Ariel Maciel warns that without reforms there will be no formal employment

Economic journalist Ariel Maciel warned of high tax pressure and the SME crisis in Argentina, stating that without structural changes there will be no incentives to hire formally. He criticized the lack of dialogue with the private sector and the unsustainable cost of labor hiring.

Ariel Maciel, in an analysis on Canal E, questioned whether lowering taxes is enough to revive the economy. "Not even to start", he said about the government's current measures, despite advances like labor reform.

He pointed to structural obstacles for SMEs, such as tax burden and labor costs. "For every two employees a company is paying a third", he explained, reducing competitiveness against imports and halting investments. The private sector reports projects on hold due to lack of clear signals.

Maciel criticized the government's priority of lowering inflation at any cost, including counting informal jobs as positive. He highlighted the gap between formal and informal firms, and the lack of dialogue: "when I asked who they were talking to, they said no one". SMEs generate 75% to 80% of registered employment.

While business owners value macroeconomic stability, it is not unconditional. Maciel called for tax reforms to improve hiring conditions.

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Chilean President Kast shakes hands with PDG leader during megarreforma tax dispute resolution, documents and protest shadows in background.
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Government clarifies SME tax dispute in megarreforma deal with PDG

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One week after initial PDG meetings on President José Antonio Kast's megarreforma, his government clarified that the new deal with the Partido de la Gente (PDG) to approve the Reconstrucción Nacional megaproyecto excludes the promised 12.5% SME tax rate—for a future bill—sparking brief backlash before resolution. Tensions persist with the Partido Nacional Libertario.

President José Antonio Kast's government presented its National Reconstruction Project to Congress, featuring about 40 measures to boost growth, including a corporate tax cut from 27% to 23% and tax reintegration. Ministers toured regions on Friday to defend the bill, as OTIC and IMF warn of labor and fiscal risks. A poll shows 54% believe Congress should approve it.

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Interior Minister Diego Santilli announced that the government will push a tax reform in Congress in coming months. The plan aims to deepen tax cuts and involve national, provincial, and municipal levels. He made the statements at the AmCham Summit 2026.

President Gustavo Petro defended his pension reform in response to Skandia CEO Santiago García, who warned about minimum wage hikes above inflation. Petro stressed that long-term sustainability relies on national wealth and productivity, not real wages. He highlighted that pensions must adjust to the vital basket.

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