The Government convened the Salary Council on February 15 so that businessmen and unions can agree on the first update of the minimum salary of Javier Milei's management. The General Confederation of Labor (CGT), which does not usually anticipate the request for an increase, said this Wednesday that the recomposition of the minimum income must be at least 85% to recover “some” of the purchasing power lost since December.
The position of the labor union is framed in the position it adopted since Milei signed the megadecree, which included in its labor chapter the reform of laws related to the field of work. The CGT's response was the call for a general strike, which took place on January 24, at the same time that the Executive sent the Omnibus Law project to Congress.
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This Tuesday, in the midst of a greater than expected pruning, the ruling party decided to reverse the initiative and return to a clean slate. The CGT celebrated and claimed part of what the opposition understood as a victory. However, in the labor union they say that “this is just beginning” and they fear that the Government will also double down and carry out the threat of sending a labor reform project to Congress, with a good chance of being approved.
In this context, the labor union is willing to face every labor issue that the Government touches on. Therefore, put pressure now on the Salary Council. After the general strike, which was joined by left-wing organizations, retirees, political parties, picketers and workers of the popular economy, the CGT was reached by the representativeness of issues that do not only concern workers' issues.
What the CGT said about the minimum wage
Through resolution 27, published this Wednesday in the Official Gazette, which bears the signature of the Minister of Human Capital, Sandra Pettovello, the Government set a date for the Salary Council.
The first call of the libertarian administration had been postponed twice, therefore, next week the salary increases from December will be negotiated.
Tweet from CGT (Photo: Captura de X/@cgtoficialok).
“The call to the Minimum Living and Mobile Wage Council is an area of dialogue with the aim of recovering some of the purchasing power of the most impoverished sectors. The devaluation, which is added to the brutal inflation accumulated December 2023/Feb 2024 (especially in basic food and health basket supplies) imposes an update of at least 85%,” the CGT warned in a text published in your X network account.
Since December, the minimum, vital and mobile wage for monthly workers is $156,000, while for daily workers the hourly value is at least $780. This monthly income represents about US$188, measured at the official price, or US$137, at the value of the blue dollar.
In the last month of 2023, a family made up of two adults and two children needed almost $500,000 to not be considered poor, that is, more than three minimum incomes. If the CGT request is met, the basic salary should rise to $288,600, about US$347.
But when the minimum wage is updated, it also impacts the assets of the beneficiaries of the Empower Work program, corresponding to half of that income for a labor compensation of four hours a day, today at $78,000. In addition, it serves as a parameter for the income of informal workers.
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It also has an impact on the initial teacher salary (which by law must be at least 20% above the minimum wage) and retirements, since its evolution determines the differential value of the basic retirement with the 82% mobile of those with more. of 30 years of contributions.
And it also influences the exclusion of Income Tax for workers who earn less than 15 minimum wages, which today stands at $2,340,000.