A key union in Argentina reached an agreement on Thursday three-month collective bargaining agreement. This is the Argentine Federation of Commerce and Services Employees, which in a meeting with the business chambers agreed on the increases that will be reflected in the salaries of June, July and August. The new updates will bring the sector’s minimum wage to $858,200.
In addition to FAECYS, the Argentine Chamber of Commerce (CAC), the Confederation of Small and Medium Enterprises (CAME) and the Union of Commercial Entities (Udeca) participated in the meeting.
The agreed increase is made up of an increase in 5% for June, 4.5% for July and 4% for August. With presenteeism, it will bring the minimum salary to $858,200, with presenteeism.
Armando Cavalieri, general secretary of FAECYS, declared after the increases were agreed: “It is essential to maintain constant monitoring of the economic and employment situation to guarantee that salary adjustments remain effective and are not surpassed by inflation.”
He also referred to one of the problems that is affecting the sector the most: the economic recession: “We are concerned about the increase in unemployment that is beginning to be reflected in some indicators.” The trade union of employees is one of the most important in the country, as it has the largest list of workers in the private sector, with more than 1.3 million employees represented.
The Ministry of Commerce had already reached a quarterly wage agreement last April, with an impact between March and May. It was for a fixed sum of 40 thousand pesos for the initial month of the tranche, 8% for April and 7% for May.
Previously, the company had reached an agreement for a non-remunerative increase in basic salaries of 17.6% from February 2024, plus a remunerative increase of 11%. The negotiation was valid from February 1, 2024 to March 31, 2024.
In the first month of the year, at the height of the inflationary peak, they had agreed to a retroactive rate for December: it reached 11% and was added to the 13.3% agreed in the previous joint closing. In addition, it incorporated an additional 20% increase for January.
Two weeks ago, the Government assured that in April formal salaries beat inflation, with an improvement of 3.9% with respect to the price index.
