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Registered work: how many jobs were lost after the change of government - Infobae​


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April 29, 2024

The data arises after comparing the official records for January with those for December of last year. The main falls were observed in public, private and private employment, but also in the category of social monotributistas.

By Sandra Crucianelli


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The situation and evolution of registered work is going through a crisis with an uncertain ending. Last January, a sharp drop was recorded in the number of employees comparing the data with last December, which allows us to analyze the immediate period after the presidential transition, with recently published data from the Ministry of Labor, which depends on the Ministry of Human Capital.


The monthly variations in the public, private and private household sectors are among the worst since 2012, the year in which the government began to release this data on a monthly basis.


If the three aforementioned items and the social monotributists are added, in January there were 80,856 fewer registered workers compared to December .

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In Argentina, the loss of jobs has been an unintended consequence of different factors. The combination of high inflation and economic contraction exacerbated problems in the labor market, especially after the start of the pandemic. In February 2024, the Industrial Manufacturing Production Index showed a drop of 9.9% compared to the same month in 2023. And the accumulated index for the first two months of 2024 showed a decrease of 11% compared to the same period in 2023, according to data from the INDEC


Over different periods, this sector as well as commerce have recorded significant drops in job creation. Added to this is the fact that labor informality remains high , which further complicates the situation of those who do not have formal employment, since they encounter serious difficulties in re-entering the labor market under regular conditions. And although in recent years this situation has been addressed with employment assistance and promotion programs, the impact and effectiveness of these policies have not shown significant progress in terms of the creation of new quality jobs.


According to official information, in the first month of this year, there were 10,250,141 people with registered salaried employment (including the private sector, the public sector and work in private homes). Added to these are 3,103,132 self-employed workers (monotributistas and self-employed).

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Last January, those who had a registered job totaled 13,353,273 people, including all areas.

What happened in each sector​

Registered private sector employees in January fell 0.5% (30,455 workers). It is the fourth largest drop since 2012.

In December 2023, there will be 6,364,290 people with salaried employment in the private sector. In relation to December, the drop in last January involves 30,455 people, who in one way or another are no longer working registered in a private company.

When analyzing the monthly series over the last decade, positive monthly variations are observed between August 2020 and August 2023, when the decline in employment begins last September. Between that date and January of this year, 57,916 jobs were lost in the private sector. According to the Ministry of Labor, initially the falls were between -0.1% and -0.2%; However, in January 2024 the variation in employment reached 0.5%, intensifying the process of job destruction.

A good part of these declines could be explained by the labor crisis facing the construction sector, although it is obviously not the only sector affected.


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In the public sector the drop was much greater , it fell by 1%, affecting 35,946 workers. It is the third largest drop since 2012. And in this case the drop in employment is influenced by the measures that the government took as part of the reduction of the State.

This item includes different agencies and organizations of the national, provincial, municipal public administration, autonomous and decentralized entities, state companies and companies with majority state participation

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The recent layoff processes affected everything from the National Public Administration to different levels of public employment in all jurisdictions. The repercussions of these measures, among others such as the labor reform, the Base Law and Decree 70/23, have been generating strong discrepancies between the government, the affected workers and the unions, with protests and even general strikes, such as the one It took place on January 24, promoted by the CGT, to which is added the one scheduled for May 9.

Regarding the variation in employment registered in private homes, it seems that this situation, which showed several drops since the pandemic, did not exceed that floor, which continues to decline. In March 2020, there were 498,840 registered jobs in households. Last January it was 459,671, that is, almost 40 thousand less. To the point that today we have the same number of employees as in December 2016.

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The drop in the last year alone was 2% and affected 9,106 people. With the data as of January, it is the fifth largest inter-monthly drop since 2012

As for those who are independent and are under the Social Monotax regime, in January there were 12,049 fewer registered than the previous month. The decrease was almost 2%

Only two items increased between December and January. On the one hand, the Self-Employed: from 369,825 to 404,998; that is, an increase of 9.5% (35,173 new registered). However, the current number of self-employed workers is barely similar to what there was in January 2012 (407,868). Finally, independent monotributistas, who went from 2,043,019 in December to 2,078,014 last January: increased almost 2% (34,995 new registered)

Evolution of private employment by province​


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At the regional level, when comparing the data from last January with those from last December, it appears that in only 5 of the 24 jurisdictions did registered private salaried employment register a slight increase, which in no case reaches 1%, while in 19 provinces was reduced.


The worst fall was that of Formosa, with almost -3% and followed by Santiago del Estero (-2.5%) and Tierra del Fuego (-1.8%).

In the year-on-year comparison by province, Argentina experienced mixed changes in employment levels, revealing both increases and decreases in the number of jobs available. Specifically, twelve provinces have seen growth in employment, while another twelve have seen a decline. The provinces that lead the increase are Neuquén with 6.9%, followed by Catamarca with 5.6% and Salta with 4.8%. In addition, La Pampa, CABA and Mendoza also reported increases, with values between 1.6% and 1.1%.

This employment outlook in Argentina sheds some light on regional disparities in post-pandemic economic recovery and job creation. The variation between the provinces that have demonstrated better relative performance and those that have seen their employment levels reduce, signals an uneven economic recovery.

Data visualization: Daniela Czibener

Loading and Checking: Desiré Santander
 

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