CGT union protesters marching against labor reform outside Argentine Congress, with government minister denying retroactivity in inset.
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Argentina Labor Reform: Government denies retroactivity amid CGT backlash and opposition alternative

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Following the delay in submitting the bill, the Argentine government insists its labor reform will not affect acquired rights, countering CGT's accusations of deception over Minister Sturzenegger's remarks. Kirchnerists advance a rival proposal in the Senate as unions plan a December 18 march.

In the latest developments on Javier Milei's labor reform—previously delayed due to the president's travel and CGT negotiations—the government reaffirmed that modifications to 57 articles of the Employment Contract Law and elimination of nine will not be retroactive, preserving 'acquired rights.' This responds to CGT co-leader Cristian Jerónimo's claim that Sturzenegger's statement on applying changes to 'all labor relations' (including a new Labor Assistance Fund) was a 'Freudian slip,' exposing broader scope despite earlier assurances for future contracts only.

The CGT deems the reform 'regressive,' stripping rights without job creation—citing 276,624 jobs lost and 19,164 employer closures since November 2023 per CEPA and SRT data, post-Bases Law changes. They have called a march to Plaza de Mayo on December 18, supported by ATE, CTA, and UOM, but not a general strike.

Opposition kirchnerists in the Senate, led by Mariano Recalde and Vanesa Siley, are preparing an alternative with 'structural changes': minimum wage above the basic basket, uncapped bargaining, cash-only pay, 42-hour workweek, digital disconnection, labor health committees, and 90-day parental leaves. They argue the official plan worsens precariousness amid economic policy failures.

The bill has now entered the Senate via extraordinary sessions through year-end, where its fate hangs amid tensions. Economist Daniel Artana of FIEL cautioned that without modernization, Argentina's stagnant productivity will hinder job growth.

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Discussions on X highlight CGT's backlash against Minister Sturzenegger's comments suggesting retroactivity in the labor reform, labeled a 'sincericidio,' prompting government clarification that acquired rights are protected. Unions plan a December 18 march, while users express skepticism on legality, predict reform failure, criticize unions as mafia, and call for broader resistance. Kirchnerist alternative receives little mention.

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News illustration depicting Argentina's Labor Secretary announcing reforms at a press conference, contrasted with union protesters marching against the changes.
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Argentina Labor Reform: Government reveals specifics on changes amid union strike plans

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Building on assurances that changes won't affect acquired rights, Argentina's government detailed its labor reform adjustments to vacations, salaries, overtime, and indemnities. Secretary Maximiliano Fariña called it an update to an outdated law. Unions, including CGT and ATE, are escalating with a December 18 march and strike.

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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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.

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.

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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Chile's Finance Ministry has summoned opposition advisors for a Monday virtual meeting to explain the public sector adjustment bill's controversial 'tying' clause, following initial backlash from president-elect José Antonio Kast's team. The session aims to smooth congressional processing from January 5, while the presidential office orders political appointees to take pending vacations before March's government handover.

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