Argentina: Operating a business

La Sociedad Anonima Unipersonal (SAU): Individual Businessperson

Number of partners: Only one shareholder.
Capital (max/min): Minimum capital: ARS 100,000, entirely subscribed and paid-up.
Shareholders and liability: Liability is limited to the amount of capital contributed/subscribed shares.

The Sociedad Anonima (SA): Public Limited Company

Number of partners: Minimum 2 partners/shareholders; no maximum.
Capital (max/min): Minimum capital: ARS 100,000.
Shareholders and liability: Liability is limited to the amount of capital contributed/subscribed shares.

The Sociedad de Responsabilidad Limitada (SRL): Limited Liability Company

Number of partners: Minimum 2 partners; maximum 50 partners.
Capital (max/min): No minimum capital, the capital must be appropriate with the corporate purpose of the company.
Shareholders and liability: Liability is limited to the amount of capital contributed.

The Sociedad en Commandita por Acciones (SCA): Limited Joint-Stock Partnership

Number of partners: Minimum 2 partners; maximum 50 partners.

There are two types of partners, active partners and silent partners.
Capital (max/min): No minimum capital.
Shareholders and liability: The liability of the active partners is unlimited.

The liability of the silent partners is limited to the amount of capital contributed.

Sociedad por Acciones Simplificada (SAS)

Number of partners: Minimum one shareholder, no maximum.
Capital (max/min): Two minimal wages (25% paid-up).
Shareholders and liability: Liability is limited to the amount of capital contributed.

The Sociedad en Commandita Simple (SCS): Limited Partnership

Number of partners: An association of companies or individuals to carry out particular economic activities in Argentina or in other countries having Argentina as its operation's base. This structure does not have enterprise status.
Capital (max/min): No minimum capital.
Shareholders and liability: The liability of the active partners is unlimited.

The liability of the silent partners is limited to the amount of capital contributed.

Business Setup Procedures

The Competent Organisation

Inspeccion General de Justicia

For Further Information

Doing Business: Argentina, to learn about procedures to start a business in Argentina
The Official Gazette

Financial Information Directories

Dun & Bradstreet - Worldwide directory with financial information on businesses

Registro Nacional de Sociedades - National register of companies

Recovery Procedures

Principle

It is possible to present a reorganization proceeding to the council appointed by the commercial tribunal, made up of 3 professionals who check the feasibility of the plan of action.

Minimum Debt-to-Capital Ratio Triggering Liquidation

As soon as one can no longer pay one's creditors. For more details, consult the Mondaq report "Insolvency And Bankruptcy Rules In Argentina"

Bankruptcy Laws

Consult the Insolvency Proceedings in Argentina.

Reorganization and Rehabilitation Laws

Law 20758

Opening Hours

 

• Legal Weekly Duration

48 hours a week

• Maximum Duration

8 hours a day and 48 hours a week, but there are very many exceptions.

• Night Hours

7 hours from 9 pm to 6 am.

Working Rest Day

From 1 pm Saturday to midnight Sunday barring exceptions.

Paid Annual Vacation

According to seniority:
- 15 days if less than 5 years in the same company
- 35 days if more than 20 years

Retirement Age

60 for women, 65 for men

Child Labour and Minimum Age For Employment

14

Informal Labour Market

It is estimated that 30% of the active population moonlights. There is little trustworthy data on this subject.

Pay

Minimum Wage

ARS 38,940 as of April 2022, according to the Argentine Ministry of Labor.

Average Wage

According to the Argentine Ministry of Labour, the gross average monthly wage was ARS 158,000 per month in the first quarter of 2022.

Other Forms of Pay

• Pay For Overtime

50% for ordinary days; 100% for Saturdays after 1 pm, Sundays and public holidays.

• Pay For Rest Days Worked

100%

• Pay For Night Hours

Seven hours of work paid as eight.

• Pay For Overtime at Night

Same rule

Social Security Costs

The Areas Covered

Health insurance (medical care, maternity, disability, death), retirement pensions.

Contributions

Contributions Paid By the Employer: Employers contribute between 24% and 26.4% of payroll (for employers active in the services or commerce sectors, unless they are considered a SME) to social security, with the first ARS 7,003 per month per employee being exempted. Employers must also make contributions in respect of labor risk insurance and life insurance.
Contributions Paid By the Employee: Employees contribute 14% of wages to social security and 3% of wages to the national health care scheme.

Recruitment

Method of Recruitment

By spontaneous applications, small ads, Internet, recruitment agencies, etc. Every hiring is preceded by an interview.

Recruitment Agencies

Agencies specialised in temporary work: Adecco,  Michael Page (in Spanish) and Korn Ferry.

Recruitment Websites

CompuTrabajo Argentina
Bumeran.com
Opcionempleo

The Contract

Dispute Settlement

Social Partners

Employer Associations

Cámara Pymes Argentina - Argentine Chamber of SMEs

Social Dialogue and Involvement of Social Partners

Most unions are affiliated to the general labour confederation (CGT). However, the CGT is often an ally of the Government regardless of who is in power. The Government recognised the smallest union in Argentina, the Argentine Workers Group (CTA), in 1997. Negotiations in Argentina take place at the national level, by sector of activity. Labour unions tend to be quite powerful, especially the truck drivers' union.

Unionisation Rate

Approximately 40% of workers in the formal economy are unionised.

Labour Unions

List of Argentine Unions