The Chamber of Deputies of the Argentine Nation approved the labor reform project promoted by the Executive Branch with 135 votes in favor and 115 against, with no abstentions, after an intense debate that lasted several hours and was surrounded by union protests in the vicinity of Congress. The initiative, promoted by the government of Javier Mileiwas modified in the last section and is already in the Senate for its final sanctionwhich keeps the controversy open in the Legislature.
The vote in Deputies had the support not only of the ruling blocs, but also of a significant part of provincial legislators of Peronist extraction and of governors, whose representatives in the Chamber contributed to the ruling party achieving the Minimum quorum and necessary majority to promote the project. Trade union sources denounced that the provincial leaders “betrayed” the interests of their voters by supporting the reform, and criticized the decision as an act of political surrender in the face of pressure from the national government.
There were 24 votes attributed to the provincial governors who made them available to approve the law in the lower house. Four legislators linked to Governor Passalacqua of Misiones, three deputies from Salta from the Saenz sector, two parliamentarians from Mendoza from Cornejo, three representatives from Entre Ríos from Frigerio, two deputies from Tucuman Peronism from Jaldo, a pair of legislators from San Juan from Orrego, two representatives from Cordoba from Llaryora, a Chaco duo for Zdero, one from Valdez for Corrientes, another for Neuquén responding to Figueroa, a Santa Cruz deputy from Vidal, a Santa Fe from Pullaro. A curious fact is that the sector related to Catamarca governor Raul Jalil did not support the initiative.
The blocks that voted in favor included the ruling party of Freedom Advancesas well as political allies such as PRO, Radical Civic Union (UCR), Integration and Development Movement (MID) and Federal Innovationamong others. The strongest opposition came from the coalition Union for the Homeland and the socialist left who denounced that the reform makes employment precarious, diminishes rights and favors the deregulation of the labor market to the detriment of workers. However, the legislative treatment was marked by the elimination of one of the most debated articles—the Article 44which proposed a substantial reduction in salary during medical leaves—after strong criticism from unions, opposition sectors, and broad sectors of society. Its exclusion forced the text to return to the Senate.
The labor reform proposes structural changes in current labor legislation—modifying key aspects of the Employment Contract Law— which include the possibility of extending the daily work day up to 12 hoursreduce employer burdens, promote new forms of compensation and establish hour banksamong other points. For defenders of the project, these measures modernize the labor market and stimulate investment and the creation of formal employment. However, unions and opposition sectors have indicated that the reform limits the right to strikeby proposing minimum service mechanisms during strikes in sectors considered essential, and weakens collective bargainingby favoring agreements directly between employers and workers over sectoral collective regimes.
On Thursday, in the middle of the parliamentary discussion, the General Confederation of Labor (CGT)along with the Autonomous CTA and the Workers CTAcalled for a 24 hour general strike that paralyzed a large part of the country, failing in its objective of stopping legal progress, but expressing union rejection of the reformist project. Union sectors denounced that the legislative measure violates historical rights such as the eight-hour work day, payment of overtime, stability and basic social protection.
Union leaders anticipated that opposition to the reform will not end the parliamentary debate: the CGT is already preparing resources unconstitutionality that could reach the Supreme Court of Justice, arguing that the law violates constitutional rights and international labor treaties. Meanwhile, the Government announces that it expects the ratification in the Senate in the coming daysbefore the opening of the ordinary sessions, to consolidate the reform as law. The outcome of this process could mark a milestone in the relationship between the labor market and the labor movement, with economic and social repercussions that remain to be seen in the facts.
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