How to create offer letters for employees in Argentina

Published

Jan 1, 2023

One of the first steps you'll take when you hire an employee in Argentina is to send them an offer letter.

In Argentina, offer letters aren't required—an employment relationship can exist on informal or verbal agreements. But writing an offer letter for your new employee ensures that the offer of employment is clear, the terms are defined, and the tone is set for a successful employer/employee relationship. If you do send an offer letter, it needs to comply with Argentinian labor laws, or you may risk legal disputes, fines, and other consequences.

Before you send an offer letter to an employee in Argentina, use this checklist to make sure it contains all the information it needs to be legally compliant, clear, and comprehensive.

Argentina job offer letter checklist

  • Position (job title), job description, start date, and probationary period. In the offer letter, explain whether there will be a probationary period to determine whether the new employee is suitable for their role. In Argentina, it's standard for the first 90 days of an indefinite-term employment contract to be a probationary period, during which time employees can be terminated with 15 days’ notice.
  • Working hours. Outline the expected working hours and any overtime policies that the employee will be subject to. Under Argentina's labor laws, employers can typically work no more than 48 hours in a standard work week. They're also entitled to a break of at least 35 consecutive hours each week. This typically takes place over the weekend, unless their role dictates that they need to work weekends.
  • Compensation & Benefits.
    • Salary. Specify the employee's salary or hourly compensation in Argentinian pesos. Make sure to include any compensation they might receive outside of their regular salary or wages, such as bonuses or commissions.
    • Equity. If the employee will be receiving any equity compensation, specify their equity and any related conditions. In Argentina, equity compensation is allowed, but employee share plans are treated as bonuses under tax and labor rules.
    • Benefits. Benefits can be outlined in the offer letter, but only in general terms so that if they change in the future, an amendment to the offer letter isn't required.

      In Argentina, the following benefits are mandatory for full-time employees:
      • Social security
      • Health insurance
      • Workers compensation
      • Paid time off, including vacation, sick leave, parental leave, and public holidays
    • Vacation. The offer letter should detail all the vacation time the employee will be entitled to, especially if your company has a vacation policy that offers more leave than the minimum required in Argentina.
  • Termination terms. Clearly explain the terms of termination, including notice periods, severance pay, and conditions that may lead to termination. Note that in Argentina, minimum notice periods depend on the employee's length of service, and payment in lieu can be made to employees who are terminated with less than the required notice:
    • At least 15 days’ notice for fixed-term employees or those on a probation period
    • One months’ notice for employees with up to five years of service
    • Two months’ notice for employees with five years of service or longer
  • Employment terms. Offer letters in Argentina should state whether the employment is fixed-term or indefinite. Note that fixed-term employment is rare in Argentina and can be difficult to defend in court. Fixed-term contracts must be clearly defined in writing and meet certain requirements:
    • The employer must have a justifiable reason for needing an employee on a fixed-term or temporary basis.
    • The duration of the contract cannot exceed five years.
  • Confidentiality and non-disclosure. In the offer letter, include a clause outlining the employee's responsibilities regarding confidentiality and non-disclosure of company information. Under intellectual property laws in Argentina:
    • Inventions or works created by an employee on their own time belong solely to the employee.
    • Inventions or works created by an employee in the course of their employment belong solely to the employer.
  • Contact information, including full name, address, and phone number.
  • Non-compete and non-solicit agreements. Include provisions for the employee's non-compete and non-solicitation responsibilities after they leave your company, if applicable. In Argentina, non-compete agreements are allowed if:
    • They don't exceed two years in duration
    • They include compensation for the employee at a rate of at least 50% of their monthly salary
  • 13th-month policies. Employees in Argentina receive a 13th-month salary, which is typically paid in two installments: One before June 30, and the other before Dec. 18. In your offer letter, you may want to include any policies your company has about when these payments will be issued.
  • Other key details. Lastly, if there are other important details related to policies, procedures, and conditions of employment at your company, include those in the offer letter. Some examples may include:
    • Whether the employment offer is contingent on any conditions—like satisfactory results from a background check or a criminal record check. List and define any contingencies.
    • A request that the employee sign and return the offer letter by a certain date to indicate their acceptance of the job. Note, however, that employment contracts aren't necessary in Argentina, and a verbal offer is all it takes to establish an employment relationship.

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Disclaimer: Rippling and its affiliates do not provide tax, legal or accounting advice. This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal or accounting advice. You should consult your own tax, legal and accounting advisors before engaging in any related activities or transactions.

last edited: March 26, 2024

The Author

Christina Marfice

Christina is a writer, editor, and content strategist based in Chicago. Having lived and worked in Argentina, Colombia, Mexico, and Peru, she’s bringing her expertise on hiring in Latin America to Rippling.

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