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More formal employment equals more poverty

More formal employment equals more poverty

The specialist in work and employment, Juan Pablo Chiesa analyzes that not having a job and having a formal job, you are in poverty.

Photo: Telam

Raise the private employment, that is, moving from unemployment to employment, is to continue being poor. In our country, not having a formal job (unemployed) or being in a situation of clandestine employment (working illegally) there is no doubt that you are located in the pit of poverty.

Now, having formal employment (working blankly) is also immersed in the poverty line. Why do I say this? Let’s think that, the unions that have the highest basic agreement in the country, have their basic agreement of $950,000 and up to $1,000,000. For example: banking, insurance, pastry chefs, oil workers and loading and unloading workers among others. But they are unions that include a small number of employees.

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Among the unions I mentioned you reach a million workers, while you have 6 million formal private ones. The mother union, commerce, covers more than 1.5 million workers, gastronomic workers in second place take the worst basic agreement that does not reach 600 thousand pesos.

You realize, in Argentina not having a job or having a black job, you are poor, now, logic and reason indicates that, if a human being gets a formal job, gets out of poverty and lives well, this equation does not happen in Argentina because if you have a job in white you are still poor. The reasoning is crazy, but it is a reality that no one wants to see. Increasing private employment rates means increasing poverty, which today is around half of the Argentine population.

There is a solution

It is simple and clear, updating labor law, the labor market and being at the forefront of what the world demands, a reform that takes the Argentine labor market to the 4th industrial revolution, the technological era.

But let’s make something clear, that no one says, a labor reform will NOT make employment grow, not at all, a labor reform will modernize labor relations and work will adopt forms that make litigation and the contractual relationship more productive and not so conflictive, but for employment to grow in our country and this is not an index that increases poverty, a tax reform is required to be carried out, removing the heavy foot from the head of the only ones that generate employment in Argentina: employers (SMEs, monotributistas and self-employed).

Source: Ambito

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