Minimum Wage-Fixing Machinery Convention, 1928 (No. 26) - Argentina (Ratification: 1950)

Replies received to the issues raised in a direct request which do not give rise to further comments (CEACR) - adopted 2018, published 108th ILC session (2019)

The Committee notes the information provided by the Government, which answers the points raised in its previous direct request, and has no further matters to raise in this regard.

Direct Request (CEACR) - adopted 2012, published 102nd ILC session (2013)

Articles 1 and 3 of the Convention. Minimum wage-fixing machinery. The Committee recalls its previous comment in which it noted the observations of the General Confederation of Labour (CGT RA) expressing support for the ratification of the Minimum Wage Fixing Convention, 1970 (No. 131), as a means of improving the interaction between the national legislation and international labour standards and enhancing the protection of workers and their families. In its reply, the Government provides detailed information on the most recent developments concerning the increase of the national minimum wage to 2,300 pesos (ARS) (approximately US$540) per month and the adoption of 25 collective agreements setting minimum wages for specific sectors but does not indicate whether it is planning to ratify Convention No. 131. The Committee accordingly requests the Government to indicate in its next report any action taken or envisaged with respect to the possible ratification of Convention No. 131 and also to respond to the specific points raised by the Committee in its previous direct request.

Direct Request (CEACR) - adopted 2011, published 101st ILC session (2012)

Articles 1 and 3 of the Convention. Minimum wage fixing machinery. Further to its previous comment, in which it noted with interest the major developments and progress made in recent years with regard to the operation of the system for determining and readjusting the minimum wage, the Committee notes the Government’s indications about the unanimous decision of 26 August 2011 by which the National Council for Employment, Productivity and the Minimum Adjustable Wage (CNEPySMVM) agreed on a 25 per cent increase of the minimum wage setting the minimum monthly rate at of 2,300 Argentina pesos (ARS) (approximately US$540) and the minimum hourly rate at ARS11.50 (approximately US$2.6). The Committee also notes the detailed information provided by the Government concerning the status and coverage of 25 collective agreements setting minimum wages for specific sectors, including construction, banking, metallurgy, textile, oil, mining, transport and chemical. The Committee requests the Government to provide together with its next report information on: (i) any developments with respect to the method of determination of the basket of essential goods (canasta básica total); (ii) efforts to extend minimum wage coverage to workers in the informal economy, including domestic workers; and (iii) inspection results showing the number of infringements of the minimum wage legislation observed and the penalties imposed.

Moreover, the Committee notes the communication of the General Confederation of Labour (CGT RA), dated 31 August 2011, in which the Confederation expresses its support for the ratification of the Minimum Wage Fixing Convention, 1970 (No. 131) as a means of improving the interaction between the national legislation and international labour standards and enhancing the protection of workers and their families. The Committee recalls that the ratification of Convention No. 131 is all the more advisable as the national legislation already provides for a system of minimum wages which covers all groups wage earners, and not only those trades in which no arrangements exist for the regulation of wages by collective agreement and wages are exceptionally low. The Committee accordingly requests the Government to keep the Office informed of any decision taken or envisaged with respect to the possible ratification of Convention No. 131.

Observation (CEACR) - adopted 2009, published 99th ILC session (2010)

Article 3 of the Convention. Minimum wage fixing machinery. The Committee notes the Government’s detailed replies to the comments made by the Confederation of Argentinean Workers (CTA), dated 4 July 2008 and 21 October 2009, as well as the documentation attached to its report. It also notes the comments made by the CTA dated 31 August 2008 which mainly repeat those sent in August 2007.

With regard to the operation of the National Council for Employment, Productivity and the Minimum Adjustable Wage (CNEPySMVM), the CTA previously indicated that the Council, which meets only on the initiative of the Government, had dwindled in importance as a forum for social dialogue for defining the priorities and steps to be taken with regard to wage policy. The Committee notes the Government’s indication that section 2 of Resolution No. 617 of the Ministry of Labour, Employment and Social Security, of 2 September 2004, authorizes the social partners to convene the Council on the proposal of at least 14 advisers, including eight members from the sector requesting that the Council be convened and six members from the other sector. However, according to the Government, this option has not been used to date. It also notes Resolution No. 1/2009 of 22 July 2009, under which the Council was convened for a plenary session, and Resolution No. 642/2009 of 27 July 2009 appointing the employers’ and workers’ representatives for that session.

With regard to the determination of the basic shopping basket (canasta básica total), the CTA previously commented that, because of the way in which the Council operates, it was not possible to determine the basic basket to serve as a reference for setting the amount of the minimum wage. The Government indicates that this matter was presented to the Council’s productivity committee in 2004, but no agreement was reached with the employer sector. The Committee notes the information provided by the Government that the current minimum wage for the first time covers nearly 100 per cent of the amount of the basic shopping basket (compared to only 80 per cent in 2005 and 43 per cent in 2001).

Furthermore, the CTA asserted that government policy on wages only benefited workers in the formal economy, who account for only 57.2 per cent of employees. In this regard, the Government indicates that the Ministry of Labour, Employment and Social Security is making considerable efforts to combat informal labour, particularly with regard to domestic workers, by launching the “declared labour” (Trabajo en Blanco) campaign in order to increase the percentage of domestic workers declared by their employer and benefiting from social protection and a minimum wage. The Government adds that in 2004 the Council attempted to reach a consensus on this matter, but without success.

Finally, with regard to the method for determining the minimum adjustable wage (SMVM), the CTA previously indicated that, because of shortcomings in the Council’s procedures, there were no objective rules to determine the amount of the minimum wage, the wage policy agreed between the social partners was not implemented, and the amount of the minimum wage was fixed at the discretion of the Government. The Government indicates that, since the Council was convened in August 2004, the readjustment of the minimum adjustable wage has been discussed within the committee on the minimum adjustable wage and employment benefits on four occasions between 2004 and 2007. Following these meetings, the plenary adopted the decisions proposed by a two-thirds majority in accordance with the provisions of the regulations on the operation of the Council. The Committee also notes Resolution No. 2/2009 of 30 July 2009 adjusting the minimum wage, which currently stands at 1,440 pesos per month (approximately US$378). Finally, it notes that on 1 January 2010 the minimum wage will be increased to 1,500 pesos per month (approximately US$393). The Committee notes with interest the major developments and progress made in recent years with regard to the operation of the system for determining the minimum wage and the regular readjustment of its rate. It hopes that the Government will continue its efforts in this regard in full and constant consultation with the social partners and requests it to provide information in its next reports on any relevant developments. The Committee would also be grateful if the Government would provide copies of collective agreements determining the minimum wage rate by sector or branch of the economy, copies of studies or other official documents, such as activity reports of the CNEPySMVM, on the operation of the minimum wage system and, in particular, extracts from the reports of the inspection services indicating the violations reported and penalties imposed with regard to the payment of the minimum wage rate in force.

Furthermore, the Committee takes this opportunity to draw the Government’s attention to the conclusions adopted by the ILO Governing Body on the basis of the recommendations of the Working Party on Policy regarding the Revision of Standards (document GB.283/LILS/WP/PRS/1/2, paragraphs 19 and 40). The Governing Body considered that Convention No. 26 was among those instruments which were no longer fully up to date, even if it remains relevant in certain respects. The Committee therefore suggests that the Government should consider the possibility of ratifying the Minimum Wage Fixing Convention, 1970 (No. 131), which marks certain advances compared to older instruments on minimum wage fixing by providing, for example, a broader scope of application, the introduction of a generalized minimum wage system and, finally, the adoption of criteria for determining minimum wage levels. The ratification of Convention No. 131 would be all the more appropriate given that the legislation of Argentina actually establishes a comprehensive minimum wage system and appears to be in conformity with the requirements of that Convention. The Committee requests the Government to keep the Office informed of any decisions taken or envisaged on this matter.

Observation (CEACR) - adopted 2007, published 97th ILC session (2008)

The Committee recalls that in its previous comment it noted with interest the information that the National Council for Employment, Productivity and the Minimum Adjustable Wage, a tripartite consultative body, which had not been consulted when minimum wage levels were modified in 2003 for reasons relating to the situation of emergency in the country, was once again operating normally. It further notes the observations received on 12 September 2007 from the Congress of Argentine Workers (CTA) on the application of the Convention which were transmitted to the Government on 21 September 2007.

The Committee notes that according to the CTA, although the minimum wage (SMVM) has increased by 300 per cent since 2003 (i.e. 3.2 times more than the average income of workers), this government policy has benefited only workers in the formal economy, who account for no more than 57.2 per cent of employees. The Committee also notes the CTA’s statement that the pace of collective negotiations has increased significantly, reaching an all time record in 2006. However, according to the CTA, initially, the negotiations did no more than confirm the amount of the minimum wage fixed by the Government and thereafter merely applied the wage indexation rule imposed by the authorities. The Committee also notes the CTA’s observations on the working of the National Council for Employment, Productivity and the Minimum Adjustable Wage. It notes that, according to the CTA, the Council, which meets only upon a government decision and not at the initiative of the social partners, has dwindled in importance as a forum for social dialogue to define the priorities and measures to be taken regarding wage policy. The Committee also notes the CTA’s statement that because of the way it now operates, the Council is unable to determine the basic basket to serve as a reference for setting the amount of the minimum wage. Lastly, the Committee notes the CTA’s conclusion that because of shortcomings in the Council’s procedures, there are no objective rules to determine the amount of the minimum wage, the wage policy agreed between the social partners is not implemented, and the amount of the minimum wage is fixed at the discretion of the Government. The Committee requests the Government to send comments in reply to the CTA’s observations.

The Government is also asked to reply to the questions the Committee raised in its previous comment and which concerned the following points: statistical data on the number of workers remunerated at the minimum wage rate; copies of collective agreements fixing the minimum wage level by sector or branch of the economy; information on the fixing of the minimum wage for workers excluded from the scope of Act No. 20.744 on work contracts, such as domestic workers and farmers; copies of studies or other official documents – such as the activity reports of the National Council on Employment, Productivity and the Minimum Adjustable Wage – on the functioning of the minimum wage system; extracts of inspection services reports indicating the contraventions reported and the penalties imposed; and statistics on recent trends in minimum wage rates in relation to fluctuations in economic indicators, such as the inflation rate, during the same period.

[The Government is asked to reply in detail to the present comments in 2008.]

Direct Request (CEACR) - adopted 2006, published 96th ILC session (2007)

The Committee notes the information provided in the Government’s previous report, in particular the adoption of resolution 2/2006 of 28 July 2006 which provides that the minimum wage will progressively increase to 800 pesos (approximately US$259 per month) by 1 November 2006. The Committee also notes, with interest, that the National Council for Employment, Productivity and the Minimum Adjustable Living Wage, a tripartite consultative body, which was not consulted when minimum wage levels were modified in 2003 for reasons relating to the state of emergency in the country, is once again operating normally.

Article 5 of the Convention and Part V of the report form. The Committee would be grateful if the Government would provide information on the application of the Convention in practice, including, for example, statistics on the number of workers remunerated at the minimum wage rate; copies of the collective agreements fixing the minimum wage level by sector or branch of the economy; information on the fixing of the minimum wage for workers excluded from the scope of Act No. 20744 on employment contracts, such as domestic workers and farmers; copies of studies or other official documents on the functioning of the minimum wage system; extracts of inspection service reports indicating the infringements reported and the penalties imposed; and statistics on recent fluctuations in minimum wage levels in relation to fluctuations in economic indicators, such as the rate of inflation, during the same period.

Direct Request (CEACR) - adopted 2003, published 92nd ILC session (2004)

The Committee notes the Government’s report. The Committee also notes the adoption of Decree No. 388/2003 of 10 July 2003, which raises minimum wage rates progressively in the period from July to December 2003. The Committee notes with concern that, for the adjustment of minimum wages, the Government did not convene the National Council for Employment, Productivity and Minimum Subsistence Wages, provided for under section 139 of Act No. 24013 of 5 December 1991. Based on the July 2003 Decree, the Government (relying on subsection 2 of section 1 of Act No. 25561, which declares a public emergency in social, economic, administrative, financial and in foreign exchange matters) alleges that the serious economic crisis affecting the country and the need for an urgent rise in wages constitute exceptional circumstances which make it impossible to follow the above procedure.

The Committee recalls that the principle of consultation with the social partners is a fundamental principle of the Convention as well as the cornerstone of all the relevant instruments on minimum wage fixing. The Committee considers that, due to its fundamental nature, this principle should not be left aside, even temporarily or exceptionally, for pressing reasons of a social or economic nature, and that it is precisely during periods of crisis that this principle takes on its full significance. The Committee trusts that the Government will make every effort to reactivate as soon as possible the minimum wage fixing machinery, based on consultation with the social partners and their full and effective participation, and requests the Government to keep it informed of any developments in this matter.

Furthermore, the Committee requests the Government to continue to provide, in accordance with Article 5 read in conjunction with Part V of the report form, a general appreciation of the application of the Convention in practice, for example: the available statistical data on the number and various categories of workers covered by minimum wage regulations; results of the inspections carried out (number of violations reported, sanctions imposed, etc.); as well as any other information relating to the application of minimum wage provisions.

Direct Request (CEACR) - adopted 1999, published 88th ILC session (2000)

The Committee notes with interest the information provided by the Government in its report and requests it to continue providing, in accordance with Article 5 of the Convention, in conjunction with Part V of the report form, general information on the manner in which the Convention is applied in practice, including for example: (i) changes in the minimum rates of wages in force; (ii) available statistical data on the number and various categories of workers covered by the minimum wages regulations; and (iii) the results of inspections carried out (for example, the violations reported, the penalties imposed, etc.).

Observation (CEACR) - adopted 1999, published 88th ILC session (2000)

With reference to its previous comments, the Committee notes with satisfaction the information provided by the Government in its report on the adoption of collective agreement No. 307/99, dated 27 October 1998, for crew members and auxiliary factory workers employed on board fishing and deep freezing vessels as a result of the collective bargaining between the representatives of the Union of United Maritime Workers (SOMU) and the Chamber of Shipowners of Fishing and Deep Freezing Vessels of Argentina. The Committee notes that in Appendix I to the above agreement the basic wages are determined for the various categories of workers covered by the agreement.

Direct Request (CEACR) - adopted 1998, published 87th ILC session (1999)

The Committee notes the information supplied by the Government in reply to its previous comments. It notes in particular the information and statistics provided on homeworkers. The Committee would also be grateful if the Government would continue to provide information on the operation of the wage committees for homeworkers set up under Ministerial Resolution No. 320, under Act No. 12713. Furthermore, the Committee requests the Government to continue to supply, in accordance with Article 5 of the Convention, in conjunction with point V of the report form, general information on the manner in which the Convention is applied in practice, for example: (i) changes in the minimum wage rates applicable; (ii) available statistics on the number and categories of workers covered by the minimum wage-fixing machinery; and (iii) the results of inspections carried out (for example, cases of violations reported, penalties imposed, etc.).

Observation (CEACR) - adopted 1998, published 87th ILC session (1999)

1. The Committee notes the detailed information provided by the Government in reply to its previous comments, and the comments made by the United Maritime Workers Trade Union (SOMU) concerning the failure to comply with the provisions of the Convention with regard to fishing workers.

2. According to the SOMU, the basic wage rates of fishing workers are drastically low and well below the parameters established by the National Council for Employment, Productivity and the Minimum Adjustable Living Wage, which have been in force since 1 January 1993, and which set the figure of $200 a month for all personnel who work the statutory period of eight hours a day. Taking into account the fact that the minimum wage can be fixed by collective agreement, SOMU requested the Ministry of Labour to convoke the employer's representatives to collective negotiations with the principal objective of adjusting the current basic wage rates for fishing workers.

3. In view of the fact that the Government's report does not reply to the comments made by the SOMU, the Committee requests the Government to supply information on the measures which have been adopted or are envisaged to give effect to the request of the SOMU and thereby guarantee the payment of the minimum wage to fishing workers.

4. The Committee is also addressing a request directly to the Government on other matters.

[The Government is asked to report in detail in 1999.]

Direct Request (CEACR) - adopted 1993, published 80th ILC session (1993)

The Committee notes the Government's report as well as the comments made by the United Trade Union of Educational Workers of Buenos Aires (SUTEBA) in a letter of October 1992, a copy of which was transmitted to the Government in December 1992 for comments.

1. The Committee notes that the SUTEBA considers the Provincial Decree No. 2202/92, which lays down a system called "PRESENTISMO", affects the application, inter alia, of Convention No. 26. The Committee requests the Government to communicate its comments on this question, including information on the application in practice of the said Provincial Decree with relation to the minimum wage.

2. The Committee notes that the National Employment Act No. 24.013 of 5 December 1991 established the National Council for Employment, Productivity and the Adjustable Minimum Living Wage, which consists of equal numbers of employers' and workers' representatives, and which periodically determines among other things the adjustable minimum living wage. It also notes the information on the evolution of the minimum living wage rates.

Further to its previous comments, the Committee notes with interest that in virtue of the Resolution of the Ministry of Labour and Social Security (No. 320) of 5 October 1989, the Wages Commissions under Act No. 12.713 concerning homework were established.

The Committee hopes that the Government continues to provide information on the results of the application of the minimum wage fixing machinery, including information on the minimum wages applicable to the homeworking sector.

Direct Request (CEACR) - adopted 1989, published 76th ILC session (1989)

The Committee notes with interest the adoption of Decree No. 174, of 10 February 1988 re-establishing the National Minimum Wages Board, and of the last Resolution of that Board, fixing the minimum wage for the last quarter of 1988. The Committee requests the Government to continue to supply information on the operation of the Board and the new minimum wage rates which it fixes.

With reference to its previous comments, the Committee notes with interest the various Resolutions adopted by the Ministry of Labour to ensure equal minimum remuneration for homeworkers and workers in industrial establishments in the footwear, clothing and watchmaking sectors, and providing for minimum wage increases for homeworkers in those sectors. The Committee notes that these measures are to apply until full effect is again given to Act No. 12.713 of 3 October 1941, which regulates work at home and provides for the establishment of wage committees to determine the minimum wage of homeworkers. The Committee requests the Government to continue to supply information on the measures taken to bring Act No. 12.713 into full force and, if appropriate, to update it, in particular the Chapter concerning sanctions.