The South American country of Argentina is officially named the Argentine Republic. Spanish is the official language, but several dialects are spoken throughout the country. It is one of the largest economies in South America and it is rich in natural resources and boasts a large agricultural industry. A highly educated work force and a growing middle class makes Argentina an ideal location for expanding into South America.
Employment contracts should be written and include the employee’s details, the type of role, the type of work, hours and salary. Full-time employees are typically employed under a long-term contract. Part-time employees are also employed on a long-term contract but with a proportional income. Fixed-term contracts are capped at five years. Temporary contracts are for special arrangements and are capped at six months. Seasonal workers are usually employed on long-term contracts for certain periods of the year.
The standard workweek is 48 hours or eight hours a day. Overtime is capped at three hours a day, 30 hours a month and 200 hours a year. Overtime during the day is paid at a percentage above the standard rate, and a higher percentage during the night. Employees receive a 12-hour rest period between workdays.
Employees receive three months of paid leave if they have fewer than five years of service, this increases to six months after this threshold. For a work-related illness, a work risk insurer, or ART, pays the leave and this is paid for by monthly social security contributions.
Female employees receive 90 days of paid maternity leave with 45 days before the birth, and this can be extended to six months if they have a year of service. Male employees receive two days of paid paternity leave. Female employees also receive two 30-minute breaks a day for breastfeeding. Their position is protected for the duration of the pregnancy and as long as 7.5 months after birth.
Argentina has a minimum wage. In addition, a 13th month bonus is mandatory. The first half of the bonus is paid by June 30, and the remainder by Dec. 18. It is called “Sueldo Annual Complementario.”
Employees receive 14 days of paid annual leave, and after five years of service this leave increases to 21 days. After 10 years of service, this increases to 28 days. After 20 years of service, it increases to 35 days. Employees aged between 16 and 18 years old also receive paid annual leave. The employer determines when annual leave can be taken and up to a third of the annual leave can be carried over
Employees are eligible for public healthcare after being registered for social security and have made contributions.
When terminating an employee, the employer must provide written notice with the cause and date of termination. Employees cannot be dismissed without cause, and when terminating pregnant employees and recently married employees, the burden of proof is with the employer. For redundancies, the employer must notify the Ministry of Labor, and the employee’s union and then the union and employer negotiate the exit. The probation period is capped at three months while fixed-term contracts are capped at five years with no limit on the number of renewals. The notice period is 15 days and rises to a month for up to five years of service or two months beyond this. Severance pay is 15 days for up to a year of service and then two weeks for every year served.
We understand that local laws and regulations change and sourcing an accurate reference guide is not easy. Our data is researched and verified by our team of local international Employment Attorneys, HR and Benefit Professionals and Tax Accountants through our Atlas team and consultants, to ensure information up-to-date and accurate.
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