Argentina labour reform approved: What changes? From employees' salary, vacations to working hours

Argentina has recently approved a comprehensive labor reform package known as the 'labor modernization law', aimed at revamping its labor market. Key changes include extending the maximum working day to 12 hours, which has raised concerns among labor unions about worker exploitation. Additionally, the law reduces severance pay for employees and places restrictions on the right to strike, thereby limiting workers' ability to protest against employer decisions. The reform also includes measures to lower employer taxes, intended to incentivize hiring and stimulate economic growth. Supporters argue that these changes are necessary to enhance the country’s competitiveness and attract foreign investment, while critics warn that they undermine workers' rights and protections. This controversial legislation reflects Argentina's ongoing struggle with economic challenges, including high inflation and unemployment rates, and is seen as a pivotal moment in the country's labor relations landscape. The government maintains that the reforms will ultimately benefit both employees and employers, but the reaction from labor groups suggests a turbulent road ahead as they prepare to respond to these significant changes.