Wages rose 4.7% in January, but lost to inflation

Wages rose 4.7% in January, but lost to inflation

The wages showed an increase of 4.7% in January compared to last December, but lost against inflation, which reached 6% in that same month, as reported this Friday, March 31, by the National Institute of Statistics and Censuses (INDEC).

The monthly growth was due to increases of 4.6% in the registered private sector, 3.9% in the public sector and 6.7% in the unregistered private sectorthe only one that ended above the CPI for January.

In the last 12 months, the salaries of registered private workers increased 93.7%, those of public employees 101.3%, and those of “black” workers 72.2%, against year-on-year inflation of 98.8%, according to INDEC.

“If the real interannual variation of wages is considered, there is a rise in the case of the public sector (1.2%), a fall in the registered private sector (-2.6%) and a fall in the unregistered private sector (- 13.4%). The latter is the one that has lost purchasing power the most for years”commented the IARAF economist, Nadín Argañaraz.

Warned that “It’s a big challenge for wages to hold up in real terms this year, given that inflation got off to a very negative start.”


Meanwhile, this week, the government made official the increase in the Minimum Vital and Mobile Salary that will become $80,342 from April. The increases were set by resolution 5/2023, signed by the Minister of Labor, Raquel “Kelly” Olmos, which were published in the Official Gazette.

Meanwhile, according to the norm, as of next May 1, the minimum, vital and mobile salary will be 84,512 pesos and, from June 1, 87,987 pesos. On the other hand, the minimum and maximum amounts of the unemployment benefit were also increased, which will be from April 1 to 22,316.76 pesos and 37,194.60, respectively.

Likewise, from May they will be 23,475.07 pesos and 39,125.12, respectively and, finally, from June they will be 24,440.33 and 40,733.88, respectively.

The increases were agreed last week between the CGT and the business chambers, while the CTA led by Hugo Yasky abstained from the vote and its Autonomous counterpart (CTAA) led by Hugo Godoy rejected the proposal and announced a force measure for April .

On that occasion, the Ministry of Labor reported that the agreement was reached by a “broad majority,” since the body’s plenary approved the commission’s proposal with 30 positive votes, one abstention, and one negative vote for that increase.

The virtual meeting inaugurated the annual period of the Council between April of this year and March 2024 based on the values ​​in force as of last March, not cumulative.

Source: Ambito

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