The Government has finally called a meeting of the Minimum, Vital and Mobile Salary Council (SMVM) for July 18 at 2:30 p.m. The council, which was supposed to have been convened at the beginning of June, brings together representatives of employers and unions to determine the value of the SMVM and the unemployment benefit. If there is no agreement between the parties, the Government will make the final decision.
The SMVM has been increasing due to high inflation in Argentina, with a 50.2% increase in May while inflation was at 71.9%. This has resulted in a deterioration of 12.7% in purchasing power. The minimum wage is crucial for both registered and unregistered workers, as it sets a reference for wages in the country.
The Government has the option to skip setting a new value for June, which would also impact the calculation of the half bonus. The minimum wage has been below previous levels during the governments of Mauricio Macri and Alberto Fernández, and the current administration is working to address these disparities.
The Unemployment Benefit is also an important aspect of labor policy in Argentina, with the amount set at 75% of the worker’s best previous monthly remuneration. The benefit cannot be less than 50% of the current SMVM or more than 100% of the SMVM. The number of workers collecting this benefit has increased due to layoffs in