Argentina labor market shows rising informality and formal job losses

Argentina is facing a significant deterioration in its labor market, characterized by a sharp rise in informal employment and a decline in formal job stability. Reports indicate that between November 2023 and April 2026, more than 235,000 registered private-sector jobs were lost, a 3.7% decrease that exceeds the contraction seen during the 2018-2019 crisis.

Informal labor has reached approximately 44.2%, driven largely by an expansion in self-employment. While the total number of employed persons saw a slight increase of 1.6% in the first quarter of 2026, this growth was almost entirely composed of informal roles, whereas formal salaried employment remained stagnant or declined. Furthermore, job stability has reached its lowest point in a decade, with only 76 out of 100 registered private employees remaining in the same position after twelve months.

Regional impacts vary. Mar del Plata has reported a significant rise in unemployment, reaching 9.3% in the first quarter of 2026, placing it among the highest in the country. In Santa Fe, the decline in formal employment has notably affected the industry, services, and commerce sectors. Meanwhile, provinces like Neuquén and Río Negro have remained exceptions, seeing growth in registered workers due to oil and mining activities.