the new work requirements that have already come into force

The current reform changes contracts, probationary periods and union rules, offers relief for SMEs and regulates dismissals for just cause

12/14/2025 – 07:08 am

The approval of the Basic Law marks a turning point in the world of work, bringing changes that benefit both employers and employers workers. Key benefits include incentives to encourage formal contracting and reducing the risk of associated legal conflicts employment and regulation of union practices that in some cases threatened the continuity of SMEs. In addition, the law sets clear criteria for those who perform independent professional tasks and issue invoices for their services.

Labor reform in Argentina: How current changes affect and what is being discussed

Facilitation for SMEs and incentives for new hires

According to experts, one of the main obstacles to hiring employees was the complexity and strict interpretation of labor regulations. This had led many companies to explore relocating operations to neighboring countries such as Uruguay and seek more flexible terms for terminating employees and claiming compensation.

The base law introduces a mechanism voluntary severance pay fundwhich works like insurance Compensation for termination during the duration of the employment relationship. This system, with trade union involvement, could even be applied in sectors such as construction, providing greater security for employers and employees.

Regulation of extreme union practices

The reform sets clear limits on certain types of strikes, such as: Access barriers or occupancy of facilitieswhich had become frequent and problematic. The law regulates excessive use of force in labor disputes and provides courts with legal tools to act when necessary.

In addition, there is the possibility of Fire with cause those who intimidate colleagues, do not comply with restraint measures, prevent the entry or exit of persons or property, or cause harm to persons or property of the company.

Reduction of the “experimental industry”

The reform also aims to reduce the impact of the so-called work trial industry. Abolition of excessive fines imposed due to poor work records, failure to provide certificates or late payment of contributions. Removing these sanctions is intended to reduce the legal burden on businesses and create a more predictable environment for economic activity.

Contracts for work and professional services

Contracts for work or freelance services are not within the scope Employment contract law. The regulation makes it clear that the presumption of a dependency relationship does not apply when issuing corresponding receipts or invoices, which creates legal certainty for employers and clarity for freelancers.

This change aims to do thatreduce legal conflicts This has previously made it difficult for many companies to continue to exist.

New trial periods

lThe law extends the conditions of the probationary period: from 3 to 6 months generally, up to 8 months for companies with 6 to 100 employeesand even a year for SMEs up to 5 workers.

Collective agreements can extend these deadlines depending on the industry. This adjustment offers greater flexibility in assessing the initial relationship between employee and employer.

Overall effect

With the entry into force of Basic LawCompanies are expected to have a more secure legal framework workers have clearer rules for hiring and firing. The reform combines incentives for promotion employment formal instruments to reduce legal conflicts and regulations to protect workers’ rights, seeking a balance between economic growth and job stability.