Politics Economy Local 2026-02-19T02:11:50+00:00

Argentina Approves New Labor Reform

Argentina's Parliament approved a labor reform project with majority support. The new rules change collective bargaining, severance pay, and union rights. Key changes include prioritizing individual agreements, introducing a dynamic salary, and eliminating joint liability in subcontracting.


Argentina Approves New Labor Reform

Buenos Aires, February 18 - With 44 signatures, La Libertad Avanza and allied forces secured the majority report on the labor 'modernization' project. The initiative is now ready to be debated in the chamber, where the ruling coalition arrives with doubts about achieving a quorum. The official project was endorsed by the signatures of representatives from La Libertad Avanza, PRO, UCR, Independencia (dissident Peronists from Tucumán), MID, and Producción y Trabajo (San Juan). An unexpected signature was added that of Río Negro's Sergio Capozzi, who distanced himself from the minority report of the rest of his Provincias Unidas bloc to align with partial dissidents to the majority report. With 29 signatures, Unión por la Patria presented its own opinion, while minority opinions were also signed by Nicolás Massot (Provincias Unidas), Mónica Frade (Coalición Cívica), and a rejection opinion from Néstor Pitrola (Frente de Izquierda). Key points of the majority report include individual company agreements taking precedence over activity-based collective agreements, limiting the ultra-activity of collective agreements, a 'dynamic' salary considering personal merit, cheaper severance pay, the possibility of payment in foreign currency, and the elimination of joint liability in third-party hiring.

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