This paper tests the relationship between urban labor informality and the process of industrial development using data from the Encuesta Nacional de Hogares, implemented by DANE in the ten major metropolitan areas during the even years of the period between 1988-2000, but 1990. By using this data, I estimate a "fixed effects model of panel data", where the informality rate and the sectorial PIB, as a share of the department PIB, are related. The results obtained show that the informality rate in these metropolitan areas has a local component which is associated to the industrial performance of the region. This local component has a negative correlation with the performance of the productive structure, so the metropolitan areas less industrially developed and with small markets are those with high informal labor rates. [ABSTRACT FROM AUTHOR]