Hiring Talent And Managing Payroll In Argentina

Agreements

• Indefinite or open-ended contract - An agreement that does not have any fixed end date is called an indefinite contract. This type of contract is widely used for employment purposes. It includes full-time and part-time workers. It is a widely used contract in Argentina.
• Definite or fixed contract - A contract that has a fixed end date is called a definite contract. It is for a specific time and specific type of work. A definite contract in Argentina must not exceed a term of 5 years. This type of contract must be in written format.
• Temporary or casual agreement - In this type of agreement the employer hires an employee as a replacement. If any permanent employee is absent for some reason, a temporary employee may be hired. This agreement must not exceed 6 months in duration. An employer must give a justification for hiring a temporary employee.

Onboarding Process

• A job description is prepared if there is a vacancy in any unit of a company. The HR team collaborates with the unit to prepare the job description.
• The description is then published on the official site of the company. It can be uploaded on other platforms like LinkedIn. Employers may choose to publish it in newspapers and magazines.
• Eligible candidates fill up the application for the job.
• The HR team then starts shortlisting candidates based on their applications and rounds of assessment.
• The shortlisted candidates are required to bring the necessary documents. These documents may be listed in the job description.
• The final shortlisted candidates then appear for interviews and negotiations. The candidate is hired once the final agreement is reached mutually.

Minimum Wage

Payroll Cycle

Annual Bonus

Health Benefits

• Every employee is entitled to get health benefits in Argentina under the labor laws.
• The employer is responsible for maintaining healthy working conditions.
• The employer has to pay for sickness and social security.
• Employees are mandated to declare their health conditions.

Working Hours and Overtime

• Work hours: The working hour in Argentina must not exceed 48 hours per week. An employee should not work more than 8 hours per day. Employees below the age of 18 must not work for more than 6 hours per day.
• Break: Every employee is entitled to get 2 hours of break per day. An employee must be given a total of 35 hours of rest per week. Employees must be granted a continuous 12 hours of rest per day.
• Overtime: Overtime in Argentina must not exceed 3 hours per day. An employee must not work more than 30 hours per week. An employee is entitled to a 50% salary on a working day. 100% salary is given for overtime work on holidays.

Social Security

Taxes for Employees

Termination

• An employee must get a notice 15 days before the termination.
• The notice must be in written format stating the reason for termination.
• The employer must give a valid reason for the termination.
• An employee must provide a written resignation letter stating the reason.

Severance Pay

Employees or Contractors

• A person who works for a company and earns a wage or salary is called an employee.
• An organization or person who hires people to work for them is called an employer or contractor.
• If a company is found to misclassification an employee as a contractor, the company must pay a penalty.
• The company has to pay interests and sanctions on behalf of a misclassified employee.

Final Words