UTA collective strike: companies warn of risks of “disappearance” and ask for help to pay salaries

UTA collective strike: companies warn of risks of “disappearance” and ask for help to pay salaries

The fulfillment of the latest salary agreement signed with bus drivers is in danger. The transport companies they warned that they do not have the necessary resources to pay January salaries and asked the government of Javier Milei urgent assistance to avoid what they qualify as a possible service collapse in it Buenos Aires Metropolitan Area (AMBA).

This situation is not new: for months, companies have been demanding adjustments in the cost structure and appropriate subsidies to face salary increases. Even when the last salary adjustment was signed, the agreement was conditional on Government commitment to update the funds allocated to the sector.

Last October, after the announcement of a bus strike called by the Automotive Tram Union (UTA), companies They accepted a salary increase that brought the basic salary to $1,200,000 for January 2025. However, they made it clear that the payment would be subject to the approval of a new cost structure by the Ministry of Economy and the Ministry of Transportation.

“The pre-existing facts and customs and the words of the authorities themselves that encouraged the need to agree, acted in such a way as to consider the updating of salary and non-salary costs absolutely feasible starting in November 2024,” the companies expressed in a letter sent to the sSecretary of Transportation, Franco Mogetta, in which they request an urgent meeting.

For their part, the authorities of the Argentine Association of Transport Businessmen (AAETA), along with other chambers in the sector, pointed out that a situation had never before been reached in which an approved salary agreement was not accompanied by the necessary adjustments in operating costs.

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Transport companies fear the “disappearance” of services.

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Warnings from the business sector

In his request for a hearing, The companies also reported an error in Resolution ST 34/2024which incorrectly calculated the income from the system UP. According to them, this mistake generated a drop of $34 billion in collection, seriously affecting the sector.

Furthermore, they pointed out that the tariff compensations destined for December 2024 decreased significantlypassing from $163 billion to $126 billion of pesos. This occurred in a key month in which, in addition to salaries, companies had to pay bonuses.

Faced with this panorama, the businessmen insisted that it is essential to adjust the ticket price. Although it is expected that from March the minimum rate increases by 10%reaching $408.24, this value would be insufficient to guarantee the operation of the system. According to the companies, the fare should be at least double to cover actual costs.

The position of the workers

From the UTA, the workers remain attentive to the situation and They do not rule out taking forceful measures if delays occur in the settlement of salaries: “We are faced with a salary agreement that has been signed and approved, therefore must be fulfilled”.

“Just like In circumstances of extraordinary business profits, the workers are outsiders“The same thing happens in circumstances of liquidity difficulties,” they expressed from the union, reaffirming that the payment of salaries is an unavoidable commitment.

Furthermore, they warned that The current situation is unsustainable: “It is impossible to manage a company in such circumstances. Mr. Secretary, what do you intend to do with the AMBA’s automotive passenger transportation?” they questioned in their letter to the Governmentdemanding an immediate response.

In the midst of this crisis, the Ministry of Economy seems to prioritize maintaining the inflation control and avoid fiscal imbalances, which makes it difficult to grant more subsidies or authorize significant increases in rates. Meanwhile, both employers and workers expect a solution that guarantees the continuity of the service and avoids the “disappearance” of the public transport system in the AMBA.

Source: Ambito

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