JUNE 29, 2021

Necessity and Urgency Decree No. 413/2021: Extension of dismissals and suspensions ban.

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Labor & Social Security Law Department Report | Necessity and Urgency Decree No. 413/2021: Extension of dismissals and suspensions ban

Dear Sir or Madam,

Necessity and Urgency Decree (“DNU”) No. 413/2021, published in the Official Gazette on June 28th, 2021, establishes the following:

i. To extend the prohibition of dismissing employees without cause and for lack or reduction of work and force majeure reasons until December 31st, 2021.

ii. To extend the prohibition to suspend employees due to force majeure or lack or reduction of work until December 31st, 2021. This prohibition shall not reach concerted suspensions under the terms of Section 223 bis of the Employment Contract Law (“ECL”).

iii. That all dismissals and suspensions that are decided in violation of the prohibition will not produce any effect, so the existing labor relations and their current conditions shall remain in full force and effect.

iv. That the prohibition established in i. and ii. shall not apply to employment contracts that started after December 13th, 2019, to the National Public Sector and to construction workers regulated by Act No. 22,250.

v. To extend until December 31st, 2021, the provisions of Section 7 of DNU No. 39/2021, which established that the COVID 19 disease caused by the SARS-CoV-2 virus will be presumed a professional disease – not listed- in the terms of the Labor Risks Law with respect to all those workers who have effectively performed tasks in their usual workplaces, outside their private homes.

Should you require any further information on this matter, please do not hesitate to contact us.

Sincerely,

Alvaro J. Galli
María Eduarda Noceti