Argentina: Government ordered to Regulate Nursery and Day Care Center Benefit granted to Employees

On 21 October 2021, in re “Etcheverry, Juan Bautista y otros c/ EN s/ amparo ley 16.986”, the Argentine Supreme Court ordered the National Government to regulate the nursery and day care center benefit to be granted by certain employers to employees, at the employer´s facilities.

Section 179 of the Argentine Labour Contract Law No. 20,744 sets forth that those employers that employ a minimum number of employees (to be determined in the regulations) must provide employees with nursery and day care centers (that supervise and provide care to the employee´s infant(s) and young children, during the working time) inside the employer´s facilities, in the terms and conditions also to be determined in the regulations.

The Supreme Court considered that even though this legal provision has been in place since the year 1974, this benefit has never been regulated by the National Government in the last 47 years, which in practice meant that this benefit was never granted to employees. The Supreme Court also considered that any reasonable term for the National Government to regulate this provision has already lapsed.

Therefore, the Supreme Court ordered the National Government to regulate the nursery and day care center benefit within a reasonable period.

Key Action Points for Human Resources and In-house Counsel 

In conclusion, companies that have a significant number of employees should start analysing and implementing the nursery and day care benefit for their employees.