1. 04/06/2016 NATIONAL LABOR REGULARIZATION PLAN (PNRT) Ministry of Labor, Employment and Social Security Argentine Republic

2. 6/4/2016 DISTRIBUTION OF POWERS IN THE AREA OF LABOR INSPECTION AND SOCIAL SECURITY National Labor Regularization Plan (PNRT) UNDERSECRETARIAT OF LABOR INSPECTION AND SOCIAL SECURITY NATIONAL DIRECTORATE OF INSPECTION NATIONAL DIRECTORATE OF INSPECTION FEDERAL JURISDICTION AGENCYSUBJECT MATTER MTEySS (Ministry of Labor, Em- ployment and Social Security). Supervises compliance with the labor laws at the national level, overall working conditions and compliance with Collective Labor Agreements (CCT). In the area of social security, oversees compliance, in conjunction with the Tax Authority (AFIP), by employers with the obligation to make disclosures and contributions to the Social Security System, imposing the appropriate penalties for any violations they detect. SRT (Occupa- tional Risk Superin- tendency) Monitors compliance by employers with occupational health and safety obligations on premises under federal jurisdiction. Ensures that Occupational Risk Insurers discharge their obligations.

3. 04/06/2016 DISTRIBUTION OF POWERS IN THE AREA OF LABOR INSPECTION AND SOCIAL SECURITY National Labor Regularization Plan (PNRT) UNDERSECRETARIAT OF LABOR INSPECTION AND SOCIAL SECURITY NATIONAL DIRECTORATE OF INSPECTION AFIP (Tax Adminis- tration) In charge of collection, oversight and attachment of Social Security funds. Oversight of social security funds conducted in conjunction with the MTEySS. DNM (National Directorate of Migration) Law 25.871. Supervises and penalizes employers that hire foreign workers whose immigration status is not in order.

4. 04/06/2016 DISTRIBUTION OF POWERS IN THE AREA OF LABOR INSPECTION AND SOCIAL SECURITY National Labor Regularization Plan (PNRT) UNDERSECRETARIAT OF LABOR INSPECTION AND SOCIAL SECURITY NATIONAL DIRECTORATE OF INSPECTION LOCAL JURISDICTION AGENCYSUBJECT MATTER Provincial Labor Administrations Each province polices all labor matters within their jurisdiction that they do not come under the authority of national agencies, monitoring overall working conditions, compliance with the terms of Collective Labor Agreement, and occupational health and safety regulations.

5. 04/06/2016 PURPOSE OF THE PLAN National Labor Regularization Plan (PNRT) The National Labor Regularization Plan (PNRT) has been underway nationwide since 2003. To regularize the status of Unregistered workers To promote decent work as prescribed by the ILO To eradicate evasion of taxes and contributions To sustain the Social Security System To raise public awareness about the ills of Unregistered Labor UNDERSECRETARIAT OF LABOR INSPECTION AND SOCIAL SECURITY NATIONAL DIRECTORATE OF INSPECTION National Labor Regularization Plan (PNRT) Its objectives are:

6. 04/06/2016 TOTAL INSPECTIONS, 2003-2009 National Labor Regularization Plan (PNRT) 639.222 Establishments. 2.016.945 Workers. UNDERSECRETARIAT OF LABOR INSPECTION AND SOCIAL SECURITY NATIONAL DIRECTORATE OF INSPECTION INSPECTION PERIOD No. ESTABLISHMENTS INSPECTED No. WORKERS SURVEYED % DETECTED UNREGISTERED WORKERS Sept. 2003 to Dec. 200489.000295.03821,89% 2005106.166310.44322,66% 2006188.020499.14224,17% 2007123.536411.04123.72% 200897.275378.79330.20% 2009(*)35.225122.48832.25% (*)Data current as of August 28, 2008 National Labor Regularization Plan (PNRT)

7. 6/4/2016 ORGANIZATION CHART National Labor Regularization Plan (PNRT) UNDERSECRETARIAT OF LABOR INSPECTION AND SOCIAL SECURITY NATIONAL DIRECTORATE OF INSPECTION National Labor Regularization Plan (PNRT) Undersecretariat of Labor Inspection and Social Security National Directorate of Inspection Federal Directorate of Inspection (DFI) Directorate of Inspection Decisions (DRF) Directorate of Operational Programming (DPO) Directorate of Follow-Up and Control (DSyC) Secretariat of Labor Minister of Labor, Employment and Social Security Regional Delegations In charge of operational implementation of the Plan (inspection and investigation stages) within the jurisdiction of the City of Buenos Aires and in activities under federal jurisdiction. Adopts rulings on all proceedings initiated as a result of inspections that disclosed violations, as well as on administrative appeals. Administrative tribunal. Involved in pre-inspection intelligence gathering stages. Territorial planning and fiscal intelligence. Performs controls on all inspection processes, interacting with the different areas concerned, in order to improve and optimize Plan performance. Offices of the representatives of the Secretariat of Labor in different jurisdictions in the country. They carry out the Plan within their jurisdictions according to guidelines imparted by the National Directorate of Inspection.

8. 04/06/2016 STAGES OF AN INSPECTION National Labor Regularization Plan (PNRT) UNDERSECRETARIAT OF LABOR INSPECTION AND SOCIAL SECURITY NATIONAL DIRECTORATE OF INSPECTION National Labor Regularization Plan (PNRT) Planning Inspection – Worker Survey Verification of alleged violations Payment or initation of attachment proceedings by DAJ Administrative appeal Decision Hearings to answer charges Judicial appeal Referral to AFIP to ascertain existence of unpaid Social Security contribution. Inspection StageInvestigation StageDecision Stage DPO-DIF-DR DIF-DRDRF Control and Follow-up on all proceedings DSyC

9. 04/06/2016 PLANNING PROCESS National Labor Regularization Plan (PNRT) UNDERSECRETARIAT OF LABOR INSPECTION AND SOCIAL SECURITY NATIONAL DIRECTORATE OF INSPECTION National Labor Regularization Plan (PNRT) Financial investigations on activities to be inspected Official statistics (INDEC) Other Agency Databases Planning History of inspection targets (PNRT) Inspection Information Process Results Feedback to planning ensures better targeting FISCAL INTELLIGENCE

10. 04/06/2016 PNRT CIRCUIT CONTROL National Labor Regularization Plan (PNRT) UNDERSECRETARIAT OF LABOR INSPECTION AND SOCIAL SECURITY NATIONAL DIRECTORATE OF INSPECTION PNRT PROCESSES  FIELDWORK THROUGHOUT THE COUNTRY  ALL ADMINISTRATIVE STAGES IN THE PNRT PROCEDURE DESIGN AND IMPLEMENTATION OF CONTROL MECHANISMS FOR: PURPOSE  TO ANALYZE QUALITY OF WORK AND DESCRIBE THE PLAN GUIDELINES AT EACH ESTABLISHMENT.  TO DETECT POSSIBLE DEVIATIONS, INCONSISTENCIES OR PROBLEMS AND PROPOSE THE CORRECTIONS OR CHANGES DEEMED NECESSARY.

11. 04/06/2016 INSPECTION CONTROL National Labor Regularization Plan (PNRT) UNDERSECRETARIAT OF LABOR INSPECTION AND SOCIAL SECURITY NATIONAL DIRECTORATE OF INSPECTION THE RELEVANT CONTROLS ARE PERFORMED TO VERIFY THE WORK IN THE FIELD OF INSPECTORS AT EACH DELEGATION AS WELL AS THE QUALITY OF THEIR WORK. RE-INSPECTION Selection of previously surveyed objectives, covering areas with a high density of establishments on the basis of a variety of management indicators. Quality control surveys on employers and workers. INDICATORS  % IN ORDER  % UNREGISTERED WORKERS  CONTROLS AT DELEGATIONS  COVERAGE (VOLUME OF INSPECTIONS) OF THE REGION BY THE DELEGATION

12. 04/06/2016 INSPECTION CONTROL National Labor Regularization Plan (PNRT) UNDERSECRETARIAT OF LABOR INSPECTION AND SOCIAL SECURITY NATIONAL DIRECTORATE OF INSPECTION THE NECESSARY CONTROLS ARE PERFORMED AT THE INVESTIGATION STAGE OF THE PROCEEDINGS IN ORDER TO AVOID DELAYS IN THE PROCESS AND UNNECESSARY ADMINISTRATIVE COSTS. INVESTIGATION STAGE Selection of case records from each stage of the Plan based on management indicators. Preparation of Procedure Guides. Training for delegations based on the above Guides. INDICATORS  CONSULTATIONS PREPARED BASED ON THE MANAGEMENT SYSTEM  TIME DIFFERENCES BETWEEN THE VARIOUS STAGES OF THE PROCEDURE.

13. 04/06/2016 National Labor Regularization Plan (PNRT) REGISTERED LABOR IS QUALITY, SAFE AND PROTECTED LABOR UNDERSECRETARIAT OF LABOR INSPECTION AND SOCIAL SECURITY NATIONAL DIRECTORATE OF INSPECTION