Since Javier Milei's government achieved a significant victory in the Senate last week, securing preliminary approval for labor reform, the ruling party seeks to maintain the momentum and quickly finalize the debate and approval of the project in the Chamber of Deputies. This triumphant spirit, bolstered by the approval of youth penal code reform in the lower house, has emboldened the ruling coalition, aiming to bring the labor reform bill to a vote in the lower chamber soon after a committee report is issued.

However, this push faces challenges due to concerns raised about the Senate's approved provisions, primarily focusing on a clause that cuts wages during sick leave. The emerging critiques threaten to derail the government's libertarian agenda in Congress, prompting Economic Minister Luis Caputo to advocate for the labor reform bill, which is under his close supervision. His remarks underline a significant divide between the government and business leaders, highlighting the lack of engagement from the latter on vital policy issues.

Caputo's comments reflect broader tensions within the Argentine economic landscape, where labor reforms are critical for the government’s agenda but encounter resistance from various sectors, including business leaders who may be wary of the potential impacts on their workforce. The progression of the labor reform bill and its reception by the business community will be pivotal in shaping the company's response and broader economic conditions in Argentina moving forward.