ARTICLE

Penalty fee for labor certificates

The Argentine Chamber of the Labor Court of Appeals established that even when the existence of differences in salaries is accredited, the allocation of the penalty fee in cases in which the labor certificates have been duly and timely delivered does not apply, even though the employee refuted them due to a lack of display of the reality of the labor relationship.

August 4, 2016
Penalty fee for labor certificates

On July 6, 2016, Court Room I of the Argentine Chamber of the Labor Court of Appeals established that, even when the existence of differences in salaries is accredited, if the labor certificates were duly and timely delivered to the employee, the allocation of the penalty fee as established by Section 45 of Law Number 25,345 does not apply because the differences in salaries were declared at the moment of dictating the definitive ruling. The employer’s obligation is limited to making the delivery of the labor certificates taking into consideration the records of the company’s books.

In this caselaw, an employee considered himself harmed because the penalty fee set by Section 45 of Law Number 25,345 was dismissed. The employee sustained that the documents compiled and delivered by the employer party did not reflect the reality of the labor relationship, acknowledged by the First Instance Court;  thus, the obligations imposed on the employer as required by Section 80 of the Labor Employment Law were insufficiently performed.

Court Room I of the Argentine Chamber of the Labor Court of Appeals confirmed the ruling, considering that despite the right to perceive the accrued differences in salaries, the employer did not have the obligation to register sums which it did not pay to the employee. Consequently, the obligations required by Section 80 of the Labor Employment Law from the employer are limited to making the delivery of work certificates. taking into consideration the records of the company’s books. Nevertheless, as the employer has been requested to pay the wage differentials and compensations as a consequence of the incorrect professional qualification of the employee, Court Room I of the Argentine Chamber of the Labor Court of Appeals sentenced the employer to draw up and deliver new labor certificates.

This article is intended to provide readers with basic information concerning issues of general interest. It does not purport to be comprehensive or to render legal advice. For advice about particular facts and legal issues, the reader should consult legal counsel.