The CTA – Autonomous Social Law Observatory published a report analyzing the economic and social situation at the end of last year, its coordinator, Luis Campos, highlighted the most relevant data on Twitter. The specialist explained that despite the economic growth in 2021 and 2022 that allowed a return to a GDP similar to 2015 (before the pandemic and the 2018 crisis), the percentage of the population below the poverty line is much higher than in that then due to the fall in the income of the great majorities.

Registered employees, detailed Campos, ended the last year with salaries 2.8% lower than those of 2021 and in the same period retirement assets decreased by 4.7%; showing that the downward trend in revenue is not reversing. Between 2015 and 2022 formal workers (measured by the RIPTE) accumulate a loss of 23.2% (always taking inflation into account), while economic activity (EMAE) grew 1%.

In addition, the CTA economist added that “The wage decline affected unregistered wage earners more intensely than, compared to December 2019, they lost 15.6%. This means that despite a drop in unemployment, there is an increase in poverty and indigence”. Those who cannot cover their basic needs (taking the baskets made by INDEC as a parameter) went from being 28.6% of the population in 2017 to 36.5% in 2022 and those who could not even access a minimum diet from 6.2% to 8.8%.

Campos also highlighted that the State has an important direct influence on the drop in income when affirming that: “The Minimum, Vital and Mobile Wage lost against inflation in six of the last seven years. In December 2022 it was 8.3% below December 2019 and 30.5% below December 2015.” and add: “Retirement assets in 2022 were 9.3% lower than in 2019 and 27.4% lower than in 2015. Those who charge the minimum were compensated with discretionary bonuses that have to be more and more high to match inflation.”

The Government, by honoring the fraudulent external debt and signing a new agreement with the International Monetary Fund, promised to make a strong adjustment, making pensions, public salaries and social programs fall. In addition, high inflation, which eats away at purchasing power, and the few foreign currency reserves, which could push a devaluation (which would accelerate price rises) will cause a further deterioration in the living conditions of the working class. The Frente de Todos government took office with the promise of ending Macri’s adjustment and recovering what was lost, but the situation worsened and the prospects for deterioration are even greater.

The union leaderships such as the CGT and the CTA would have to be at the forefront of a plan of struggle to recover the purchasing power lost during the macrismo and the government of the Frente de Todos. For the demands of workers and workers, of the popular sectors, for the unity of employed and unemployed workers to fight for genuine work, wages and pensions that cover basic needs.


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