JANUARY 23, 2023

Retail Employees — New Salary Increase.


Labor & Social Security Law Department report | Retail Employees — New Salary Increase

Dear Sir or Madam,

On January 18th, 2023, the Argentine Federation of Retail and Services Employees (FAECYS, by its acronym in Spanish), the Argentine Confederation of Medium-Sized Enterprises (CAME, by its acronym in Spanish), the Argentine Chamber of Commerce and Services (CAC), and the Union of Argentine Commercial Entities (UDECA, by its acronym in Spanish) agreed before the Ministry of Labor, Employment and Social Security a new salary increase. Pursuant to said document the parties agreed on a salary increase of 22.9 % over the current scales of basic salaries as per the Collective Bargaining Agreement 130/75.

This increase will be remunerative and will be paid off and included in the basic salaries of the Collective Bargaining Agreement 130/75 in two cumulative stages:
— 13% as of the month of February of the year 2023 over the basic salaries and non-remunerative amounts corresponding to the month of December of the year 2022;
— 9.9 % as of the month of March of the year 2023 over the basic salaries and non-remunerative amounts corresponding to the month of February of the year 2023.

Furthermore, the settlement ratifies that the non-remunerative amounts granted during the first stage of the salary agreement will maintain said nature until the month of April of the year 2023. Said non-remunerative amounts will not be considered for the payment of additional amounts set forth in the Collective Bargaining Agreement 130/75, but they will be included for the payment of severances without cause. The Agreement provides for the possibility of absorbing or offsetting, until they become concurrent, the increases unilaterally granted as of October 1st, 2022, that had been granted on account of this collective negotiation.

The signing parties undertake to meet again in the month of March of the year 2023 in order to analyze the conventional salary scales again.

On the other hand, regarding the duty of providing nurseries and daycare centers within the facilities, as set forth by Decree 144/2022 regulatory of Section 179 of Act No. 20.744, the parties agree that the employers may comply with it as herein established, or by opting for the payment of a non-remunerative amount of money, as reimbursement of daycare o care work expenses, duly documented; the employer may change, by a reasonable fiscal year, the method of compliance with said obligation, within the framework of the previously mentioned decree.

The amount to be reimbursed as payment for daycare or non-therapeutic assistance and care of persons will be equivalent to 40% of the monthly salary corresponding to the category “Assistance and Care of Persons” in relation to the Retired Personnel under the regime of Act No. 26.844, or the amount effectively spent in case it is lower.

The parties agree that the provisions on this issue will remain in force unless otherwise modified by them.

Please, do not hesitate to contact us if you require further information on this matter.


Álvaro J. Galli
Daniela L. Panucci