Argentina's Congress is considering a bill that would amend the General Companies Law to allow firms to operate using autonomous algorithmic systems and AI agents without traditional employees. The proposal creates two new corporate types—DAOs and automated companies—and aims to modernize business law for new technologies. Critics warn the draft leaves unresolved questions about legal responsibility, potential fraud or money laundering, and threats to democratic oversight. The measure draws on academic work from Emiliano Kargieman and remains subject to change as legislators review it.
Milei's 'Workerless' Companies: Argentina Debates Allowing Firms to Run on AI and DAOs
Argentine President Javier Milei's government has proposed legislation that would allow companies to operate without employees through autonomous systems and artificial intelligence agents. Photo by Brett Sayles/Pexels
Argentina's Congress is weighing a high-profile legislative proposal from President Javier Milei's administration that would amend the General Companies Law to recognize corporate forms that can operate using autonomous algorithmic systems and artificial intelligence agents without traditional employees.
What the Bill Would Do
The draft creates two new corporate types: decentralized autonomous operating companies (commonly referred to as DAOs) and "automated companies." Under the proposal, an automated company could conduct its ordinary operations through "autonomous algorithmic systems or artificial intelligence agents" and would not necessarily require employees or other human resources for routine activities.
Government Rationale
The administration argues the change modernizes corporate law to reflect technological advances that enable new activities, markets, financing sources and governance models. Speaking at the 81st U.N. General Assembly, President Milei warned against preemptive regulation of AI, saying excessive government control risks curbing innovation. Milei has pitched a market-oriented framework with limited intervention, tax incentives and constrained liability to attract foreign investment in AI-driven industries.
Support And Origins
Supporters say explicit legal recognition will provide certainty for businesses that center operations on autonomous systems. Reporting indicates the draft draws on academic work by Emiliano Kargieman, CEO of Satellogic, which offers satellite imagery services.
Critics' Concerns
Legal and technology experts warn the bill raises difficult questions about accountability, oversight and potential misuse. AI expert Maximiliano Firtman told UPI that the notion a company can run entirely without people is unrealistic:
"To me, Milei's idea is delusional. It is not based on the reality of how technology works," Firtman said. He emphasized that AI follows instructions set by humans and lacks independent will, so AI systems cannot assume management roles or carry legal obligations on their own.
Attorney Pablo Serdán, who specializes in AI and corporate power, warned the proposal risks creating an "experimental field" where algorithms make decisions while legal liability is reduced. He also flagged provisions that may not require minimum capital or a physical address in Argentina, which could complicate efforts to identify responsible parties when harm occurs.
Potential Risks
Experts highlight several risks if the bill passes in its current form: unclear lines of responsibility when AI-driven decisions cause harm; greater potential to obscure the individuals behind illicit activities such as fraud or money laundering; and broader democratic risks if DAOs gain legal recognition for noncommercial governance functions.
Legislative Status
The bill remains under consideration in Congress and could be amended during the legislative process. If approved, Argentina would add the two new corporate types to its company law and establish a legal framework for firms that make autonomous systems and AI agents central to their operations.
What Comes Next: Lawmakers will need to weigh the promised economic benefits against significant legal and regulatory challenges, including how to assign liability, enforce compliance, and prevent misuse of the new corporate forms.
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