Milei Labor Reform Project: Cuts in compensation, 12-hour days and limits on strikes

Published at: 12/12/2025 10:25 AM

The labor reform bill presented by the president of Argentina, Javier Milei, reduces the basis for calculating severance pay and eliminates vacations, bonuses, tips and prizes from the final amount. In addition, it allows SMEs to pay in installments and prohibits seeking additional civil compensation.

The working day may be extended up to 12 hours through individual or business agreements, keeping only 12 hours of rest.

Wages may be paid in pesos, in foreign currency or partially in gift cards. All payments will be made by bank transfer and a merit compensation system will be introduced, El Dinamo reported.

Union meetings at workplaces will require prior authorization from the employer and will not be remunerated. To declare strikes, requirements are tightened, limits are established and blockades of factories or facilities are sanctioned. Companies must maintain minimum operations, even in the event of a strike.

The holidays may be divided into periods of seven days and the employer will set the date 45 days in advance. They can only be enjoyed in summer once every three years.

The probationary period for domestic workers is extended to six months, during which there is no right to compensation in the event of termination of the employment relationship.

Platforms such as Uber and Rappi will not be required to provide safety equipment, cover maintenance, or pay in case of accidents that prevent work.

Mazo News Team