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Argentina - Minimum Wages - 2011


LAST UPDATE

6 September 2011
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SOURCES


Name of Act

Resolution No. 2/2011 fixing the Minimum Wage (Salario Mínimo, Vital y Móvil) of 26 August 2011.

Name of Act

Act No. 20.744 on Employment Contracts, of 27 September 1976 (Boletín Oficial No. 23003, 27 September 1974), as amended up to Act No. 26.696 of 29 August 2011.
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Name of Act

National Employment Act, Act No. 24.013, 17 December 1991 (Boletín Oficial No. 27286, 17 December 1991), as amended up to Law No. 26.598 of 6 July 2010.

Name of Act

Decree Law No. 326 on the Working Conditions of Domestic Workers (Decreto Ley n° 326 sobre el régimen de trabajo del personal doméstico), of 20 January 1956, as amended to 4 June 2008 by Act No. 26390 (Boletín Oficial No. 31433, 25 June 2008, p.3)
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Name of Act

Act No. 22,248 approving the National Regulation on Agricultural Work, of 3 July 1980 (Boletín Oficial, No. 24,461, 18 July 1980, p. 2), as amended up to 26 November 2008 by Law No. 26390.

Name of Act

Resolution No.1350/2011 fixing the remuneration for domestic workers, of 8 November 2011.

Name of Act

National Constitution of Argentina, of 22 August 1994

Name of Act

Act on the Labour Regime, Act No. 25.877, 2 March 2004 (Boletín Oficial 30364, 19 March 2004, p.1), as amended up to Act No. 26476 (Boletín Oficial 31559, 24 December 2008, p.1)

Name of Act

Act on the Federal Labour Pact, Act No. 25.212, 23 December 1999 (Boletín Oficial, No. 29309, 6 January 2000, p.1) as amended up to Law 25.877 of 19 March 2004

LEGAL DEFINITIONS


Employee/worker

"Employee" shall mean a physical person who provides services for and and under the dependency of another person, within a limited or unlimited time, in exchange for remuneration.
Law No. 20.744 on Employment Contracts Art.21,25

Employer

"Employer" shall mean a physical or legal person or a group of persons who require the services of a worker.
Law No. 20.744 on Employment Contracts Art.26

Wage

"Wage" shall mean the compensation that a worker receive in exchange for his work.
Law No. 20.744 on Employment Contracts Art.103

Minimum wage

"Minimum wage" shall mean the minimum salary in cash that all workers over 18 years of age must receive no matter the category or activities carried out so that adequate food, respectable living conditions, education, clothing, sanitary assistance, transport, recreation, vacations and provisions are assured.
Law No. 20.744 on Employment Contracts Art.116

MINIMUM WAGE FIXING


Procedure


Minimum wages set directly by tripartite negotiations

The National Council for Employment, Productivity and the Adjustable Minimum Living Wage (NCEPAMLW) periodically determines the adjustable minimum wage which shall be adopted by a majority of 2/3 of the members, consisting on an equal number of government’, workers’ and employers’ representatives, 48 in total.
National Employment Act Art.135, 136, 139

Minimum wage set through decentralized collective bargaining

Wages are also set by collective agreement. Collective bargaining aims to determine basic professional salaries. Wage rates may not be lower than the minimum wage determined by the government or the National Council for Employment, Productivity and the Adjustable Minimum Living Wage.
Law No. 20.744 on Employment Contracts Art.8

Criteria


Needs of workers and their families

Yes - the definition of minimum wage states that it should provide the worker with adequate food, living conditions, education, clothing, holidays.
Constitution Art.14 bis
National Employment Act Art.139
Law No. 20.744 on Employment Contracts Art.116

Economic development

In order to fix the minimum wage rates, the National Council for Employment, Productivity and the Adjustable Minimum Living Wage (NCEPAMLW) shall take into account the socio-economic situation of the country.
Constitution Art.14 bis
National Employment Act Art.139
Law No. 20.744 on Employment Contracts Art.116
Order No. 2/2011 fixing the Minimum Wage Recital

Other provisions

The goals pursued by the National Council for Employment, Productivity and the Adjustable Minimum Living Wage and how they correspond with the socio-economic situation are also taken into account.
Constitution Art.14 bis
National Employment Act Art.139
Law No. 20.744 on Employment Contracts Art.116

Coverage


Scope

The minimum wage has constitutional status in all the territory of the Republic: "All the residents in Argentina shall enjoy decent working conditions, among others, the enjoyment of a fair remuneration and the minimum wage rates".

However, the legislation states different rates of minimum wage: one general minimum wage for those workers under the scope of the Act 20.744, generally all workers with at least 18 years old, and specific rates for other categories of workers, such is the case of domestic workers.
Constitution Art.14 bis
National Employment Act Art.140
Law No. 20.744 on Employment Contracts Art.2, art.117

Specific minimum wage rates


» Specific minimum wage by occupation

The legislation states one general minimum wage for all workers with at least 18 years old, except for civil servants, domestic workers and agricultural workers, subject to specific regulations.
Resolution No.1350/2011
Decree Law No. 326 on the Working Conditions of Domestic Workers
Law No. 20.744 on Employment Contracts Art.2

» Specific minimum wage by region

In the case of domestic workers, different minimum wage rates may be fixed for the provinces.
Resolution No.1350/2011 Art.2

» Minimum wage levels for specific categories of workers


» Trainees

Apprentices may receive a minimum wage that is lower than the national rate for adult workers.
Law No. 20.744 on Employment Contracts Art.119

» Domestic Workers

Domestic workers are entitled to specific minimum wage rates according to five different categories of workers; depending on the occupation of the domestic worker, if the worker is living in or out of the household and therefore is subject to the limit of 8 hours per day or not, if is an apprentice, and depending on if the worker performs full time or part time working hours.

The minimum wage vary from the lowest rate 2.071,88$pesos per month to the highest which is fixed, from November 1st, 2011, in 2.547,21 $pesos per month (1st category).
Resolution No.1350/2011 Annex

Level


Minimum wage level(s) in national currency

2.300,00 pesos per month or 11,50 pesos per hour.
Order No. 2/2011 fixing the Minimum Wage Art.1

Last minimum wage update

26 August 2011
Order No. 2/2011 fixing the Minimum Wage

In-kind allowances

The legislation states that the minimum wage is the lowest remuneration that a worker shall receive in cash.
Payments in kind are permitted as a part of the remuneration but it cannot be counted as part of the minimum wage or constitute more than the 20% of the total remuneration.
Law No. 20.744 on Employment Contracts Art.105,107,116

Rate of payment


» Hourly

Yes. Minimum wage rates may be fixed per hour.
Order No. 2/2011 fixing the Minimum Wage Art.1
Law No. 20.744 on Employment Contracts Art.118

» Daily

Yes. Minimum wage rates may be fixed per day.
Law No. 20.744 on Employment Contracts Art.118

» Monthly

Yes. Minimum wage rates may be fixed per month.
Order No. 2/2011 fixing the Minimum Wage Art.1
Law No. 20.744 on Employment Contracts Art.118

Scheduled frequency of adjustment

The legislation does not state how frequently the minimum wage should be adjusted. The minimum wage can be adjusted at any time at the request of any social partner.
National Employment Act Art.138

Enforcement mechanisms


Labour inspection

Labour and Social Security Inspection ensure compliance with minimum wage provisions.
Act on the Federal Labour Pact Annex II Art. 2, 3, 4, 5
Act on the Labour Regime Art.28,32

Fines in national currency for non-respect of legislation

Offences shall result in punishment in the form of fines of between 250 and 5,000 pesos according to the number of workers affected by the offence.
Act on the Federal Labour Pact Annex II Art.5(2)(3)

Other penalties

In the event of a repeat offence, the administrative authority may add to the maximum fines an amount equal to not more than 10% of all the remuneration due the month prior to the offence being proven.
Act on the Federal Labour Pact Annex II Art.5(4)

Results generated on: 18th September 2014 at 17:46:13.
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