Federico Sturzenegger, the Argentine Minister of Deregulation and State Transformation, expressed his approval of the recent partial sanction of the labor reform in the Senate, where it received 42 votes in favor. He highlighted the historical significance of this reform, noting it as the first major project since the return to democracy that aims to formalize the labor market, where currently half of the workers are informal and formal job creation has stagnated for a decade. The reform is seen as a pivotal step toward changing the work landscape for Argentinians and addressing ongoing employment issues.

During his interview with a local radio station, Sturzenegger elaborated on key aspects of the legislation, particularly focusing on changes to severance pay, regulations surrounding overtime work, and provisions for sick leave. He underscored the importance of these changes in contributing to a more structured labor environment. Furthermore, he acknowledged the need for negotiations with labor unions regarding contributions to them, indicating a collaborative approach to implementing these reforms.

This labor reform could have significant implications for the Argentine workforce by potentially reducing informal employment and fostering an environment conducive to formal job creation. However, reactions from the labor unions and the general public will play a crucial role in determining the success of these changes, especially given the historic challenges facing the job market in Argentina. The ongoing dialogue between the government and union representatives will likely influence the final implementation of these reforms and their overall acceptance by the workforce.