Argentina is the third-largest economy in Latin America. It has a diversified industrial backdrop, export-oriented agricultural sector, and immense natural resources. It rates as ‘very high’ in the United Nations Human Development Index and ranks second in Latin America.
Argentina has a fast-growing tech sector with increased foreign investment, which is a positive indicator for considerable growth of the economy. As a result of this, many international companies are looking to expand their operations and enter the market in Argentina. Particular growth sectors in Argentina include Information and Technology, agrifood, telecommunications, electricity, tourism, and safety equipment.
In Argentina, the lack of adequate skilled workers is making it harder to improve the middle-income trap. Companies in Argentina face a talent gap of 59% due to the difficulty of finding workers with the right skills.
Upskilling and reskilling are the new names of the game. It is the skills of today’s workforce that will drive the economy for at least the next two decades. For achieving this goal, collecting information on people’s skills and the businesses’ needs is a must. Today's economy is all about the need for complex skills, so it is important to forget about Bitcoin for a while and start investing in skills.
Overview of Argentina
Population- The current population of Argentina is 45.5 million
GDP- $383,067 million (2020)
After falling 9.9% in 2020, the economy of Argentina is recovering faster than expected. Experts expect the economy to expand by 6.1% in 2021 and 1.8% in 2022.
Brief Glimpse of Industries In Argentina
- Despite the current economic struggles, Argentina continues to contribute to the global economy, thanks to its robust agricultural production of a variety of cereals, citrus fruits, tea, tobacco, grapes and livestock farming.
- Argentina is the world’s largest exporter and the world's third-largest producer of soy-derived products. Sugar cane and soy are majorly cultivated for biofuel production purposes. As a result, the country is the sixth-largest producer and the world's largest exporter of biodiesel. About 6.08% of the country’s GDP is represented by the Agriculture Industry.
- The country is rich in green energy resources and raw materials. Argentina is the fourth largest producer of natural gas in Latin America and has the third-largest shale gas reserves.
- Due to globalization, the Industrial Sector in Argentina has vastly expanded. About 23.41% of the GDP is dominated by the Industrial Sector.
- Food packaging and processing in meatpacking, flour grinding, canning, and flour-milling are the primary industries. The industrial zone additionally demonstrates its electricity in textiles, motor motors, auto components, customer durables, chemical substances and petrochemicals, printing, prescription drugs, metallic, metallurgy, farm and industrial equipment, electronics, and domestic home equipment.
- On the contrary, some essential industries, such as chemicals, food and beverages, and medical equipment performed slightly better than the rest of the industrial sectors in Argentina. The service sector has contributed 54.33% to the Gross Domestic Product and employs 78.86% of the active workforce.
- Argentina specializes in high-tech services and has competitive infrastructure for call centers, software development, tourism, and nuclear energy.
- Information Technology, telephone and tourism are other growing sectors. However, tourism was one of the most affected sectors during the pandemic. Other significantly impacted businesses in 2020 were inns, restaurants, retail, real estate, and various business, social, cultural, and sports activities.
Talent in Argentina
The top three industries in Argentina in 2021 that are expected to hire are:
- Software and Data- The scope of outsourcing software development and data in Argentina in 2021 is immense. This is because of the emphasis on higher education and tech skills. Talented software engineers often excel in the tech landscape in Argentina.
- Social & Leisure- The government incentives and remote work laws have made it easier for this sector to expand in Argentina.
- Ecommerce & Retail- Startups in Argentina are making it big. There is a very good blend of regulatory policies and availability of the team, which makes Argentina a unique option.
Top Skills In Argentina
Argentina has a very dynamic market. There are plenty of job opportunities at the entry-level for ambitious and passionate freshers; experienced and industry experts also excel in senior-level positions. However, different cities have different types of skills based on the dominant occupation in that city. The skills that are most in-demand in Argentina include:
- Data engineer
- Data analyst
- Banking, finance, and insurance
- Service managers
- Web designing
Top City-Wise Skills In Argentina
Buenos Aires is the financial hub of Argentina. With its dynamic economy, its main economic pillar is its service sector consisting of around 74% of its GDP. The other fields in which this city offers jobs are:
- Tourism and Hospitality
- Real Estate
Rosario, Argentina's third-largest city, provides numerous job opportunities. The primary skills in demand here are:
- Software Development
This is one of the largest cities in Argentina and also one of the easiest places to find work due to its diversified labor market. The main skills that are in-demand here are:
- Mechanical Engineering
- Software Development
Cost of Living
The cost of living in a country depends on several factors, such as the city in which the person lives, the type of industry dominant in that particular area, state revenue, lifestyle, taxation policies, and much more. However, location is the main factor that determines the cost of living in a country. The following information gives an insight into the cost of living in Argentina.
Cost of living for a family of four:
- The cost of living in Buenos Aires, Argentina, without rent in a family of four persons is 419$ or ARS 40000/month.
- The cost of living in Buenos Aires, Argentina, with rent in a family of four persons, is 524$ or ARS 50000/month.
Cost of living for a single person:
- The cost of living in Buenos Aires, Argentina, without rent for a single person is 125$ or ARS 12000/month.
- The cost of living in Buenos Aires, Argentina, with rent for a single person is 188$ or ARS 18000/month.
The average cost of renting in Argentina is 524$ or 50000 ARS per month. This rate may vary depending on the location and lifestyle.
The cost of living in Argentina varies from location to location. Living expenses in rural areas tend to be cheaper by about a third of the cost in larger cities. For example, in Buenos Aires, Argentina, a one-bedroom apartment just outside the city center costs 251$ or ARS 24000. Similarly, living in a one-bedroom apartment in Rosario’s city center will cost around 271$ or ARS 26000. Living in Bariloche in a three-bedroom apartment would cost 419$ or ARS 40000.
The cost of hiring is an important factor that should be considered while employing people. It depends on various other factors such as legal assistance, staffing agency, formation of a legal entity, hiring committee, translator, advertisements, and screening checks. Other several factors that affect the cost of hiring are training, opportunity costs, cost of living in a city, and onboarding costs.
Salary Structure For Various Industries
Estimated annual median salary for various industries in Argentina are:
- Software Engineer- $25,791
- Finance Manager-$87,779
- Business Development- $86,074
- Data Analyst-$80,197
- Sales Manager- $65,001
- Industrial Designer- $61,196
- Operations Manager-$59,856
- UX Designer- $49,813
- Content Marketing- $49,544
- Data Scientist-$40,512
- Project Manager-$39,324
- Electrical Engineering-$36,155
- Mechanical Engineer-$35,596
- Marketing Manager-$34,043
- Web Designer- $32,992
- Graphic Designer- $28,561
- Web Developer- $25,266
- Human Resources Manager- $25,025
Employment Laws in Argentina
- The labor laws in Argentina are designed to protect the rights of employees by setting good rules on working hours, providing salaries during illness, salaries on overtime, and ensuring vacancies annually.
- Employers must pay a compulsory Life Insurance policy for all their employees.
- The labor law comprises public order rules and cannot be ruled out by any agreement.
- Employees' Pension and Retirement Act has established access to public funds to employees.
- The labor laws of Argentina are federal laws, and so the labor terms and conditions are nationally standardized.
How Can Skuad Help You In Hiring In Argentina?
Hiring in Argentina is a multi-faceted task requiring in-depth knowledge of the trending skills, laws, hiring, and living costs city-wise. Skuad comes onboard as a one-stop solution for handling every small aspect of recruitment and seamlessly managing global talent. It gives you the freedom, space, and time to focus on your project and expand your plans without any hiring stresses while also providing you with exceptional talent. Connect with Skuad experts to know more.