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Colombia's president signs a labor overhaul into law after 2 failed attempts

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Colombia's president signs a labor overhaul into law after 2 failed attempts
News

News

Colombia's president signs a labor overhaul into law after 2 failed attempts

2025-06-26 13:30 Last Updated At:13:51

BOGOTA, Colombia (AP) — Colombian President Gustavo Petro signed into law on Wednesday a controversial labor overhaul with the potential to profoundly shift the balance of power from employers to workers, a key victory for the left-wing leader even as Congress compelled him to scale back his more radical ambitions.

The enactment of the law marks a milestone for a president who has struggled to deliver on his promises to reduce inequality in one of the region's most unequal nations. But it's faced opposition from business leaders and Colombian government bonds have suffered as markets worry about the fiscal and economic effects.

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Colombia's Labor Minister Antonio Sanguino signs a labor reform bill into law in Bogota, Colombia, Wednesday, June 25, 2025. (AP Photo/Fernando Vergara)

Colombia's Labor Minister Antonio Sanguino signs a labor reform bill into law in Bogota, Colombia, Wednesday, June 25, 2025. (AP Photo/Fernando Vergara)

Colombia's President Gustavo Petro gives a thumbs up before signing a labor reform bill into law, in Bogota, Colombia, Wednesday, June 25, 2025. (AP Photo/Fernando Vergara)

Colombia's President Gustavo Petro gives a thumbs up before signing a labor reform bill into law, in Bogota, Colombia, Wednesday, June 25, 2025. (AP Photo/Fernando Vergara)

Colombia's President Gustavo Petro raises a fist before signing a labor reform bill into law in Bogota, Colombia, Wednesday, June 25, 2025. (AP Photo/Fernando Vergara)

Colombia's President Gustavo Petro raises a fist before signing a labor reform bill into law in Bogota, Colombia, Wednesday, June 25, 2025. (AP Photo/Fernando Vergara)

Colombia's President Gustavo Petro signs a labor reform bill into law in Bogota, Colombia, Wednesday, June 25, 2025. (AP Photo/Fernando Vergara)

Colombia's President Gustavo Petro signs a labor reform bill into law in Bogota, Colombia, Wednesday, June 25, 2025. (AP Photo/Fernando Vergara)

The law increases overtime pay for salaried workers and limits the use of short-term contract workers, while requiring companies to provide medical coverage and social security for gig workers like food delivery drivers. It also promises student interns proper contracts and benefits like vacation time and severance pay.

Many of Petro’s efforts to vastly expand social programs have stalled in Congress, with lawmakers shooting down this labor law twice. Lawmakers let the legislation squeak by last week after Petro’s moved to call a public referendum.

Petro signed the legislation at the historic home of 19th-century war hero Simón Bolívar, who led South America's fight against imperial Spain.

He posted on social media platform X: “I sign the labor reform into law before Bolívar and the working people.”

“We must elect a government that will uphold this law and enforce it,” Petro said, alluding to the 2026 presidential elections.

The reform was cheered by trade unions and Petro’s political allies Wednesday.

But his push to strengthen worker protections has proved controversial, as the expensive benefits are expected to hike up costs for business owners. Petro’s government has promised to push through a new bill to help small businesses, though the details remain unclear.

Opposition lawmakers have painted a nightmare scenario of mass layoffs that will push more workers into Colombia’s already vast informal economy.

Many say that the mandated reductions in working hours, increases in overtime pay for Sunday and holiday shifts will especially squeeze small and medium-sized businesses.

Already, his government’s increased spending and reduced tax income have challenged fiscal stability.

Critics also say that the changes won’t help informal workers without contracts, who represent over half of Colombia’s total labor force, according to the latest figures. The legislation guarantees health and pension benefits for only some gig workers, such as app-based delivery workers.

Then there’s the question of compliance. “I want to tell those employers who say they won’t implement the labor reform that they’re not intelligent,” Petro said on Wednesday.

Even as he hailed the law, it fell short of Petro's ambitions. He was forced to compromise on some key provisions to push it through a hostile Congress.

Provisions stripped from the final version included extended paternity leave, paid leave for women with debilitating menstrual pain and some collective bargaining rights for unions.

The signing of the law comes at a tumultuous time for the third largest nation in Latin America, with a wave of bombing attacks shaking the northeast and an assassination attempt on conservative presidential hopeful and senator Miguel Uribe stunning the country. Uribe remains in intensive care.

Colombia's Labor Minister Antonio Sanguino signs a labor reform bill into law in Bogota, Colombia, Wednesday, June 25, 2025. (AP Photo/Fernando Vergara)

Colombia's Labor Minister Antonio Sanguino signs a labor reform bill into law in Bogota, Colombia, Wednesday, June 25, 2025. (AP Photo/Fernando Vergara)

Colombia's President Gustavo Petro gives a thumbs up before signing a labor reform bill into law, in Bogota, Colombia, Wednesday, June 25, 2025. (AP Photo/Fernando Vergara)

Colombia's President Gustavo Petro gives a thumbs up before signing a labor reform bill into law, in Bogota, Colombia, Wednesday, June 25, 2025. (AP Photo/Fernando Vergara)

Colombia's President Gustavo Petro raises a fist before signing a labor reform bill into law in Bogota, Colombia, Wednesday, June 25, 2025. (AP Photo/Fernando Vergara)

Colombia's President Gustavo Petro raises a fist before signing a labor reform bill into law in Bogota, Colombia, Wednesday, June 25, 2025. (AP Photo/Fernando Vergara)

Colombia's President Gustavo Petro signs a labor reform bill into law in Bogota, Colombia, Wednesday, June 25, 2025. (AP Photo/Fernando Vergara)

Colombia's President Gustavo Petro signs a labor reform bill into law in Bogota, Colombia, Wednesday, June 25, 2025. (AP Photo/Fernando Vergara)

WEST PALM BEACH, Fla. (AP) — President Donald Trump on Sunday fired off another warning to the government of Cuba as the close ally of Venezuela braces for potential widespread unrest after Nicolás Maduro was deposed as Venezuela's leader.

Cuba, a major beneficiary of Venezuelan oil, has now been cut off from those shipments as U.S. forces continue to seize tankers in an effort to control the production, refining and global distribution of the country's oil products.

Trump said on social media that Cuba long lived off Venezuelan oil and money and had offered security in return, “BUT NOT ANYMORE!”

“THERE WILL BE NO MORE OIL OR MONEY GOING TO CUBA - ZERO!” Trump said in the post as he spent the weekend at his home in southern Florida. “I strongly suggest they make a deal, BEFORE IT IS TOO LATE.” He did not explain what kind of deal.

The Cuban government said 32 of its military personnel were killed during the American operation last weekend that captured Maduro. The personnel from Cuba’s two main security agencies were in Caracas, the Venezuelan capital, as part of an agreement between Cuba and Venezuela.

“Venezuela doesn’t need protection anymore from the thugs and extortionists who held them hostage for so many years,” Trump said Sunday. “Venezuela now has the United States of America, the most powerful military in the World (by far!), to protect them, and protect them we will.”

Trump also responded to another account’s social media post predicting that his secretary of state, Marco Rubio, will be president of Cuba: “Sounds good to me!” Trump said.

Trump and top administration officials have taken an increasingly aggressive tone toward Cuba, which had been kept economically afloat by Venezuela. Long before Maduro's capture, severe blackouts were sidelining life in Cuba, where people endured long lines at gas stations and supermarkets amid the island’s worst economic crisis in decades.

Trump has said previously that the Cuban economy, battered by years of a U.S. embargo, would slide further with the ouster of Maduro.

“It’s going down,” Trump said of Cuba. “It’s going down for the count.”

A person watches the oil tanker Ocean Mariner, Monrovia, arrive to the bay in Havana, Cuba, Friday, Jan. 9, 2026. (AP Photo/Ramon Espinosa)

A person watches the oil tanker Ocean Mariner, Monrovia, arrive to the bay in Havana, Cuba, Friday, Jan. 9, 2026. (AP Photo/Ramon Espinosa)

President Donald Trump attends a meeting with oil executives in the East Room of the White House, Friday, Jan. 9, 2026, in Washington. (AP Photo/Alex Brandon)

President Donald Trump attends a meeting with oil executives in the East Room of the White House, Friday, Jan. 9, 2026, in Washington. (AP Photo/Alex Brandon)

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