A series of amendments to the Labour Contract Law, the National Employment Law, and the Educational Internships Law

The Chamber of Deputies’ Commission of Labour Legislation has passed a series of amendments to the Labour Contract Law, the National Employment Law, and the Educational Internships Law.

The main changes include:

  • Labour Contract Law
    • Section 15 - transactional, conciliatory, or release agreements.
    • Section 55 - the omission of displaying the labour books.
    • Section 218 - suspensions decided by the employer.
    • Section 241 - judicial approval of the termination of the contract by mutual agreement.
    • Section 264 - the non-waiver of labour privileges.
  • National Employment Law
    • Modifications regarding the inclusion of agricultural, housekeeping, and public sector employees in the unemployment fund.
    • Modifications to the amount of unemployment benefit, resulting in one minimum monthly wage.
  • Educational Law Internship
    • Section 21 of Law No. 26,427 has been modified to promote the inclusion of students with disabilities within the quota of trainees that companies and government agencies must admit.

Key Developments for 2016

Change of criteria by the Argentine Supreme Court on the right to strike

On 7 June 2016, the Argentine Supreme Court of Justice established that only authorized organizations of workers are entitled to the constitutional right to strike. Therefore, only these organizations (with or without legal recognition) can exercise this right. Non-unionized groups of workers are excluded.

Penalty fee for labour certificates

On 6 July 2016, the Argentine Chamber of the Labour Court of Appeals established that, even when the existence of differences in salaries is accredited, if the labour certificates were duly and timely delivered to the employee, the allocation of the penalty fee as established by Section 45 of Law Number 25,345 does not apply. This is because the differences in salaries were declared at the moment of dictating the definitive ruling. The employer’s obligation is limited to delivering the labour certificates taking into consideration the records of the company’s books.

Stability guarantee – union protection

On 23 February 2016, the Argentine Supreme Court of Justice emphasized that the effective enjoyment of union protection is subject to compliance with the requirement to notify the employer about the employee’s formal application for a union position.

With thanks to Enrique Stile of Marval, O’Farrell & Mairal for his invaluable collaboration on this update.