He government of Javier Milei established new measures in order to limit the entry of new personnel into the public sector. The determinations that limit discharges were published in the Official Gazette through the decrees 1148/24 and 1149/24.
From the ruling party they stated that the measures are intended intensify the reduction of public spending and foster competition in state work. The decisions were made in the midst of a fiscal adjustment that has already led to the dismissal of more than 35,000 state employees.
The Government advances with the adjustment in the public sector
The Minister of Deregulation and Transformation of the State, Federico Sturzenegger, was in charge of announcing the determination. Among other things, he highlighted the complementation of the thousands of layoffs with the new restrictions for future hiring.
Thus, the decree 1149/24 establishes that as of March 1, 2025, those who aspire to enter the public sector must pass a General Assessment of Knowledge and Skillswhich was previously implemented for existing employees.
Besides, The exam will be mandatory for those companies that have a state majority in their actions, in order to amplify controls.
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Decree 1149/24 published today with the signature of the president @JMilei stipulates that, once the evaluation period concludes on March 1, registrations in the public sector will not be possible without passing the suitability exam, which must also be instituted in companies with a state majority.
— Fede Sturzenegger (@fedesturze) December 31, 2024
On the other hand, any registration in the sector belonging to or linked to the State must be supported by the dismissal of three employeesas stipulated in the decree 1148/24.
The provision impacts all jurisdictions and entities included in the Law 25,164 on the Regulatory Framework National Public Employment. It also affects temporary contracts and professional services regulated by the decrees. 1421/02 and 1109/17.
The regulations also explain that the hirings carried out during 2025 They cannot be extended beyond June 30except for limited exceptions.
Federico Sturzenegger confirmed that around 36,000 public employees lost their jobs in the Milei era
The Minister of Deregulation and Transformation of the State, Federico Sturzeneggershared updated data on the reduction of public employment carried out by Javier Milei’s administration since he took office last December and showed that almost 36,000 state workers were laid off.
The national official announced through his X account that, between December 2023 and last November, some 35,936 public employees lost their jobs in the State, as part of the public spending cut policy that the government implemented in its first year.
The total number of public personnel laid off is made up of reductions in the centralized and decentralized Administration (21,408), State Companies (11,951) and Military and Security Personnel (2,577).
Sturzenegger celebrated the adjustment in the State, pointing out that “Let us always remember that less public spending means less taxes and therefore more spending capacity for the private sector“, and he stressed that “in other words it is returning the money to its true owners. VLLC!”
Source: Ambito