On September 2003, Uruguay became the first and, up to date, only South American country that ratified Convention N°181 of the International Labour Organization on Private Employment Agencies.

Back then, the Convention was ratified through Law N°17,692. However, it was not regulated for years, until on May 2016 Decree N°137/016 was enacted. The Decree represents the development of an adequate regulatory framework for the employment and recruiting industry, with proper control systems, which prevents the development of fraudulent staffing companies.

In addition, the Decree establishes the role of the Uruguayan Ministry of Labour as a promoter of the cooperation between public employment services and private employment agencies. The goal is for public and private organizations to work together to promote decent work and develop joint actions and projects that encourage employment creation.

The Decree is a huge step forward in the acknowledgment of the vital role that private employment agencies play and their positive impact on working conditions and decent work.

Martin Padulla, Founder and Managing Director of staffingamericalatina, stated that “the Uruguayan labour market shall be benefit with this decree, as private employment agencies will be able to work together with public employment services in key issues such as learning based on demand during transitions, and in the intermediation of decent work”.