal requirement.

Before mid-2013, conducting business in Colombia necessitated residing under a TP-7 visa. However, recent legislation enables small business ventures (Persona Natura) to operate with a tourist visa and a Certificado de matrícula mercantil (application through the Bogota Chamber of Commerce), eliminating the need for a separate work permit under this arrangement.

Best Employer of Record Colombia

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Mercans is the best employer of record in Colombia because of the following reasons

Compliance with Colombian Labor Regulations: Mercans is fully compliant with the Colombian Ministry of Labor, ensuring adherence to all local regulatory requirements. This commitment guarantees that our employment practices align with Colombia’s labor laws and standards.
Independent Operational Structure: As an independent entity, Mercans operates autonomously in Colombia, providing reliable and customized employment services that cater specifically to client needs.
Versatile Employment Solutions: Mercans effectively manages various types of employment, including full-time employees, freelancers, contractors, and expatriates. This flexibility allows us to offer tailored solutions that meet diverse operational demands.
Tailored Services for Large Enterprises: Designed to meet the needs of large organizations, Mercans offers scalable and sophisticated services that accommodate complex corporate structures, ensuring seamless integration with existing business processes.
Multi-Currency Payroll Management: Mercans facilitates payroll in multiple currencies, enabling smooth financial operations for both local and multinational companies operating in Colombia.
Extensive Global Network and Multi-Country Payroll Expertise: With a robust international presence, Mercans excels at managing payroll across multiple countries, ensuring smooth operations for businesses with a global footprint.
Commitment to Data Protection and Security: Mercans adheres to strict data protection standards, including compliance with GDPR and SOC 1 & SOC 2, safeguarding client information and ensuring data integrity.
Certified for Quality and Security Standards: Holding ISO 20000 and ISO 27001 certifications, Mercans demonstrates a commitment to high-quality IT service management and robust information security practices.
OWASP ASVS 3.0 Compliance: Mercans meets OWASP ASVS 3.0 standards, ensuring strong security measures are implemented in application development and management to protect client data.
HRBlizz – Comprehensive Payroll and Talent Management Suite: Mercans HR Blizz is a proprietary global payroll and talent management SaaS platform that streamlines payroll processes while ensuring compliance with Colombian labor laws. With a team of over 1,000 local experts, it offers in-depth knowledge of labor regulations and business protocols.
G2N Nova – Advanced Payroll Processing Solution: G2N Nova provides global gross-to-net payroll processing in over 100 countries, making it one of the world’s most advanced native payroll engines. Available as a SaaS solution or service delivery platform, it can operate independently or seamlessly integrate with major Human Capital Management (HCM) and Workforce Management systems.

Conclusion

In conclusion, navigating the Colombian employment landscape requires a nuanced understanding of the legal and regulatory framework. Mercans offers comprehensive Employer of Record (EOR) services, simplifying the complexities associated with workforce management, payroll, and compliance. By providing tailored solutions that adhere to the intricacies of Colombian labor laws, Mercans empowers businesses to focus on their core operations, ensuring a seamless and compliant employment experience in this dynamic South American market. With expertise spanning various aspects of human resources and a commitment to keeping abreast of legislative changes, Mercans stands as a strategic partner for businesses aiming to thrive in Colombia’s evolving business environment.

This document was prepared for informational purposes only. As local laws & regulations keeps on changing. Please consult your tax & legal advisors as well.

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