{"id":224692,"date":"2024-07-14T11:42:49","date_gmt":"2024-07-14T14:42:49","guid":{"rendered":"https:\/\/cspabogados.com.ar\/?p=224692"},"modified":"2026-08-19T13:10:55","modified_gmt":"2026-08-19T16:10:55","slug":"regularization-of-labor-relations-in-argentina","status":"publish","type":"post","link":"https:\/\/cspabogados.com.ar\/en\/regularization-of-labor-relations-in-argentina\/","title":{"rendered":"Regularization of labor relations in Argentina by the \u201cLey Bases\u201d. Repeal of labor fines"},"content":{"rendered":"

Regularization of labor relations in Argentina by the \u201cLey Bases\u201d. Repeal of labor fines<\/h1>

by Mario Eduardo Castro Sammartino<\/a><\/span> | 14 Jul 2024<\/span><\/p><\/div><\/div><\/div>

The regularization of labor relations in Argentina and labor fines for their lack of or incorrect registration have always been controversial and hot topics.<\/p>\n

The so-called Ley de Bases y Puntos de Partida para la Libertad de los Argentinos<\/em> No. 27742 (hereinafter the Ley Bases), published in the Official Gazette of the Nation on 8 July 2024 and effective as of the day following its publication except in the chapters or titles where it states otherwise, brings a diversity of reforms in labor matters, among them those that concern the subject addressed in this article.<\/p>\n

The new opportunity for regularization of labor relations in Argentina<\/strong><\/h2>\n

It is well known that the labor market in Argentina has a high degree of informality, with many unregistered or incorrectly registered labor relations.<\/p>\n

To survive by avoiding the high costs of social security and trade union contributions and the difficulties and financial burden of dismissal of workers, small and medium-sized companies assumed high contingencies due to the lack of or incorrect regularization of labor relations in Argentina.<\/p>\n

The regulations that sought to punish irregular relations with fines have notoriously failed to reduce informality.<\/p>\n

To improve the above picture, the Labor Reform in Argentina by the Ley Bases allows the regularization of labor relations in Argentina in the private sector initiated before its enactment date, whether they were not registered or whether the registration was deficient (Article 76).<\/p>\n

The effects of the regularization and the remission percentages will be established by the regulations of the Ley Bases. They may include the cease of criminal actions, remission of infractions, fines, and sanctions, removal from the Register of Employers with Labor Sanctions, and remission of debts for capital and interest due to non-payment of contributions to certain social security subsystems.<\/p>\n

The regulations shall determine the remission percentages to be applied, which in no case shall be less than seventy percent (70%) of the amounts owed.<\/p>\n

Incentives may be established for payment in cash and additional benefits for micro, small, and medium-sized enterprises (Article 77).<\/p>\n

Debts in dispute in administrative, contentious-administrative, or judicial proceedings at the date of publication of the Ley Bases may be included in the regularization under certain conditions (Article 80).<\/p>\n

The regularization must be carried out within 90 days of the entry into force of the regulations of the Ley Bases (Article 79).<\/p>\n

This new opportunity to regularize labor relations in Argentina is an important measure to reduce the informality of the labor market to the benefit of all players.<\/p>\n

Repeal of labor fines<\/strong><\/h2>\n

The Labor Reform in Argentina by the Ley Bases repeals the special compensations of the laws N\u00ba 24.013 (lack or incorrect registration of labor relations when the relationship was in force), N\u00ba 25.323 (lack or incorrect registration of labor relations when the relationship was not in force, or when the worker was obliged to initiate collection actions), and N\u00ba 25.345 (for failure to make available the certificates of services and work certificates).<\/p>\n

These so-called \"fines\" did not solve the problems that motivated their enactment and only produced sky-rocketing amounts of compensation that, in many cases, jeopardized the subsistence of companies, especially small and medium-sized ones, or their sale.<\/p>\n

The repeal of labor fines in Argentina is a significant measure that eliminates regulations that proved useless and very costly.<\/p>\n

Conclusions<\/strong><\/h2>\n

The provisions of the Ley Bases regarding the regularization of labor relations and the repeal of labor fines are significant for local companies, allowing them to be in labor compliance, eliminating high contingencies, the possibility of sanctions, and improving their risk profile to receive investments or be acquired in mergers or acquisitions, especially by foreign companies.<\/p>\n

Introduction to the Ley Bases of Labor Reform in Argentina. Full report<\/strong><\/h2>\n

If you would like a brief introduction to the main aspects regulated by the Ley Bases in labor matters, you can consult the following post on our Legal Blog: https:\/\/cspabogados.com.ar\/reforma-laboral-en-argentina-ley-bases\/ \u00a0<\/span><\/p>\n

Should you want a complimentary full report in pdf format specially prepared by us, please contact us<\/a>.<\/p>\n

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Mario E. Castro Sammartino<\/p>\n

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For additional information on these or any other issues related to doing business in Argentina, please,\u00a0sign up<\/a>\u00a0for our Legal Blog or\u00a0contact us<\/a>\u00a0at any time.\u00a0Our publications exclusively express the\u00a0author\u00b4s opinion and do not purport to be legal counsel on any case. Should\u00a0you need it, you must consult with your trusted lawyer.\u200b<\/p>\n

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