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Argentina is the second-largest country in South America and the eighth largest in the world
With 47 million native speakers, Argentina ranks as the third-largest Spanish-speaking country globally.
Despite historical fluctuations in wealth, Argentina maintains its status as one of South America's leading economies. The country's economic strength makes it an attractive destination for international talent.
The population in Argentina is highly literate and educated. Argentinan professionals are well-skilled, highly educated, and proficient in English, making international business more convenient.
In Argentina, employment contracts and employer-employee relations are primarily governed by the Labour Contract Law, collective bargaining agreements, and individual agreements with employees. Some key elements of employment contracts in Argentina are:
In Argentina, a probationary period of three months is mandatory for all indefinite-term employment contracts. During this period, the contract may be terminated at any time by either party.
In Argentina, the Employment Contract Law prescribes a standard workweek of 8 hours per day and 48 hours per week, excluding rest time. Night shifts (9 pm – 6 am) and certain unhealthy work are limited to 7 hours per day.
Overtime is capped at three hours daily, 30 hours monthly, or 200 hours yearly, with employees receiving an extra 50% pay. Holidays or work after 1 pm on Saturdays and Sundays warrant an additional 100% pay.
The minimum wage in Argentina is 401.71 ARS an hour.
According to local law in Argentina, employees are entitled to receive an additional month's salary, known as Aguinaldo, which is payable in two semi-annual installments. The first installment is due for payment before June 30th, and the second installment is due before December 18th. This 13th-month salary is a legal requirement and is paid in addition to the employee's regular salary
The individual income tax spans from 5% to 35%, and it is computed based on progressive rates. Various supplementary factors, including household status (rent or credit), the count of dependents below 18, civil status, and geographical residence location, can influence the overall tax rates.
Employers are required to contribute to the pension fund system, and they make a 16% single social security contribution to the Pension Fund.
The tax-related information provided in this guide is intended for general guidance and informational purposes only. Reach out to our dedicated team for insights on remote hiring in Argentina tailored to your needs.
Employers cannot terminate employees at-will, except during the probation period. Employers must provide a valid reason for termination, which can include:
In Argentina, the termination notice period for employees is contingent upon the duration of their service with the company. The notice periods are as follows:
An employee who is terminated without valid reason is eligible for a statutory severance payment of one month's salary for each year of service, or a period longer than 3 months. This amount is calculated based on the employee's highest monthly regular compensation received in the last 12 months of work.
Argentina has the following national holidays:
Legal and compliance experts are readily available to provide guidance and case-by-case Q&A support.
By leveraging dedicated support from in-house legal and compliance experts for case by case questions and more.
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