Argentina Senate passes Milei labor reform, advancing pro‑market overhaul
Reuters
Thu, February 12, 2026 at 1:50 PM UTC
1 min read
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BUENOS AIRES, Feb 12 (Reuters) - Argentina's Senate approved President Javier Milei's flagship labor reform bill early Thursday, marking a key advance for the libertarian leader's sweeping economic agenda.
After debating the measure for more than 13 hours, lawmakers voted 42 to 30 to pass the reform and send it to the lower house for debate, a victory for Milei's administration, which argues the overhaul will spur investment and formal job creation.
"This law represents a turning point in Argentine labor history," Milei said in a statement after the vote, calling it a "profound transformation" that would reduce bureaucracy and update regulations he described as outdated in the face of economic and technological change.
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Opposition Peronist senators had fought against the reform, arguing that the package threatens long-standing worker protections.
Lawmakers made adjustments to the bill before its passage, including the removal of a provision that would have cut income tax rates to 31% from 35%, a change sought by provincial governors, and incorporated new concessions to powerful labor unions.
The reform eases hiring rules, changes the vacation time system and allows for extending the standard workday from eight to 12 hours. It also introduces new limits on the right to strike.
The session unfolded as protesters hurled Molotov cocktails and clashed with police outside Congress.
(Reporting by Lucila Sigal; writing by Cassandra Garrison; Editing by Aidan Lewis)