Labor Reform: Justice Suspends the Transfer of Labor Courts to CABA

The National Labor Court No. 30, in the case 7097/2026 – UNION OF EMPLOYEES OF THE NATIONAL JUDICIARY v. NATIONAL EXECUTIVE BRANCH regarding INJUNCTIVE RELIEF, ruled on March 17, 2026, to suspend all effects of the “Agreement for the Transfer of Judicial Functions in Labor Matters from the National Jurisdiction to the Labor Courts of the Autonomous City of Buenos Aires.”

This agreement, entered into by the National Government and the Autonomous City of Buenos Aires and incorporated as Annex I of Law 27.802, will remain suspended until a final judgment on the merits of the case is issued.

Halt to the Transfer of Labor Courts to CABA?

We must now wait to see if the National Government decides to appeal the ruling.

 

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Impact of the Suspension of the Labor Justice Transfer

The recent preliminary injunction issued within the framework of the Labor Modernization Law (Law 27,802) marks a highly relevant procedural milestone for the Argentine legal landscape. This temporary judicial halt opens a waiting period that obliges companies, employers, and legal professionals to closely monitor the development of the labor jurisdictional map in the City of Buenos Aires.

What Does the Transfer Agreement to CABA Entail?

Annex I of Law 27,802 provided for the transfer of the competencies, functions, and structures of the current National Labor Justice to the jurisdiction of the Judicial Power of the Autonomous City of Buenos Aires. This structural change has the historical objective of consolidating the City’s full autonomy. However, the transition generates a profound debate regarding the administration of ongoing case files, judicial infrastructure, and the rights of judicial sector workers, which prompted the claim by the Union of Judicial Employees of the Nation (UEJN).

Legal Scope of the Preliminary Injunction

It is crucial to understand that the resolution issued by the National Labor Court No. 30 has a precautionary nature. A preliminary injunction does not resolve the merits of the case (i.e., it does not permanently declare the transfer unconstitutional), but rather temporarily freezes the effects of the transfer agreement to prevent irreparable harm while the main trial is processed. Therefore, until a final judgment on the merits is reached, the National Labor Justice will continue to operate under its historical scheme and jurisdiction.

How Does This Resolution Affect Companies and Employers?

For the corporate sector and Human Resources management, this suspension generates a transitional scenario requiring strategic attention. Among the main impacts, we highlight:

• Jurisdictional Uncertainty: Companies facing new labor disputes within the Federal Capital will continue to litigate before the national courts, maintaining the current jurisprudential criteria of the National Court of Appeals in Labor Matters.
• Processing of Ongoing Cases: Labor cases already initiated will not suffer jurisdictional alterations or delays linked to a jurisdictional move while the injunction remains in effect.
• Legal Planning: Given the potential appeal by the National Executive Power, employers must have preventive legal counsel that constantly monitors in which jurisdiction their future contingencies will fall.

Next Steps: The Potential Appeal by the National State

The procedural scenario now awaits the reaction of the National State. It is highly likely that the Executive Power will file an appeal against this precautionary measure. If so, a higher court (the Chamber) will be responsible for confirming or revoking the suspension. At Analía Durán Abogados, our team of Corporate Labor Law specialists is monitoring the updates of this case file in real time to ensure that our clients always operate under a framework of maximum legal security and predictability.