The draft “Labour Modernization Law” has already been circulated among representatives and senators loyal to the government and allied with it, and includes: More controversial than expected changes in salaries, end-of-service benefits, Democracy and financing of unions, as well as restrictions on strikes.
There are 182 articles in the text Strong reductions in employer contributions and income tax For the worker and financial income, in addition to the disappearance of the luxury tax on cars and the internal tax on mobile phones, etc.
It also changes the domestic worker system and the labor justice system Establishment of the Work Assistance Fund (FAL), an employment termination fund From state administration, but with employers’ accounts and with a contribution of 3% from the company, where the government reduces employer contributions by the same percentage for those who comply.
What does the initial draft say about salary?
salary
Salary may be determined by time or work performance, and in the latter case by work unit or individual or group commission.
Other things may be incorporated above salaries and/or mandatory payment concepts. Additional dynamic bonus componentswithout implied continuity, superactivity, or convention applying to it.
The salary must be paid in cash, whether in… National or foreign currencyOr types, or room, or food.
Deposit can be made Deposited with payment service providers such as Mercado Pagoor in other categories of entities that the enforcement authority permits and deems appropriate. This insists on the initial project, against the criticism of the banks.
What is decided regarding working hours and vacations
working day
The employer and employee may voluntarily agree on an overtime compensation system.
For this purpose: A Overtime system, bank hours, compensatory francsamong other institutes related to working hours. The union agreement is optional.
the It can be a 12-hour day and a 35-hour week. When different business needs justify it.
“When it comes to The work carried out by the teamsThe work period may be extended to more than 8 hours per day and 48 hours per week.
vacation
Leave can be divided into 7-day weeks and is only necessary to be granted in the summer every 3 years.
What does he say about social benefits
Social benefits
Grants of a non-remunerative nature, i.e. without contributions or contributions, to non-salary payments from the employer, It is more limited than expected.
the Tickets or food vouchers are left to the decision of the enforcement authorityBecause it is expected that the benefits of paying food in gastronomic establishments close to the company subject to this condition will be unremunerative.
he Includes drug reimbursement and prepaid drug copays In non-compensatory benefits.
Although not in this chapter The possibility of not paying subscriptions related to car and cell phone expenses is also given. For the benefit of the company.
Strong limits on end-of-service benefits
compensation
The project sets strict limits for calculating compensation for dismissal due to seniority without a legitimate reason.
The salary base of the normal and usual wage with reductions is determined and fixed The basic salary may not exceed the equivalent of three times The amount of the average monthly salary of bonuses stipulated in the collective bargaining agreement applicable to the worker at the time of dismissal, for the legal or traditional working day, excluding seniority.
Through a collective bargaining agreement, the parties may replace this compensation system with a severance fund or system, the costs of which are borne by the employer.
What does tax reform look like in profits and internal taxes?
income tax
The draft law reduces income tax on workers who depend on the highest salaries, by reducing the percentage of the highest sections of the table, as of January 1, 2026, from 30% to 27% and from 35% to 31.5%.
It is also exempt from profits derived from Renting real estate for residential purposes The place value of the house.
Likewise, the result derived from Eliminate certain characteristics and transfer of rights therein.
Financial income
Likewise, taxes on financial income disappear on some instruments, with the exception of cryptocurrencies.
Internal taxes
As for taxes affecting consumption, the luxury tax on cars and internal taxes on mobile phones disappear.
What other criteria are included?
Strike limitsProviding basic services.
Amendments to the private employment contract system for employees Private homes.
Personal services system Delivery and messaging using the platforms Technological.
Amendments to the National Labor Justice Organization and Procedures Law and the Law on Professional Fees for Lawyers and Experts.
Modifications to the system Small and medium enterprises.
Collective agreements, law Unions, associations and delegatesunion protection.
He creates Basic job training program.
Incentive scheme for the formalization of labor (RIFL) for one year.
Business risks
Work benefits are already registered, with Reducing employer contributions In some cases
Promotion of Registered Employment (PER), with a ovary Who insists on the previous formulas Not very successful.
This draft anticipates robust discussions, especially with the CGT, because it includes more controversial provisions than previously known versions.