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Dr. Miguel Alabi | Labor Law in Argentina

Law 27.802 (2026): Legal Guidance by Dr. Miguel Alabi

Argentina enacted Labor Modernization Law 27.802 on February 27, 2026. This guide summarizes the practical legal impact for workers and employers.

Five Key Changes

1) Dismissal compensation formula changed

Compensation is now based on regular monthly salary only, excluding SAC, vacation pay, and non-recurring bonuses. This can reduce payout values and makes legal review of calculations more important.

2) FAL contribution is now mandatory

Employers must contribute monthly to the Labor Assistance Fund (FAL). While potentially offsettable through social security credits, this adds compliance and documentation obligations.

3) Hour bank agreements became more relevant

Overtime may be compensated with future time off instead of direct payment, but only with proper written agreements. Poor implementation can trigger disputes and unpaid overtime claims.

4) Vacation periods can be split

Leave can be fragmented into blocks of at least 7 consecutive days, and summer vacation rights must still be preserved under the new schedule rules.

5) Labor regularization window opened

The law enables formalization of unregistered employment with penalty relief and installment plans. Timing and filing details are critical to keep these benefits.

Legal Support with Dr. Miguel Alabi

Dr. Miguel Alabi advises workers and employers on compliance, contracts, dismissals, and labor litigation strategy under the new legal framework.

Office address: Avenida Salta 1563 - San Miguel de Tucuman - Tucuman