Business
Thousands Rally Against Milei’s Controversial Labor Reforms
Thousands of Argentines took to the streets on October 12, 2023, to protest President Javier Milei’s proposed labor reforms, which aim to significantly alter the country’s labor laws. Organized by the General Confederation of Labor (CGT), the demonstrations reflect widespread concerns that the reforms would undermine workers’ rights, particularly regarding the right to strike and job security.
The reforms include provisions that would make it cheaper for employers to terminate workers and allow for extended workdays of up to 12 hours. Additionally, the proposed changes would reduce severance pay and lessen employers’ contributions to social security. The reforms are being reviewed by a Senate committee that convened on October 11, 2023, marking a pivotal moment in Milei’s agenda to liberalize Argentina’s economy.
Milei, a self-described libertarian, argues that the existing labor laws are excessively stringent and deter businesses from hiring formally. Currently, approximately 40 percent of Argentine workers are employed in the informal sector. In a recent television interview, he stated, “We are not going to take away anyone’s rights,” asserting that the reforms would facilitate greater formal employment opportunities for Argentines.
Flexibility and Consent
Under the proposed legislation, employers would be required to obtain consent from workers before implementing more flexible working conditions. This could include compensating employees partially with non-monetary forms such as food vouchers. Nonetheless, the CGT and opposition parties express concerns that these measures will leave workers vulnerable and pressure them into accepting unfavorable conditions to retain their jobs.
Julio Barroso, a 51-year-old chemical plant worker and union representative, voiced his apprehensions during the demonstration outside the presidential palace in Buenos Aires. He stated, “The reform is about pitting one worker against another,” highlighting fears that the changes could exacerbate competition among workers rather than improve conditions.
The push for these reforms follows Milei’s party’s success in the October midterm elections, where a mandate for economic change was clearly communicated by the electorate. While the government contends that the current labor framework hinders job creation, union leaders argue that the proposed changes would dismantle hard-won labor rights and protections.
As the Senate deliberates on this contentious bill, the protests underscore the deep divisions in Argentine society regarding labor rights and economic reform. The outcome of these proposed changes could significantly shape the future of the Argentine workforce and the balance between employer demands and worker protections.
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