Decree 95/2026 and the process of transferring labor jurisdiction to the City of Buenos Aires

Decree 95/2026 does not directly order the transfer of the National Labor Courts, but it constitutes a relevant institutional step in that direction. Through this regulation, the President of the Nation delegates to the Chief of the Cabinet of Ministers the authority to sign, on behalf of the National State, an agreement with the Government of the Autonomous City of Buenos Aires for the transfer of judicial powers in labor matters.

The decree is part of a long-standing process linked to the autonomy of the City of Buenos Aires, which was constitutionally recognized in 1994. The National Labor Courts, like other national courts based in the City, were conceived in a context prior to that recognition, and their national character has been described by the Supreme Court of Justice of the Nation as transitory. In the precedents Corrales and Bazán, the Court urged the competent authorities to adopt the necessary measures to guarantee the full exercise of the City’s own jurisdictional powers and questioned the indefinite extension of the existing regime.

Within this framework, Law 24.588 authorizes the National State and the Autonomous City of Buenos Aires to enter into agreements for the transfer of agencies, functions, and powers, which must subsequently be ratified by the National Congress. Although in recent years progress has been made in the transfer of powers in criminal, transportation, and security matters, the transfer of the National Judiciary has not yet been completed.

During 2024, the City enacted Laws 6789 and 6790, through which it created the Labor Jurisdiction of the local Judiciary and approved its Code of Procedure. However, the application of these laws is currently suspended by a precautionary measure issued by the Federal Administrative Litigation Chamber, which made the implementation of the City’s labor courts conditional upon the prior execution of the corresponding institutional agreements with the National State.

From this perspective, Decree 95/2026 has significant implications for the City of Buenos Aires. First, it formally enables the institutional mechanism required by existing legislation and jurisprudence to move forward with the transfer of labor-related powers. Second, it opens the possibility of overcoming the judicial obstacle that has kept the local laws organizing the Labor Jurisdiction suspended. Finally, it constitutes a concrete step toward consolidating the City’s jurisdictional autonomy in labor matters.

It should be noted that the decree does not produce immediate effects on the existing judicial organization. The National Labor Courts will continue to exercise their powers until such time as the transfer agreement is signed, its terms and conditions are defined, and it is approved by the National Congress. Nevertheless, the regulation represents a clear political and institutional signal in favor of advancing compliance with the constitutional mandate set forth in Article 129 of the National Constitution.