On 18 August 2020, social partners in the metallurgical sector signed an agreement to provide an extraordinary non-remunerative bonus, within the framework of the Collective Bargaining Agreement N° 260/75.

The text of the agreement limited its coverage to employers and employees represented by its signatories’ parties and specified the categories and territories excluded by its application.

Employers were represented by the metallurgic employers’ association (Asociacion de Industriales Metalurgicos de la Republica Argentina – ADMIRA, Union Industrial Argentina – UIA, an IOE member) and other chambers and associations. Workers were exclusively represented by the Metallurgic trade union (Union Obrera Metalurgica de la Republica Argentina – UOMRA).

The extraordinary bonus was set at ARS 30,000 (around USD 370) and paid in five instalments as of August 2020 and until December 2020. The bonus amount is not to be considered part of the salary and therefore will not have repercussions on the social security contributions. Part of it shall be given by the employers to UOMRA as a trade union membership fee.

The parties also agreed to revise the basic pay in December 2020 and to ensure social peace during the duration of the agreement.

The agreement allows lower-level adjustments for those companies with economic difficulties and receiving any form of statal support.