Milei's Labor Reform 2026: All the Keys to the Law After Changes in the House of Representatives and Senate
The Argentine House of Representatives approved Javier Milei's labor reform bill, which will return to the Senate for final approval due to amendments made during the legislative process.
The Argentine House of Representatives has passed President Javier Milei's labor reform bill after it previously received a provisional sanction from the Senate. However, the bill underwent significant changes, including the controversial article regarding salary payments during medical leave, which was annulled, thereby retaining the previous law's protections. This means that the reform will not be enacted immediately; it must return to the Senate for further discussion and approval.
The legislation aims to implement structural modifications concerning severance pay, salary payments, and working hours, marking a major shift in Argentinaβs labor regulations. The government plans to address these amendments quickly, with discussions in the Senate expected to occur on the same day of the House's decision, and a final vote anticipated the following week. Key changes made include adjustments to labor rights and protections for workers, which have sparked significant debate among lawmakers and labor groups.
Critics of the bill argue that these reforms could undermine worker protections and increase job insecurity, while proponents believe it will stimulate economic growth and employment. As the bill moves back to the Senate, stakeholders from both sides are gearing up for an intense discussion on the future of labor in Argentina, reflecting the broader economic challenges the country faces as it seeks to navigate the path towards recovery and growth.