The Government is advancing a Labor Reform bill, which comprehensively amends the Labor Contract Law and complementary regulations. The objective is to reduce litigation, promote formal employment, and update labor relations to new productive models, according to the preliminary document. The draft, seen by the Argentine News Agency, proposes the creation of a Registered Employment Promotion Regime, allowing employers to regularize unregistered or poorly registered labor relations. It also enables collective agreements to replace severance pay with an employment termination fund funded by employers. The preliminary document also introduces changes to Article 212 related to work-related diseases and accidents, adjusts criteria for worker reinstatement, and establishes different compensation modalities depending on the type of incapacity. Another significant chapter is the creation of a special regime for platform delivery workers, defining them as 'independent contractors'. However, the draft maintains that lack of registration constitutes a presumption in favor of the worker in case of a judicial dispute. One of the main axes of the draft is the modification of the compensation system. The text redefines the calculation base, sets caps equivalent to three times the average salary of the applicable collective agreement, and establishes a floor of 67% of the normal and habitual salary.
