Tuesday, February 17, 2026
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ARGENTINA | Today 16:35

Milei government targets end of month for labour reform approval

After accepting that it will have to tweak controversial article on sick pay, President Javier MIlei’s government wants its labour reform bill to be signed off in the Senate on February 27 – in time for his state-of-the-nation speech.

President Javier Milei’s government wants its flagship labour reform bill to be approved by the Senate for a second time before the month is out.

Officials, speaking on the condition of anonymity, say Milei’s government has accepted it will have a tweak a contentious article that redefines sick pay, thus meaning the Casa Rosada will have to accept a second reading in the upper house.

Argentina’s lower house, which currently has the bill, is expected to propose amendments in this week’s sessions. 

The government’s plan now is to accept the changes, have them passed by the Chamber of Deputies and then ensure the bill is returned to the upper house the following day. Milei’s ruling La Libertad Avanza party then wants the Labour Modernisation bill to be treated by committee on February 20, allowing for a Senate debate the following week.

According to government sources, the ultimate objective is to turn the bill into law by February 27, in time for the President to announce it in a state-of-the-nation address marking the opening of normal Congress sessions on March 1.

Sources close to the ruling party report that, once the Chamber of Deputies sits next Thursday as planned, the text would be quickly sent to the Senate so that LLA caucus leader Senator Patricia Bullrich can secure a swift committee report before the week is out.

Ruling party sources lawmakers had considered modifying a controversial article on reducing paid leave through either a regulation or a supplementary law. However, this option does not have the support of some pro-dialogue caucuses.

The amendment to Article 208 of Argentina’s Employment Contract Law stipulates that, in cases of illness or accidents unrelated to work, employees will receive 50 percent of their salary after three months, without clarifying provisions for serious illnesses, and 75 percent if they have dependents.

Bullrich said the aim is to maintain full pay for serious illnesses, but that a “credible” medical certificate or review by a medical board would be required in order to access the benefit.

The article, which had largely gone unnoticed in the Senate, came under scrutiny following remarks by Deregulation & State Transformation Minister Federico Sturzenegger.


– TIMES/NA

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