Milei intensifies his attacks on labour rights in Argentina.

The offensive by Javier Milei's government was formalised with the publication of Decree 407/2026 in the Official Gazette. This instrument paves the way for the mandatory review of expired collective agreements. The information comes from teleSUR, a broadcasting network hosted in Venezuela, which cites Página 12 as the original source.

According to the publication, the Ministry of Labour, headed by Julio Cordero, will begin convening business chambers and unions to renegotiate approximately 150 expired collective bargaining agreements. The government's objective is to adapt these agreements to the flexibility guidelines foreseen in the Labour Modernisation Law No. 27802.

This measure is part of a broader strategy by the Argentine government to gradually implement changes to labour laws across all sectors of the country's economy. According to the published text, the Milei administration claims to be seeking to adapt collective agreements to technological transformations and new production conditions.

New decree modifies historic rule of collective agreements

One of the central points of Decree 407/2026 is the revision of the ultra-activity principle, a mechanism that guaranteed the validity of an expired collective agreement until a new agreement was signed. In practice, the change reduces the automatic protection of clauses previously negotiated between workers and companies.

teleSUR points out that the change could directly affect rules governing union organisation, solidarity contributions, and financing mechanisms for unions with legal personality. Critics of the measure argue that the proposed modification weakens collective bargaining rights and reduces institutional protections for workers.

The Minister for Labour, Julio Cordero, is mentioned in the report as a former labour lawyer for companies such as the Techint Group and the Argentine Industrial Union. Under his administration, the government intends to renegotiate expired agreements in accordance with the parameters defined by the new labour legislation.

CGT sees an offensive against historic achievements

The General Confederation of Labour (CGT), the main trade union federation in Argentina, contests the government's arguments to justify the flexibility. According to the report, representatives of the federation denounce the measure as part of an offensive against historic union achievements.

The new rules also prioritise negotiations by company or region, rather than national agreements by sector of activity. This change tends to reduce the weight of broad collective negotiations and strengthen fragmented negotiations, in which each company or territory can discuss specific working conditions.

Another point of contention is the reduction in the minimum membership percentage required to challenge a union representation. The limit, which had been of 20%, will now be of 5%. According to the unions, this change could encourage the creation of new entities linked to companies and weaken traditional federations of the Argentine labour movement.

Dynamic wages and time banks raise tensions

The reform also includes mechanisms that critics classify as forms of precarious employment. Among them is the so-called "dynamic wage", which subordinates part of the worker's remuneration to assessments made by the employer regarding not only the firm's productivity but also the company's economic and financial situation.

Another planned instrument is the "bank of hours" (similar to time off in lieu), which allows for unequal weekly working hours based on production cycles. This measure could reduce the regular payment of overtime and create space to renegotiate working conditions at lower levels than those currently observed.

In the opinion of union representatives, these changes directly affect workers' income, stability, and collective organisation. The Argentine government, however, maintains that labour modernisation is necessary to adapt labour relations to the new economic and productive context.

The struggle surrounding Milei's Decree 407/2026 intensifies the confrontation between Milei's administration and the Argentine labour movement at a time of strong social tension in the country. The revision of expired collective bargaining agreements is expected to become a new point of contention among the Executive branch, labour unions, and the business sectors now called upon to renegotiate historical terms and conditions.