Fenalco, the Colombian merchants’ federation, has proposed that the 2027 minimum wage increase should not exceed 9 percent. Its president, Jaime Alberto Cabal, made the case at the Asocajas congress, where he argued for a wage rule that is politically costly for the government. Cabal said the inflation-plus-productivity formula should be followed.
Gap between the sides
Business guilds have floated a range starting at 8.5 percent. Labor unions, through the centrales obreras, are asking for 38.5 percent.
The 2026 decree raised the minimum wage by 23 percent. That increase is now the subject of nullity lawsuits before the Consejo de Estado, which is reviewing the case. A 2017 decree was annulled for insufficient justification, though wages already paid were protected.
Timetable and legal fallback
The Comisión Permanente de Concertación de Políticas Salariales y Laborales must reach an agreement by 15 December. If talks run past that date, the commission has until 30 December to seek consensus. Failing that, the government sets the increase itself.
Under Law 278 of 1996, that default rests on the inflation target set by the Banco de la República board and on productivity figures agreed by the tripartite committee coordinated by the Ministry of Labor. The Dane will publish total factor productivity data at the end of November, an input both sides will use.
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Source: Fenalco
