CGT to march as negotiations over minimum wage fall through

The labor federation said that unions are ‘worried and alert’ about the government’s lack of response to their demands

Argentine labor unions will march on Wednesday ahead of International Workers Day to demand fair salaries after negotiations with the government over the minimum wage fell through on Tuesday. The protest was called on by the country’s largest labor federation, the General Confederation of Labor (CGT, by its Spanish initials).

A CGT press release said that unions are “worried and alert about a national government that does not address demands, does not listen, nor talks.” They added that President Javier Milei’s administration is also “carrying out serious austerity measures whose costs are being paid by workers.”

The demonstration will begin at 3 p.m. at the corner of Independencia Avenue and Perú, where they will also offer a prayer in memory of Pope Francis. They will then march to the Canto al Trabajo (Ode to Labor) monument three blocks away, on Independencia Avenue and Paseo Colón. There they will carry out another homage for the late pontiff.

Minimum wage negotiations fail again

The Wage Council, a body made up of government, business chamber, and trade union representatives tasked with discussing updates to labor conditions and the minimum wage, failed once again to reach an agreement on Tuesday. The council has never managed to reach an agreement ever since Milei became president in December 2023. The lack of agreement means the government will decide the new minimum wage by decree.

Argentina’s current minimum wage is AR$271,571.2 (US$227 at the official rate) for an eight-hour per day and five-day per week job. According to the INDEC government statistics institute, the poverty line for a three-person household is AR$1,100,267 (US$921 at the official exchange rate). The last time the minimum wage was increased was in December of last year

Unions were demanding AR$644,165 (US$545) in April and AR$657,703 (US$557) in May, a 120% increase. Business entities were offering AR$301,500 (US$255) in April, AR$306,500 (US$259) in May, and AR$311,500 (US$264) in June, just a 1.3% increase.

During Tuesday’s meeting, the three Argentine workers’ federations — including CGT and the two branches of the Argentine Workers’ Central, CTA-A and CTA-T — reiterated their demand for a minimum living wage (SMVM, by its Spanish acronym) that exceeds the poverty line.

CTA-T head Claudio Marín said in a statement that the pay increase the government will apply will “surely match” what business chambers are offering. At the end of the meeting, CTA-A general secretary Hugo ‘Cachorro’ Godoy stated that their suggested minimum wage is AR$1,159,909 (US$983).

“We know that reaching that point is a process, and that’s why we’re proposing something consistent with what we’ve already been proposing, which has been systematically rejected by both the business and government sectors,” Godoy said. 

“We have reiterated our call for the Council to operate permanently and, among other things, establish a reference to meet the needs of constitutionally established rights in Argentina, which are being crushed by the miserable wages maintained by the government and employers,” he concluded.

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