Milei government promotes 1 million peso wage benchmark — Buenos Aires Times
The government of Argentine President Javier Milei, ahead of a new meeting of the Minimum Wage Council, is promoting the idea of setting a monthly wage benchmark of 1 million pesos, or about US$660, in collective labor negotiations. The initiative aims to support workers’ purchasing power, Buenos Aires Times reports.
Benchmark for collective agreements
Argentina’s current statutory minimum wage is 376,600 pesos, significantly lower than most of the amounts included in collective agreements. The Milei administration views negotiations between workers and employers as a mechanism for raising incomes instead of substantially revising the statutory minimum.
According to the publication, Argentina’s Labor Department is reportedly pushing for a guaranteed gross wage threshold of 1.07 million pesos, which would correspond to a net wage of 860,000 pesos. The government believes that higher wages through private-sector agreements could stimulate consumption and slow inflation without additional budget spending.
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Trade union reaction
Jorge Sola, one of the three general secretaries of Argentina’s General Confederation of Labour, reacted skeptically to reports of a possible initiative. “This looks more like a government operation,” he said.
Sola said collective bargaining should be a free agreement between workers and employers, without being tied to reducing inflation. According to him, such an approach leads to a loss of purchasing power, lower consumption and growing household debt.
Consulting firm Empiria estimated that real wages in June were 4.1% lower than in mid-2025 and 10.9% lower compared with the first three quarters of 2023.
