Colombia: New legislative proposals target pensions and retirement age

Two separate legislative initiatives have been introduced in the Colombian Senate aimed at reforming pension and retirement regulations.

Senator Luis Eduardo Díaz Mateus has proposed a bill to modify the annual pension increase formula. The proposal seeks to align pension adjustments directly with the percentage increase of the national minimum wage. The initiative aims to prevent the progressive loss of purchasing power experienced by retirees when current adjustment formulas lag behind the cost of living and wage growth.

Separately, Senator Antonio José Correa Jiménez has filed a bill to raise the mandatory retirement age for public servants from 70 to 75 years. The project specifies that this change would not force employees to remain in their positions until 75; those who meet pension requirements may still choose to retire voluntarily. The proposal excludes elected officials and certain specific categories of public servants, while also establishing rules for the potential reintegration of officials who were retired after January 1, 2026.