CADAM opposes Argentina's decree on compulsory INACAP financing

The Argentine Chamber of Distributors and Wholesale Self-Service (CADAM) has expressed strong opposition to Decree 612/2026, arguing it reverses previous labor reform objectives intended to reduce labor costs.

The chamber contends that the decree maintains a system of compulsory financing for the Argentine Institute of Professional and Technological Training for Commerce (INACAP). Currently, businesses must contribute to INACAP for every retail employee, regardless of whether the employee receives training. This practice reportedly generates over $30 billion pesos annually, which is distributed among specific business chambers.

CADAM asserts that the original reform proposal, championed by Minister of Deregulation and Transformation of the State Federico Sturzenegger, aimed to make such contributions strictly voluntary. While legislative modifications previously set a 0.5% cap on these contributions, the current decree mandates that funds from collective bargaining agreements must be directed toward social, welfare, or cultural works, which CADAM claims forces companies to fund structures that do not represent them.