De Mendiguren praises ART law, says its an end to 'lawsuit industry'

The head of the Argentine Industrial Union (UIA), José Ignacio de Mendiguren assured that the recently passed of the workplace insurance companies (ART) law helps end the lawsuit industry and provides additional security for small and medium-sized businesses.

De Mendiguren stated that the new ART law “puts an end to the lawsuit industry,” which had distorted labour insurance, citing the case of one of Córdoba’s largest legal firms, whose members were accused of fraud in many cases filed under the previous law.

“This is one aspect that has not been addressed by those criticizing the new law,” he stated.

“Now small and medium-sized businesses have more predictability, because “they used to pay updates that the worker would never get. Now workers know how much they will be getting and how long it will take for them to get it.”

He later assured that, contrary to what detractors believe, workers under the new norm “are given back to option to chose, a possibility that was taken away from them in the 90s and doubles compensation.”

He concluded by dismissing speculation about the potential damage the law could create, and after considering that those rumours are started for “political positioning,” he suggested “analyzing data in six months and comparing it with the current scenario.”