Argentina's labor market closed 2025 with an unemployment rate of 6.3% according to the Q4 Permanent Household Survey (EPH) — the lowest level since 2016 — and a sustained recovery of formal employment that began in the third quarter. However, the picture is more complex than a single number: labor informality continues to affect more than 36% of workers, and the gap between real wages and the cost of the basic food basket remained a structural problem throughout the year. The start of 2026 shows signs of consolidation, though regional inequality in access to quality employment persists.
The recovery of formal employment and wages
Registered employment in the private sector accumulated a net creation of approximately 180,000 jobs during 2025, with notable acceleration in the second half. The sectors that generated the most employment were agriculture, mining, and services related to information technology. Manufacturing, in contrast, showed mixed results: segments such as food and automotive added workers, while textiles and footwear continued to shed jobs in the face of import competition. Real wages began to recover from July onwards, following a sharp fall in the first half: they closed the year with a 12% cumulative gain in real terms compared to the June trough. To follow the monthly evolution of employment and wages, visit our employment and wages dashboard.
Informality and inequality: the pending challenges
Beyond aggregate indicators, the quality of employment remains the main challenge of Argentina's labor market. More than a third of workers have no access to pension contributions, health insurance, or paid vacation. This structural informality is concentrated especially among domestic workers, self-employed workers with low incomes, and employment in micro-enterprises in the service sector. The geographical distribution is also very uneven: Greater Buenos Aires concentrates the highest informality levels, while some Patagonian provinces show rates below 20%. EPH data allows exploring these disparities in detail through our Permanent Household Survey dashboard.
Projections for 2026 point to a continuation of formal employment recovery, driven by higher economic activity and exchange rate stabilization. However, reducing informality requires specific policies beyond the macroeconomic cycle. The overall evolution of economic activity can be followed in our economic activity dashboard.
Sources: INDEC (EPH, EMAE), Ministry of Labor, Employment and Social Security of Argentina, AFIP.
