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DEPUTIES APPROVED THE LABOR REFORM
- 20/02/2026 » 19:46 by cronywell
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🏛️ ARGENTINA · FEBRUARY 20, 2026 · BREAKING DEPUTIES APPROVED THE LABOR REFORM 135 upvotes · 115 against · 0 abstentions The bill was modified and must return to the Senate for final approval. |
After thirteen hours of marathon debate, shouting at each other, a general strike of the CGT with more than 90% of adherence and incidents with tear gas in front of the Legislative Palace, the Chamber of Deputies of Argentina approved the Labor Modernization project promoted by President Javier Milei. The vote was 135 in favor, 115 against and zero abstentions. However, the text reached the Senate with a key modification: the elimination of the controversial article 44 on medical leave. That forces the bill to return to the Upper House for final approval. The clock is ticking: the government wants the law in force before March 1, when Milei inaugurates ordinary sessions.
🗳️ The result: 135 to 115 on a historic night
The ruling party sealed the victory with the usual votes of the PRO, the UCR, the MID and the provincial blocs that respond to pro-dialogue governors. Peronism, as a bloc, voted against. The debate lasted from 2 p.m. on Thursday until early Friday morning, with fiery speeches, quorum maneuvers and an unusual emotional charge in the chamber.
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✅ IN FAVOR 135 Votes |
❌ AGAINST 115 Votes |
⚪ ABSTENTIONS 0 none |
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Chamber of Deputies of the Nation · February 19, 2026 · After 13 hours of debate |
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📊 The numbers of the debate
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⏱️ +13 hs of uninterrupted debate |
👮 1.800 security forces deployed |
🚨 +16 Protesters arrested |
📋 +200 Articles in the Law |
📋 Article 44: the piece that changed everything
The heart of the legislative conflict was Article 44, incorporated by the Senate, which established that a worker who suffered an accident or illness unrelated to his work duties would receive only between 50% and 75% of his basic salary during the period of leave. The combined pressure of the PRO, the UCR, provincial governors and allied union sectors led the government to accept its elimination before the session in the Chamber of Deputies.
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⚡ With the elimination of Article 44, sick or accident leave will continue to be paid at 100%, as established by the current regulations. That change forces the bill to return to the Senate before becoming law. |
The constitutional procedure is clear: for a bill to have the force of law, both chambers must approve it with identical text. As Deputies, he modified the articles – albeit minimally – the bill automatically returns to the Senate. The official agenda points to the week of February 24 for the final treatment.
⚖️ Point by point: what changes with the new law
The Labor Modernization Law, with more than 200 articles organized into five thematic axes, fundamentally modifies central aspects of the Labor Contract Law (No. 20,744). These are the most relevant changes for workers and employers:
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POINT OF THE REFORM |
WHAT'S CHANGING |
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Compensation |
The Labor Assistance Fund (FAL) is created, financed with employer contributions of 3%, as an alternative system to the single payment of compensation. SAC and proportional holidays are excluded from the calculation. |
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Working hours |
The working day of up to 12 hours a day is enabled through a 'bank of hours' system. Accrued overtime can be compensated with rest instead of pay, with the worker's consent. |
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Payment in dollars |
The possibility for the parties to agree on the payment of wages in foreign currency (dollars or other currencies) is incorporated, something unprecedented in Argentine labor legislation. |
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Holidays |
It is allowed to split vacations into periods of no less than 7 calendar days, by agreement between employer and worker. |
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Union ultra-activity |
The ultra-activity of collective bargaining agreements is eliminated, setting an expiration date for agreements that were extended indefinitely. |
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Trial Industry |
Changes are introduced in the labor court process to reduce litigation: cap on lawyers' fees, new costs rules and stricter procedural deadlines. |
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Labor formalization |
The Labor Formalization Incentive Regime (RIFL) is created: for each new worker, the employer will pay only 8% of employer contributions for 1 year. |
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Labor laundering (PER) |
It is allowed to regularize undeclared labor relationships, condoning up to 70% of debts for unpaid contributions and extinguishing associated criminal actions. |
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Statute of the Journalist |
Title 26 of the law puts an end to the Statute of the Professional Journalist, approved in 1944, generating strong rejection in press organizations. |
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Medical Leave |
No changes from the current regime: the elimination of Article 44 preserves the payment of 100% of the salary during sick or accident leave. |
🤝 Who voted what: the legislative map
The 135-115 result reflected the government's ability to sustain its expanded coalition, a direct result of the legislative triumph of October 2025. The agreements with opposition governors, who aligned their blocs with the ruling party, were decisive.
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✅ BLOCKS IN FAVOR (135) |
❌ BLOCKS AGAINST (115) |
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• La Libertad Avanza (LLA) • PRO • Radical Civic Union (UCR) • Integration and Development Movement (MID) • Federal Innovation (Salta and Misiones) • Production and Labor — San Juan • Provincial deputies of Santa Cruz and Neuquén |
• Union for the Homeland (UxP / Peronism) • Federal Meeting • Civic Coalition — partially • United Provinces — partially • Left Blocs |
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"A deputy said that he voted against this law for his father and mother. Which led me to wonder what it was that led him to give quorum. It is clear that it was not his will but it was an instruction from his governor." — Máximo Kirchner, deputy of Union for the Homeland |
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"SMEs generate 70% of private employment and for them it is essential to reduce litigation." — Radical Deputy Diógenes González, explaining his support for the reform |
🚨 The street said no: general strike and incidents in front of Congress
Since midnight on Thursday the 19th, Argentina experienced the fourth general strike against the government of Javier Milei. The CGT called for a 24-hour cessation of activities: transport, banks, shops and industry were practically paralyzed. The CGT leadership reported 90% adherence at the national level; the Association of State Workers (ATE) reported 98% compliance among its members.
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⚠️ What happened in front of Congress: • 1,800 federal forces deployed: Federal Police, Gendarmerie, Naval Prefecture and PSA • At 5 p.m., demonstrators tried to tear down fences: the Gendarmerie responded with a hydrant truck, tear gas and rubber bullets • SAME personnel assisted 6 people in the area, including a 75-year-old woman and another who suffered seizures • At least 16 people arrested: 8 by the City Police, 4 by the Federal Police, plus minors • In Moreno (National Route 7), the Ministry of Security filed a criminal complaint for cutting with burning tires • A 76-year-old retiree was arrested by six police officers live in front of the cameras |
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"There is nothing more extortionate and against freedom and democracy than what the trade unionists are doing. The only thing they do is complicate the worker's life." — Manuel Adorni, Chief of Staff |
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"This strike has had enormous compliance: more than 90% of activity stopped. We don't just represent affiliates. We represent those who work." — Jorge Sola, co-secretary general of the CGT |
💬 The voices of the debate: for and against
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✅ Arguments of the ruling party and allies: • The reform puts an end to 70 years of arrears in Argentine labor relations (Milei, in X) • It reduces litigation that suffocates SMEs and slows down the generation of formal employment • The FAL and the RIFL are concrete tools to reduce undeclared work • Argentina needs to modernize its labor legislation to attract investment and generate employment • The reform is a big step towards formalization and productivity (Luis Caputo, Minister of Economy) |
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❌ Arguments of the opposition and unions: • The law makes employment precarious: 12-hour days, reduced compensation and violation of acquired rights • The FAL takes 2,500 million dollars from retirees by redirecting employer contributions that went to the ANSES (Tolosa Paz, UxP) • The elimination of the Statute of the Journalist is an attack on freedom of the press and 80 years of trade union rights • In the name of freedom, what we are doing more than modernizing is going back three centuries (Nicolás Massot, Encuentro Federal) • The CGT is preparing legal actions to challenge the constitutionality of the law in several of its articles • Peronism announced that if it reaches the government in 2027, it will repeal the law (Germán Martínez, head of the UxP bloc) |
📅 Chronology of the reform
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Dec. 2025 |
The Executive Branch includes the Labor Reform in the agenda of extraordinary sessions, after the agreements of the May Council. |
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Feb 11 2026 |
The Senate of the Nation grants half sanction to the project, including the controversial article 44 on medical leave. |
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Feb 17 2026 |
The government accepts the elimination of Article 44 after pressure from the PRO, the UCR and allied governors. |
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Feb 19 2026 |
24-hour general strike called by the CGT. Marathon session in Deputies: 13 hours of debate. |
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Feb 19-20 2026 |
Deputies approve the reform: 135-115-0. By including the deletion of Article 44, the bill returns to the Senate. |
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Sem. Feb. 24. 2026 |
Government's objective: final treatment and approval in the Senate before March 1. |
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1st Mar. 2026 |
Milei inaugurates ordinary sessions of Congress. The Government aims to present the enacted law. |
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❖ ANALYSIS ❖ The approval of the labor reform is the biggest legislative victory of Milei's government since the Bases Law. But the battle is not over: the Senate must confirm the changes, the CGT is preparing new legal actions and Peronism has already anticipated that it will repeal the law if it comes to power in 2027. The post-approval political map is yet to be defined. Meanwhile, for millions of Argentine workers, the most pressing question is simple: what changes in my pocket and on my desk from now on? 🏛️ Congress of the Argentine Nation · Buenos Aires, February 20, 2026 |