Labor reform: companies call to defend it

Consultants, specialists, and Human Resources executives from leading companies operating in the country agreed in valuing the recently approved Labor Reform as a tool that provides predictability, reflects existing realities, and offers more tools and alternatives for both employees and employers, and called for defending and even advocating for the new regulation.

“The labor reform has contributed to improving the business climate in Argentina; its success will depend on how it is implemented, and in that regard the private sector plays a fundamental role,” said Gustavo Giay, chairman of Marval O’Farrell Mairal, at the opening of the event held this Thursday at the firm’s auditorium, which brought together more than 200 attendees. In that sense, Enrique Stile, partner at the firm and labor law specialist, noted that “there has not been a modernization of labor regulations in Argentina like the one carried out this year.”

Then, during the opening panel, Marval partners Diego Kelly, Rodrigo Solá Torino, and Guillermo Osorio spoke with journalist Guillermo Laborda about the impact of the reform on companies. “The law facilitates job creation by introducing more up-to-date tools that allow companies to make better business decisions, and despite the challenges that will ultimately be reviewed by the Supreme Court, there is already a better scenario than before its enactment,” said Osorio. “We need to move beyond divisions and recognize that the law reflects realities that already existed, provides predictability, and offers tools and alternatives that improve various aspects of labor relations, benefiting both employees and employers,” added Kelly. “The system of fines we have carried did not solve the problem of labor informality—on the contrary—and ended up affecting compliant companies. We are at a turning point, and this law must be defended: good employers will remain so, and the reform does not grant impunity to bad employers, as it continues to protect workers,” emphasized Solá Torino.

In the next segment, Nicolás Debernardi, Director of Government Affairs for Latin America at Pedidos Ya, spoke with Laura Gimenez, Head of Social Policy at the UIA, about platform economies and their impact on the labor market. “There is a consensus across Latin America that this industry should be embraced, not hindered. The myth of precarization falls apart quickly when speaking directly with delivery workers. This became evident in the debate, and today we have a law that emerged from consensus and brings stability to the sector,” said Debernardi. Gimenez added: “Working independently on a platform does not mean lacking access to social security.” “This is here to stay because users are the main beneficiaries, and the platform economy is enormous. The challenge is to consolidate it moving forward,” concluded Enrique Stile, moderator of the segment.

Later, the discussion addressed the transfer of labor courts to the City of Buenos Aires and procedural reform, described as a “historic opportunity” for the country. Karina Palacios, Director General of Transfer of Powers of the City Government, explained: “The law allows the City and the Nation to sign agreements on the transfer of powers, which frames this transition. It was a decision that took a year of negotiations and required regulatory adaptation, resulting in a dynamic Labor Procedural Code.” Lorena Clienti, member of the City’s Council of the Judiciary, added: “Both workers and companies need clarity regarding the rules in case of conflict, and our processes aim to ensure that.” Mara Bettiol, president of UART, stated: “Since the enactment of the ART law, workplace accidents dropped by 80%, but litigation has increased—134,000 new claims were filed last year because the justice system fails to manage expert evidence properly, creating incentives to litigate. This transfer presents a new opportunity for the system to comply with existing regulations.”

Finally, in the panel “Compensation 2026: trends and impacts of the reform,” Ivana Thornton, president of Mercer Argentina, Uruguay, and Paraguay, stated: “Salary increases last year were slightly below inflation, around 30%. 2026 surprised us, as we expected lower inflation. We are now assessing whether this rebound will continue or remain temporary, which will determine adjustments. We hope not to return to past dynamics and instead focus on how to better compensate talent and adapt careers to new technologies.” Verónica Hayden, director at GeoPark, added: “We must focus on three pillars: competitiveness, business sustainability, and employee well-being. The new law supports this and gives companies the opportunity to build their value proposition.

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