How to Hire Staff in Argentina Without a Local Entity

After company formation in Argentina, you will need to find employees. However, this is not always easy for a new entrant to the jurisdiction, meaning you should seek specialist advice. A good recruiter in Argentina will have expert knowledge of the local market and an established recruitment network to tap into, so should be able to find strong candidates quickly. If hiring in Argentina interests you, the following article offers an overview of the market and advice on the key sectors to investigate.

Key takeaways

Key sectors in ArgentinaKey sectors in Argentina include:
Engineering
Tech developers
E-commerce
Fintech
Steps to hiring in ArgentinaA local advisor can help you with:
Job adverts
Networking
CV assessment
Interviewing
Contract writing
Onboarding
Legality of PEO in ArgentinaYes, hiring in Argentina through a PEO is legal. It ensures compliance with labor laws, handles payroll and taxes, and simplifies employment without needing a local entity.
Minimum wage in ArgentinaThe current minimum wage as of January 2025 is ARS$286,711.00. This frequently changes but usually hovers around USD$300.
Employer contributions in Argentina23% must be paid of an employee’s gross salary.

What sectors are best for hiring in Argentina?

The country has a strong industrial focus, and the sector is the backbone of the local economy. Not only that, but expansion into resource extraction (particularly shale gas and lithium) means that engineering knowhow is in no short supply. Argentinian engineers often come with top qualifications and years of valuable experience in the field. Manufacturing, too, benefits from a surfeit of high-quality workers.

However, there are more exciting opportunities in dynamic tech fields which are growing fast. Argentina is rightly described as a startup paradise. The country has a robust and high-functioning university system that serves as a conveyor belt for highly skilled tech graduates. The rate of training often outperforms job creation, meaning that employers have great choice.

While economic instability has been a problem for the country as a whole, it encourages tech innovation in areas such as e-commerce and fintech, where Argentina is a regional leader. Companies such as Mercado Libre have thrived as online marketplaces thanks to their considerable talent on the back end, among other factors.

How much it costs to hire people in Argentina

The cost of hiring in Argentina is less than it would be in richer nations, yet workers are often well qualified and skilled. With significant investment in education over a number of years, the Argentina now has a surfeit of graduates in the labor market that it cannot provide local jobs for. This means that the labor market in Argentina is relatively competitive for an incoming prospective employer.

The minimum wage in Argentina is ARS$286,711.00. This frequently changes due to currency instability but usually hovers around USD$300. However, this is not necessarily the rate that you should be offering. In top sectors that require qualified and skilled workers, you will need to offer at least market standard rate.

A local hiring expert in Argentina will be invaluable in making sure that you are not overpaying or offering unattractive rates that make it hard to recruit quality talent. Employers in Argentina must make social security contributions equal to 23% of an employee’s wage. The employer must withhold tax at a rate of 17% of an employee’s remuneration.

Two options for hiring: establish a company or PEO

When entering the market and hiring in Argentina, there are essentially two options available to investors and entrepreneurs. The most common way of doing so is through full company formation to establish a presence in the jurisdiction. However, this may take time and effort, meaning that it is worth considering another option as well, using a Professional Employer Organization (PEO).

PEO: fast and agile

A Professional Employer Organization (PEO), also known as a ‘Registered Employer’ or ‘Employer of Record’, is an organization that provides and supports companies with their human resources functions, from the early stages of recruitment to the payment of taxes and benefits. PEOs undertake the fundamental and time-consuming tasks of human resources teams, allowing companies to focus on the growth and success of their business.

The services of a PEO are particularly useful when businesses seek to hire a local workforce but do not wish to establish a local legal entity. Simply put, a PEO makes it easy to hire staff in Argentina through an outsourced provider. It means you can enter the market and start hiring quickly, without having to commit to full entry until you are sure that it is what you want to do. It is worth noting that regionally there is beginning to be more regulation and PEO in Argentina may not be viable in the future.

The long-term option: direct hiring

This is the gold standard of hiring in Argentina, as it will give you full control over your employees as well as being sure that you will be compliant for the long term. It also gives you a higher status with potential job applicants, who will see you as a more secure long-term employer.

Before you start hiring employees in Argentina, you will first need to get a sense of the legal, financial and cultural lay of the land. Things such as how to sort out the red tape associated with incorporation and how to manage payroll, for example. With a permanent legal presence in Argentina, you will be fully liable for compliance with local law.

A local expert will help when hiring in Argentina, as they will have an extensive network of qualified professionals for top jobs as well as a good idea of the local labor market. They will be able to advise on the best rates to offer and what type of profile you should be targeting. With anti-discrimination legislation important in Argentina, especially for top jobs, they can make sure you are making a fair offer which complies with local law.

After placing adverts and receiving applications, you will want to move towards interviewing potential candidates. This should be done by both a team manager and HR representative at minimum, to make sure that everything is watertight in legal terms. You may want to include other people into the process in order to make a better assessment of the candidate.

It is entirely possible that you may wish to have a second interview, possibly involving other team members as discussed above. It is also common in the region and when hiring in Argentina to provide candidates with an aptitude task to be completed. This usually takes the form of a dummy task that simulates the type of job that will be done in the future and confirm that they possess the skills cited on their CV.

Contracts, too, will be important. A local advisor will be up to speed on what you can and cannot offer. Bear in mind that you will have to follow all the rules established by Argentina. In Argentina, this includes the compulsory pension contributions on both sides and clear delimitations on the conclusion of the contract for temporary/project based workers.

Finally, your local advisor will be able to help you with the stages of both the hiring and onboarding process. They will make sure that you comply with standard requirements such as compulsory medical checks and make sure that any probation period is within the boundaries of those established by the labor law in Argentina. This is generally three months.

Infographic titled "Options to Expand Internationally" contrasting two methods: "Establish a local legal entity" (slower, higher costs, full local presence, contracts, invoicing, legal capabilities, direct hires) versus "Hire staff through PEO in Argentina" (no local entity required, light presence, versatile, fewer compliance concerns, easy market exit).
Hiring in Argentina can be done in either of these attractive options

Labor laws and regulations in Argentina

Before making a move into the jurisdiction, it’s important for companies to understand the labor rights and responsibilities of both employers and employees in Argentina. What follows are a few things that foreign business owners should know about when it comes to the local work culture:

  • Work hours – The standard workday in Argentina is eight hours, with the standard workweek up to 48 hours.
  • Public holidays – There are 15 public holidays in Argentina each year.
  • Vacation time – Workers in Argentina are eligible for 14-35 days of vacation annually depending on length of service. Women are entitled to 90 days’ maternity leave.
  • Contract types – There are essentially two types of contract in Argentina, indefinite employment and fixed-term employment. However, temporary and learning contracts also exist for certain circumstances.
Vacations, leave, and other absences under Argentinian law
When hiring in Argentina, you will have to comply with local labor laws

FAQs on hiring in Argentina

Based on our extensive experience these are the common questions we receive from clients when looking to hire in Argentina.

1. Why hire talent in Argentina?

Hiring in Argentina offers access to a large talent pool that is located in the same time zone as the North American market, is culturally similar, and is more economical. The combination allows a company to complement an existing North American based team or to establish an independent nearshoring center within the region.

2. Can I hire top talent in Argentina?

Yes, you can hire top talent in Argentina, often at more competitive prices than in your local market. The country has a strong and robust university system that produces a high number of quality graduates every year. This production rate often outperforms job creation, meaning that the market remains good for employers.

3. What is the level of English for professionals in Argentina?

University graduates are expected to complete English language proficiency to at least an intermediate level, so in white collar jobs especially, you are unlikely to encounter major issues.

4. What can a local expert help me with when hiring in Argentina?

A local expert will help when hiring in Argentina, as they will have an extensive network of qualified professionals for top jobs as well as a good idea of the local labor market. They will be able to advise on the best rates to offer and what type of profile you should be targeting. With anti-discrimination legislation important in Argentina, especially for top jobs, they can make sure you are making a fair offer which complies with local law.

Infographic titled "Argentina: Market Snapshot." Shows Argentina's population (46.7 million), GDP (PPP) (USD $1.37 trillion), GDP per capita (USD $29,362), capital city (Buenos Aires), and major exports (soybean meal, corn, wheat, beef).
Hiring in Argentina can be very rewarding in this powerful market

Biz Latin Hub can help you with hiring in Argentina

At Biz Latin Hub, we offer a comprehensive range of market entry and back-office solutions across Latin America and the Caribbean. 

With offices in key cities across the region, along with trusted partners in other markets, our extensive reach makes us well-suited to support cross-border operations and multi-jurisdiction market entries.

As well as knowledge about hiring in Argentina, our portfolio of services includes hiring & PEO accounting & taxation, company formation, bank account opening, and corporate legal services.

Contact us today to find out more about how we can assist you in finding top talent or otherwise doing business in Latin America and the Caribbean.

If this article on tips for hiring in Argentina was of interest to you, check out the rest of our coverage of the region. Or read about our team and expert authors.

A visual listing the services provided by Biz Latin Hub. The services include Company Formation, Legal Services, Accounting & Taxation, PEO & Recruitment, Bank Account Opening, Tax Advisory, and Visa Processing. Contact information is shown at the bottom right.
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Legal Team Argentina
Legal Team Argentina

Legal Team Argentina is the Biz Latin Hub leading experts on doing business in Argentina The Team writes on the news, doing business, law, and changing regulations. The team are experts in corporate law, Administrative law, Employment law, Immigration law and legal advisory services. Read more about them here. You can contact Legal Team Argentina via our "contact us page".

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