Establish your presence globally with Neeyamo as we help you go beyond borders to manage your international payroll and hire new talent in Argentina.
Argentina is the largest Spanish speaking nation in the world, which shares its borders with Chile, Bolivia, Paraguary, Brazil, and Uruguay. Argentina is one of the world's major agricultural producers, but the service sector is the largest contributor to the country’s total GDP.
Do your organization’s expansion plans require you to hire employees in Argentina? Do you lack a physical entity in the country – a key requisite to hire local talent? Neeyamo assists organizations worldwide with onboarding and managing employees in Argentina -processing payroll, managing local compliance requirements, benefits, and more.
Facts And Stats
Argentine Peso (ARS)
1 January - 31 December
Country Calling Code
Arabic, Italian, German, English, and French
Handling payroll for a widespread workforce can pose a significant challenge for any organization, and the added complication of compliance can make things worse. If companies spend more time processing payroll, it directly impacts day-to-day operations and their overall productivity.
Over the years, Neeyamo has observed these complexities and strived to provide a global payroll solution through a single technology platform - Neeyamo Payroll.
Payroll tax is the percentage amount retained from an employee's salary and paid to the government to invest in the general population's welfare. These are statutory in nature and are levied from both the employer and employee. Additional statutory contributions are made by employers towards aiding both short-term and long-term benefits for their employees.
Pension Fund, Family Allowance Fund, and Social Services - 14%
Social health - 3%
Total Social Tax - 17%
|Up to ALL 30,000 per month||0%|
|ARS 64,532.64 - ARS 129,065.29||9%|
|ARS 129,065.29 - ARS 193,597.93||12%|
|ARS 193,597.93 - ARS 258,130.58||15%|
|ARS 258,130.58 - ARS 387,195.86||19%|
|ARS 387,195.86 - ARS 516,261.14||23%|
|ARS 516,261.14 - ARS 774,391.71||27%|
|ARS 774,391.71 - ARS 1,032,522.30||31%|
Pension Fund, Family Allowance Fund, and Social Services - 19.50%
Social health - 6%
Total social tax - 25.50%
Undoubtedly, payroll is a critical process for any organization. Pay cycle in Argentina refers to the period for which an organization pays its employees, and this can vary depending on the pay frequency that the organization chooses to adopt.
Typically, employees are paid monthly within four days of the following month. For hourly employees, wages are paid either weekly or every two weeks.
13th Month Cycle
The 13th salary is payable in two installments, one before June 30 and the other before December 18.
An Employer of Record (EOR) service provider helps you eliminate the hassle of handling complexities while onboarding a new employee in an international location. They help bridge the gap that otherwise mandates organizations to have a locally registered entity and a local bank account before making a job offer to an international hire.
An EOR service provider acts as a legal employer, facilitates salary payments, and manages other statutory requirements such as health insurance, payroll taxes, and employee benefits, ensuring compliance with local tax laws and regulations.
This allows organizations to focus on collaborating with the employee in Argentina for operational tasks, with the knowledge that they have a cost-effective solution to support their global payroll & HR requirements as they continue their global expansion.
HR Mandates and Practices
As of June 2022, the legal minimum wage in Argentina is ARS 42,240 per month.
Overtime hours should not exceed 3 hours per day, 30 hours per month, or 200 hours per year. Employees also receive an additional 50% for overtime and 100% for holidays or work performed after 1 PM on Saturdays.
If the work is performed between 21:00 and 06:00, the working day must not exceed seven hours, and employees who work shorter night shifts must be given the same salary as employees who work long day shifts.
Data Retention Policy
Tax records must generally be kept for a minimum of five years. Social security records should be kept for five years. All records regarding compensation and benefits must be kept for a minimum of five years.
Hiring and Onboarding Requirements
- It is prohibited to discriminate against employees based on sex, race, nationality, religion, marital status, political or trade union ideas, age, sexual orientation, disability, or physical appearance.
- Arbitrary discrimination, where employers make distinctions on unreasonable grounds, is prohibited. However, employers are allowed to make distinctions as long as they are based on objective criteria, such as productivity. As an integration tool, the Ministry of Labour and Social Security (MTEySS) has developed special programs and provided fiscal benefits and free advice for potential employers interested in hiring disabled employees for its staff.
- In addition, the only mandated preferences in hiring are established for the public sector under the quota system. It is mandatory for public agencies, state companies, and public enterprises that carry out public services for a minimum of 4 percent of their total personnel to be employees with a disability and 1 percent to be trans-persons over the total of their personnel.
If you are already a resident of Argentina or studied in your country of origin or current residence, criminal record and validation of qualifications may be requested.
Along with this, the following documents, as well
- CUIL (copy),
- Last Form 1357 (Income tax), if applicable for the last fiscal year,
- (if applicable) Other employer's contract/payslip information in case of multiple employees,
- Social Health insurance option/join company,
- (if applicable, in charge of employee) to fill and declare in the AFIP Form. 572 (Personal Deductions for Income tax)
According to labor law, the first three months of a contract of employment are considered a probation period. During this period, either party may terminate the agreement at any time if it has been duly registered with the competent authority in charge of labor.
Paid leave is granted to workers who have completed at least six months of service with the same employer for over 12 months. Its length depends on the worker's seniority. It is 14 calendar days when the worker has less than five years of service, 21 calendar days from 5 to 10 years of service, 28 calendar days from 10 to 20 years of service, and 35 calendar days when the worker's length of service is 20 years or more.
There are 12 national holidays. Holidays that fall at the end of the week are moved to the following Monday.
National holidays whose dates coincide with Tuesday and Wednesday will be moved to the previous Monday. Those that coincide with Thursday and Friday will be transferred to the following Monday.
Non-Transferable National Holidays
01 January: New Year
Monday and Tuesday of Carnival
24 March: National Day of Memory for Truth and Justice Holy Friday
02 April: Veteran's Day and the Fallen in the Malvinas War
01 May: Labor Day
25 May: May Revolution Day
20 June: Passage to Immortality of General Don Manuel Belgrano
09 July: Independence Day
08 December: Day of the Immaculate Conception of Mary
25 December: Christmas.
Transferable National Holidays
17 June: Passage to Immortality of General Don Martín Miguel de Güemes
17 August: Passage to Immortality of General Don José de San Martín
12 October: Passage to Immortality of General Don José de San Martín
20 November: National Sovereignty Day
The days of the Jewish New Year (Rosh Hashana), Day of Forgiveness (Yom Kippur), and Passover (Pesach).
Sick leave in Australia is also known as personal leave or carer's leave. Employees are entitled to 10 days of paid leave per year, which can be used if the employee is sick or if they need to care for a family member.
Those with over five years of service receive six months of paid sick leave.
Leave is doubled for those with dependents.
When the period ends, the employer should guarantee and hold for the employee the same job position for one entire year, without salary.
At 100% of the regular pay rate and 50% for the remaining seven days. To be eligible for this leave, the employee must have completed at least two months of employment and must be able to provide a medical certificate.
Maternity leave is a total of 90 days and is typically split between 45 days before birth and 45 days post-birth, but not required.
At least 30 days must be taken before birth.
Upon the worker's request, pre-birth leave may be reduced to thirty days, in which case post-birth leave would be extended to 60 days.
Fathers are entitled to 5 days of unpaid leave at the time of the birth or adoption of a child. Employees can also apply to the Federal Government scheme for additional leave.
Two days of paid paternity leave.
- Marriage Leave: 10 days
- Bereavement Leave: 3 days leave are given for the death of a wife, child, or parent, and one day for the death of a sibling.
- Examination for university or secondary school: 2 days at a time (with a cap of 10 total).
- 15 days' notice when the employee is in a trial period;
- one month's notice when the employee has worked for less than five years; and
- two months' notice when the employee has seniority that exceeds five years.
If the employer prefers not to give the prior notice, it must pay an amount equal to the corresponding period of prior notice.
The severance pay is different for voluntary and involuntary termination- Termination based on the worker's conduct: No severance pay is due.
Termination based on economic grounds: An employer must give advance notice of the termination and make a severance payment, roughly equal to half a month's salary for each year of service.
Termination without just cause or without any cause at all: The amount of severance pay and compensation in lieu of notice is paid at twice the base rate (i.e., a 50% increase) if the employer failed to register the employment relationship.
Most employees planning to work in Argentina longer than 90 days will need a 23 A or 23 E visa. The 23 A visa applies to most people moving to Argentina for a salaried activity that lasts one year. If needed, employees can extend this visa for longer. The 23 E visa is specific to scientists, specialists, some managers, technicians, and administrative staff. Employees who fall into any of these categories may need to apply for a 23 E visa.
Certain ex-pats from South American countries, such as Brazil, Paraguay, and Uruguay, do not need to acquire any of the above visas. Citizens from MERCOSUR — the South American customs union — should go to their closest Argentine mission and ask about the MERCOSUR visa.
Requirements for Visa
The work visa requirements in terms of long-term employment must have the following important documents:
- Education certificates
- The employment contract with the Argentinian employer's signature validation and the company's registration number.
Applications are personal, and the applicant must submit the following documents (an original and a copy) at the Consular Office:
- Passport valid for at least six (6) months at the time of entering Argentina, with at least two (2) blank pages.
- Two (2) current 4 x 4 cm photographs facing the camera, printed in color on a white background
- Visa application form filled out (preferably in electronic format) and signed by the applicant
- Proof of address within the jurisdiction of the Consulate (such as a utility bill or other document that serves as proof).
- An apostilled or legalized certificate of good conduct issued by the competent authority of the countries where they resided for more than one year over the previous three years
- Commitment to tell the truth or Sworn affidavit of their lack of a criminal record in other countries, signed before the Consul.
- Employment contract signed by the employer and including the registration number of the contracting company with the National Registry of Petitioners on behalf of Foreign Applicants (RENURE). The signature of the company's representative must be certified by an Argentine Notary Public and the relevant Association of Notaries Public. The visa applicant must sign the contract before the Consul. If the host is not registered with RENURE, please call (54-11) 4317-0200/0303/0337 to complete the registration.
- Payment of migration fee
- Payment of consular fee: 250 US dollars or euros, depending on the Consular Office where the application is filed. The fee must be paid in the local currency of the Consular Office
- Consular interview
Employee Background Checks
Legal and Background Checks
An employer cannot perform a direct background verification of an employee since the employee's record is provided. The Criminal Records Registry is treated as privileged information that can only be accessed by the concerned person or their legal representative if they display a valid reason for the criminal certification. However, employers must be careful not to discriminate against certain candidates.
There are no specific legal restrictions on checks an employer may carry out on job applicants. The employer has the right to check the personal, educational, and criminal references of recruits if the dignity and privacy of the candidate are not affected; the employer should obtain the individual's consent to minimize interference with their privacy. Social media accounts are considered private and cannot be checked by prospective employers except with the permission of the candidate, who is taking steps to preserve their privacy. The employer does not have to obtain consent for general background checks and checks on health status, except for HIV tests.
Last updated on December 31, 2022
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