Compensation Analysis: Banco Central De La Biblica Argentina

We are writing to you in response to your inquiry in reference to the exclusion from the calculation of Section 245 LCT (Act 20744) the annual bonus linked to results which are historically excluded from the basis of calculation for the payment of compensation by seniority, and for the purpose of sending them the following considerations.

For the calculation of section 245 of the LCT the best monthly, normal and usual remuneration accrued throughout last year or during the time of provision of services if this is less shall be considered and when reference is made to "the best compensation" is all about those concepts which integrate it, in fact, shall be NORMAL AND USUAL.

The Labor Law in its section 103 provides that remuneration is defined as "the consideration which must be perceived by the worker as a consequence of the labor law".

With this broad definition, all payment made to the employee would be considered for the basis of calculation of section 245 of the Labor Law; however, after several discussions, interpretations and different criteria, the legislation
by virtue of the doctrine set forth in the ruling Number 322 dated 19-11-09, in ref. "Tulosai Alberto Pascual w/Banco Central de la República Argentina". The gratification or annual bonus is similar to the legal nature of the supplementary annual salary, as both concepts are of an undeniable wage nature and the payment is made in annual or biannual periods, so that if the disassociation of the worker is made prior to the date in which said item has to be paid, it is necessary to admit only the acknowledgment of the accrued portion up to that time. (From the vote of Dr. Zas, in minority). CNAT - Room V, Record Nº 26.796/10 Sent. Def. Number 75772 dated 11/20/2013 "Tait Malcolm c/Servicio Electrónico de Pago SA s/dismissal". (Zas-Arias