Argentine Congress scene with President Milei presenting labor reform bill amid CGT union leaders and poll results display.
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Government pushes moderate labor reform amid union debate

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Javier Milei's government advances a moderate labor reform project, discussed in the Mayo Council and open to changes for Senate approval before year-end. The CGT delayed its decisions until Tuesday's official presentation and prepares an alternative proposal to promote youth employment. A poll shows 61% of the population supports a labor reform, though only 43% backs the official version.

Argentina's government, led by Javier Milei, is pushing a labor reform to modernize existing laws, adapting them to the current reality where 40% of the economically active population works informally. Deputy Sabrina Ajmechet from La Libertad Avanza highlighted that the project was developed in the Mayo Council with input from government, opposition, businesses, and unions, and there will be room for improvements in Congress, similar to the Bases Law process.

Officialist legislator Patricia Bullrich described the initiative as 'fair and moderate,' far from extreme flexibilization, emphasizing it creates certainty for workers and employers through new institutes like a fund for labor dispute contingencies. The goal is Senate approval before December, through dialogues with PRO, UCR, and non-Kirchnerist Peronist sectors. Bullrich stated: 'Until now we always went from one extreme to the other, and now we will modernize and balance'.

Meanwhile, Facundo Moyano, head of the tolls union, acknowledged the discussion was inevitable and 'it's good that it arrives,' though he defended that 'not everything old is bad.' The CGT expressed a 'bad impression' of the viralized project by Deputy Romina Diez, but bets on a debate overdue for 20 years. The labor federation will wait for Tuesday's official presentation to convene its Directivo Council and advances an alternative plan to promote first youth employment.

A national poll shows 61% support a labor reform in general, but backing drops to 43% for Milei's proposal. Unions' image hits historic lows, while cooperatives and mutuals gain positive reputation. This context reflects tensions between modernization and labor protection, with the government criticizing 'preventive' strikes by unions like ATE.

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On X, discussions focus on the CGT's expectation of a 'light' labor reform approval by Milei while prioritizing defense of collective bargaining rights. Polls shared indicate 61% general support for labor reform but only 43-49% endorsement of the government's version, with stronger backing among young men. Union leaders like Hugo Yasky denounce the reform as a failed flexibilization increasing inequality. Journalists highlight disruptive changes to union structures and mixed public reception.

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Crowds protest labor reform in Plaza de Mayo as Argentine Senate delays Milei's bill debate amid CGT marches.
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Argentine Senate postpones labor reform debate to February amid CGT protests

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Following earlier delays in submitting Javier Milei's government's Labor Modernization bill to Congress, the officialism in the Argentine Senate secured a committee report but postponed plenary debate to February 10, 2026, to incorporate opposition and CGT-proposed changes, coinciding with a massive anti-reform march in Plaza de Mayo.

The Argentine government delayed sending the labor reform bill to Congress due to President Javier Milei's absence and last-minute negotiations with the CGT. The initiative might be discussed in committees next week, but approval before year's end is unlikely. The labor union rejects the draft and is pushing for changes to sensitive points.

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The new CGT leadership, headed by a triumvirate, begins a week of internal meetings to define its position on the labor reform project pushed by Javier Milei's Government. Leaders like Octavio Argüello harshly criticized the initiative, calling it a flexibilization that attacks workers' rights. The Government defended the project, assuring it will not remove rights.

A trade union front, including ATE, UOM and other unions, announced marches on February 5 in Córdoba and February 10 in Rosario to reject the Government's labor reform. Though without the organic support of the CGT, the groups aim to pressure provincial governors and warn of future strikes in Congress. Rodolfo Aguiar of ATE stated that 'the Government has to start worrying'.

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Chief of Staff Manuel Adorni led the year's first officialist political table meeting to devise a strategy ensuring the labor reform's approval in Congress. Interior Minister Diego Santilli will start a tour of key provinces like Salta, Neuquén, and Entre Ríos to negotiate compensations amid unrest over Income Tax changes. This effort aims to address governors' concerns who are conditioning support on fiscal adjustments.

Building on the Senate committee's recent dictamen approval excluding a controversial Deputies-rejected chapter, Patricia Bullrich is urgently mending ties with PRO, UCR, and governors upset over exclusive deals, ahead of the December 26 session on the 2026 Budget and Fiscal Innocence Law.

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Gabriel Boric's government included provisions in the public sector readjustment bill restricting civil servant dismissals, drawing criticism from president-elect José Antonio Kast's team, who call them a breach of trust. Arturo Squella, Republican Party president, warned that these measures undermine relations between administrations. The executive defends them as formalizing existing rules.

 

 

 

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