Employ Candidates Compliantly in Argentina

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  1. Overview: Argentina
  2. Global HR Compliance
  3. Global PEO and payroll
  4. Work permit for hiring expats via PEO
  5. Expand without a company set up
  6. Contractor vs. employee: which is better?
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Global HR Compliance in Argentina

If you hire an international workforce, or plan to hire, then Hiring and Firing Workforce in Argentina Guide below will help you understand the nuances of labor legislation in the country.

When the company is planning to enter a new foreign market of Argentina and has a need to employ a local national there, the first question to answer is how it is going to make local hires.

We have designed a Global Employer of Record service to help you outsource global employment of your foreign workforce to companies like ours.

This solution helps you employ your global sales force in Argentina as well as in other 180+ countries of the world, and provide pay and benefits to your employees, as well as administer any business expenses with our help.

Our solution is different from other hiring modes in that it helps you engage your foreign workforce in full compliance with the local labor legislation. This means you are protected from any non-compliance and employee misclassification risks while we bear all employment risks, not you.

So, it looks very much like hiring your in-house sales force in your home country. However, you focus on only on your global business development while we admin your global HR. In addition, you don’t need to open your own entities in the foreign countries and can leverage our infrastructure in Argentina instead. With our service, you can become a global company with reduced costs and minimized time and effort on your end.

Your employed foreign sales force will devote 100% of their time to your company product and may stay with you longer than foreign independent sales reps.

Global Employer of Record solution is 100% compliant solution that guarantees you and your employees fully compliance with local legislation in Argentina.

We are experts in global workforce employment in Argentina, and our goal is to become your single provider. Instead of working with numerous local staffing agencies and legal advisors, Acumen International can solve your global business challenges and save you time, costs, and resources.

Our team of English-speaking professionals frees you from working through language nuances. Acumen International works 24/7 and can assist you whenever you need, regardless of time zones. Our goal is to create tailored labor solutions for you that are managed legally and in full compliance with the local employment laws.

With our knowledge and deep understanding of local nuances, you easily satisfy your need for skilled professionals in your global industry. With our qualified local partners, you can trust that your global workforce satisfies all local tax, social security, and immigration requirements in Argentina.

See Hiring and Firing Workforce in Argentina Guide below for a general overview of labor rules and regulations in the country. Or contact us if you need to employ workers in Argentina or would like to get more details.

Hiring and Firing Workforce in Argentina

# Employment Contracts

Contracts of employment are principally executed for indefinite period and may be in any form – written or oral. Other contracts such as fixed-term, part-time, seasonal and special service contracts must be executed in writing. Employment contracts, having been concluded may be amended by the consent of both parties of employment. Employers can unilaterally amend a contract only if the changes are fair and sensible, are in the non-essential employment conditions and do not cause any damage to the employees.

A person must be at least 16 years of age to be eligible to enter into an employment relationship.

# Minimum statutory employment rights

# Hours of work
Normal workday shall not exceed 8 hours per day and 48 hours per week. Night shift-hours worked between 9pm and 6am must not be more than 7 hours per shift.

# Probation period
The first 3 months of an indefinite employment contract is usually considered to be a probationary period. During a probationary period, an employee shall be entitled to all the rights and obligations that are intrinsic to the employment relationship. An employer or employee may terminate an employment contract during the probation period with no liability for just cause and severance payment provided h/she notifies the other party 15 days ahead of time.

# Annual leave
Employees are entitled to annual leave from their sixth month of employment. Employees shall be granted 14 calendar days of paid leave yearly till their fourth year of employment. Annual leave entitlement shall be increased to 21 calendar days for employees with 5 to 10 years of services; to 28 calendar days for those with 10 to 20 years of service and to 35 calendar days for those with 20 or more years of service.

# Parental leave
Employers are obligated to allow their pregnant employees to take 45 days of paid pre-birth leave and 45 days of paid post-birth leave. Employees have the right to request for a shorter pre-birth leave (by 10 days), and a proportional extended post-birth leave. At the end of a maternity leave, employees shall be granted two 30-minute breaks daily for a period of one year to breastfeed their newborn babies. Also, mothers with sick child of under 18 years are entitled to 3 to 6 months of unpaid leave to care for their sick child.
Employees on maternity leave cannot be terminated unless it is for reasons that are not related to the childbearing.

Male employees can take two days’ paternity leave after the birth of a child.

# Sick leave
Sick leave is available to employees each time they are sick. Employees are entitled to up to 3 months of paid leave if they have 5 or less years of service with the company. Employees with more than 5 years of employment in a company have the right to up to six months of paid sick leave.

On completion of a paid sick leave, employees shall have the right to take up to 12 months of unpaid leave as well as the right to retain their contracts until the end of the 12 months.

# Overtime
Overtime is allowed provided it does not exceed 30 hours per month or 200 hours per year. Employees shall be compensated with 50 percent of wage for overtime that is done during a workday and 100 percent if it is worked on the weekend or holiday.

# State minimum salary
As of October 2017, the national monthly minimum wage in Argentina is 8860 ARS. In some cases, employees may be entitled to a higher minimum wage, subject to the terms of collective agreement, company level agreement or individual employment contract.

# Employment termination
An employer may terminate an employee with a notice of termination that varies in duration as shown below, subject to employee’s length of employment with the employer:

  • 15 days’ notice – during the probationary period;
  • One-month notice – for employee with less than 5 years of employment;
  • Two-month notice – for employee with more than 5 years of employment.

In the absence of a prior notification, employers shall be obligated to provide an indemnity in lieu of the notice.
Terminated employees are entitled to severance pay that is calculated on the basis of their highest regular monthly earnings during the preceding years of employment with the company.

Termination for gross misconduct may be effected without a prior notice or severance pay, provided that the employer provides a prove to support his/her claims.

Acumen International can help you fast-track your possibilities of entering and expanding your business in Argentina by providing you with our Employer of Record services. Our unique mix of PEO/EOR solutions will enable you to jumpstart your global operations almost immediately, cost-effectively and compliantly without any need to set up a legal entity first or afterwards.

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