An Argentine appeals court declared invalid on Tuesday the labor reform included by Argentina’s president, Javier Mileyin, a decree that was necessary and urgent that he signed in December, a few days after the start of his government, and which was rejected by the unions.
The National Chamber of Labor Appeals declared the “constitutional invalidity” of the articles referring to labor issues within the decree of necessity and urgency (DNU) signed by Milei on December 20, ten days after assuming the Presidency.
In the judgment, where he has access, the court considered that those articles are the opposite of the provisions of the national Constitution of Argentina regarding the powers of the Executive to issue decrees. However, the court clarified that the articles on labor matters within the decree enjoy formal validity if they were approved by the Argentine Parliament during the current extraordinary sessions, “or the validity thereof shall cease by operation of law otherwise.”
The judicial decision responds to an appeal for protection against the reform presented by the General Confederation of Labor (CGT), the largest trade union in the country, which held a general strike on January 24 and whose leaders are particularly active in the opposition, Peronism.
Regarding work, the order includes changes in labor tests, the extension of trial periods in companies, the reduction of pregnancy leaves, and other measures. In addition, the labor reform also includes the reduction of retirement contributions, fees, and fines for improper labor registration.
This is a new setback for the Argentine president on the eve of the law being debated in Congress. Bases and Starting Points for the Freedom of the Argentines, known as ‘omnibus law, the star project of the Executive, was reduced to more than 300 articles from the initial 664 after conversations with political blocs to find support.