Joyful diverse Colombians on a Bogotá street celebrating record-low 8.9% unemployment rate since 2001, with job growth billboard.
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Colombia's unemployment rate reaches lowest since 2001

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Colombia's National Administrative Department of Statistics (DANE) reported that the unemployment rate for 2025 was 8.9%, the lowest since 2001. This figure marks a 1.3 percentage point decrease from 2024. In December 2025, the rate fell to 8%, with employed population rising by 603,000 people.

The DANE presented Colombia's labor market results for 2025, highlighting an annual unemployment rate of 8.9%, the lowest in the historical series since 2001. This represents a drop of 1.3 percentage points from the 10.2% in 2024, with 2.1 million people unemployed by year-end.

In December 2025, the unemployment rate was 8%, a statistically significant reduction of 1.1 percentage points from 9.1% in the same month of 2024. The employed population increased by 603,000 people, 2.6% more than the previous year, raising the occupation rate to 59.2% from 58.5%. The global participation rate stood at 64.3%, slightly below 64.4% in 2024.

Labor informality fell to 55.5% in December, a 1.2 percentage point decrease. Gender gaps showed rates of 11.4% for women and 7.0% for men in the year, the lowest in nine years analyzed. For the October-December 2025 quarter, the rate was 7.7%, the lowest in that period.

Among the 13 cities, the lowest unemployment rates were in Bogotá (6.5%), Villavicencio (7%), and Pereira (7.3%), while Quibdó (23.1%), Cartagena (14.1%), and Sincelejo (11.4%) had the highest. Sectors with the largest increases in employed people included manufacturing industries (510,000 people), public administration, education, and health (121,000), and artistic and service activities (114,000).

Piedad Urdinola, DANE director, emphasized: “This rate is the lowest in the entire series since 2001.” President Gustavo Petro celebrated the data on X, stating that “these economic results show that all the worldwide legal, political rhetoric of the opposition, and those who influence it: the big money of Colombia's mega-rich, is absolutely wrong; here the majority media discourse is refuted.”

What people are saying

Discussions on X about Colombia's unemployment rate reaching 8.9% in 2025, the lowest since 2001, and 8% in December are overwhelmingly positive. Government supporters, politicians, and unions credit President Petro's policies for job growth, especially in manufacturing, and contrast it with previous administrations. Major news outlets report the DANE data factually with high engagement. Skeptical notes highlight persistent high informality at 55.5%. No significant negative reactions found.

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Photorealistic image of happy Colombian workers symbolizing 8.2% unemployment rate drop, blending formal and informal jobs in urban setting.
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Dane reported that Colombia's unemployment rate in October 2025 was 8.2%, the lowest for an October since 2017, with 2.1 million people unemployed. This marks a drop of 0.9 percentage points from October 2024. However, Andi warned about the rise in labor informality amid job creation.

In December 2025, Colombia created 603,000 new jobs, lowering the unemployment rate to 8.0%, a drop of 1.1 percentage points from 2024. Yet, 55.5% of workers, or about 13.45 million people, remain in informal employment. Experts note progress but warn of ongoing structural challenges in the labor market.

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Colombia's rural sector recorded 4.8 million occupied people in 2025, the highest figure since 2021, according to DANE. The rural unemployment rate dropped to 6.7%, the lowest in seven years, driven by 103,000 new jobs in agriculture. Agriculture Minister Martha Carvajalino credited these advances to policies under President Gustavo Petro's government.

Following stalled talks where unions demanded a 16% rise and businesses warned of economic risks, President Gustavo Petro decreed on December 30 a 23% increase in Colombia's 2026 minimum wage, to 1,750,905 pesos plus 24.5% higher transportation aid of 249,095 pesos, totaling 2 million pesos monthly. The hike benefits 2.4 million formal workers and aims for an ILO 'vital wage,' but prompts debate on inflation, SME impacts, and competitiveness.

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Production costs in Colombia's industry fell 2.63% at the end of 2025 compared to 2024, according to the Producer Price Index (IPP) report from Dane. The Ministry of Hacienda highlighted this drop as a sign of relief for inflation, driven by moderation in external raw material prices and imported goods. The mining and quarrying sector led with a -19.91% decline.

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Colombia's hotel sector saw a 3.5% drop in real revenues in October, driven by a 32.8% decline in the Pacific region. While real wages rose 3.3%, occupied personnel fell 1.8% nationally. Cotelco calls for policies to boost tourism competitiveness.

 

 

 

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