Argentina's President Javier Millay announced plans to cut government jobs by 70,000 in order to cut government spending and bring the national deficit to zero. The cuts are part of his broader strategy to achieve fiscal balance at all costs.
Millais announced the layoffs during a press conference. Closing speech at the International Economic Forum of the Americas held in Buenos Aires this week.
that's all 50,000 Argentina approx. 3.5 million Civil servants have already been laid off, but further cuts are planned.according to statement According to the presidential palace, the remaining 70,000 new layoffs will be phased in, with at least 20 percent (14,000 jobs) expected to be cut by the end of March. The remaining timeline will be announced in April.
The move sparked a huge backlash, especially from Argentina's powerful trade unions. The Association of State Employees (ATE), one of the unions representing public servants, claimed At least 10,000 state employees had already been laid off as of Thursday. ATE leader Rodolfo Aguiar called The company called the dismissal “unlawful” and “unfair,” and demanded that it be dismissed. national strike April 3.
In addition to job cuts, Millais announced plans to cancel public works projects. “I'm really proud of this because public works projects are a huge source of corruption and theft that I think all good people should oppose.”he said so too reduce funds Withdraw demands from local governments and abolish more than 200,000 “informal” social welfare programs.
Millay described his approach as a combination of a “chainsaw” and a “mixer,” arguing that both are needed to rapidly transform the economy. Argentina's inflation rate has reached a 30-year high of more than 250 percent, and an estimated 57 percent of the country lives in poverty. To end the economic crisis, Millay cut state subsidies, cut the number of government ministries in half, closed state institutions, and devalued the peso by 50 percent.
president predict There will be short-term difficulties until the economy recovers in a “V-shaped” manner and the situation improves. “There's a lot of talk that this is not sustainable. We did what we had to do, and that means courage that others don't have,” he said.
Millais's economic policies are showing early signs of success. In his speech he highlighted How peso futures align with the central bank's gradual adjustment strategy and whether the central bank is moving towards net neutral reserves.
Millais vowed to pursue reforms “regardless of politics.”He is a recent member of the Senate rejection His bill was an opportunity to expose corrupt politicians who “don't want to give up their jobs and want to maintain their privileges.” Looking to his future, the Argentine president said: schedule A further 3,000 reforms will be introduced after the 2025 parliamentary elections.
