The strongest unions put up a fight against inflation

the relative slowdown in inflation in relation to the worst values ​​of the middle of last year, the positive employment dynamics and the reopening of the parity allowed that in the last part of 2022, a part of the registered workers of the private sector achieved salary improvements in real terms. Several of the most important trade unions in the country recorded gains in purchasing power for the year, while others tied or lost a couple of points. A report from the Center for Economic and Social Studies Scalabrini Ortiz (CESO).

According to the entity headed by economist Andrés Asiain, “nine out of ten joint agreements achieved improvements in the real salary of their represented workers between September and December 2022″.

This situation contrasts with what happened in the previous months, during which “only 3 of the 10 monitored agreements beat inflation in the course of 2022.” However, “in the last four-month period of the year there was a joint renegotiation process thanks to which six of the agreements ended the year above the real salary they had in December 2021“.

The consultants calculate that on average the fall in real wages registered in 2022 ended up being moderate, on the order of 1 percent. In any case, the accumulated loss of purchasing power in the last five years is approximately 20 percent.

Much worse is the salary situation for the third of informal workers. According to the latest data available from INDEC, In October, the year-on-year rise in the wages of workers not recorded was 70.7 percent, well below the 88 percent inflation at that time.

The strongest

The CESO surveyed the progress of the salary negotiations in the unions of commerce, transport, truck drivers, banking, hotel and gastronomic employees, health, construction, food and metallurgical and teachers.

Despite inflation of 94.8 percent, a record in 32 years, six of these important unions achieved salary improvements in real terms. According to CESO, hotels and restaurants had an improvement of 125.7 percentwhich implies an increase in purchasing power of 15.9 percent, after the sharp deterioration that this sector had suffered in 2020 and 2021 due to the pandemic.

The short and medium distance drivers obtained increases of 116 percent, an improvement in real terms of 10.9 percent, while the trade employees received increases of 106.8 percent (+6.1 percent in real terms). The workers of the building improved their purchasing power by 2.6 percent, those of health They did so by 1.6 percent and the Guaranteed National Minimum Teacher Salary, 1.2 percent real year-on-year, according to CESO calculations.

Among the large unions that were below inflation are truckers (6.5 percent drop in purchasing power), food (-4.8 percent), banking (-3.2 percent) and metallurgical (-1 .7 percent). “In the case of food, banking and metallurgical, the upturn in purchasing power in recent months was not enough to compensate for what was lost in the first eight months,” the report indicates.

“In short, when analyzing the evolution throughout 2022 of the aforementioned unions, it is observed that the inflationary acceleration of June and July implied that by the month of August very few unions were located above inflation. The subsequent renegotiation improved the situation, although what was lost in those months was not recovered,” the paper maintains.

By 2023

Looking ahead to this year, “the key to improving purchasing power is that inflation continues to slow downsomething difficult to the extent that the Government begins to face the resistance of a deeply rooted inertial inflation,” says the CESO.

“The more inflation falls, the greater the improvement in purchasing power will be given the parities achieved so far,” warns Asiain. The latter is so because there are several unions, such as commerce employees, transport workers, teachers or banks that Either they already closed increases for the first months of the year or they are in the stage of negotiating salary increases according to past inflation.

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Varun Kumar

Varun Kumar is a freelance writer working on news website. He contributes to Our Blog and more. Wise also works in higher ed sustainability and previously in stream restoration. He loves running, trees and hanging out with her family.

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