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Economy The UCA revealed that the number of workers in poor households tripled in the last decade Infobae

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The UCA revealed that the number of workers in poor households tripled in the last decade - Infobae​

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April 08, 2024


The Argentine Social Debt Observatory of the Argentine Catholic University (ODSA-UCA) released the report “Informality and poor workers (2023)”

By Martin Kanenguiser

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The UCA revealed that the number of poor workers tripled in the last decade (AP Photo/Natacha Pisarenko)

Workers living in poor homes tripled between 2012 and 2023, a phenomenon that most severely attacked people with a lower level of education.


The report was released after the controversial statements of LLA national representative Bertie Benegas Lynch about freedom and education. “Freedom is that if you don't want to send your child to school because you need it in the workshop, you can do it,” in a phrase that provoked the reaction of the Government, which differentiated itself through Minister Sandra Pettovello and spokesperson Manuel Adorni.


The Argentine Social Debt Observatory of the Argentine Catholic University (ODSA-UCA), directed by Agustín Salvia, released the report Informality and poor workers (2023) , which indicates that the lack of resources is focused above all on the young people and in adults, more than in older adults.


The report's conclusions coincide with the period of the last decade in which the economy stopped growing robustly and continuously, while the creation of quality jobs recorded in the private sector stagnated. In parallel, there was a sustained increase in inflation - as fiscal indicators deteriorated - and in public spending with more social plans (which did not lead to an improvement in social indicators, quite the opposite) .


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Poor workers UCA

According to the study by the team led by Eduardo Donza , “in the period 2012-2023, despite ephemeral years of prosperity, an increase in the percentage of employed people living in poverty is observed,” after the drop recorded in the period after the economic crisis 2001-2004.


Due to this decline, which takes as its starting point the second presidential term of Cristina Kirchner and the end of Alberto Fernández, the number of poor people with a job reached 32.5%, compared to the 11.5% registered in 2012.

Thus, in 2023, “17.8% of public sector workers and 19.7% of formal private sector employees were in this situation.”

“For the same year, the incidence of poverty is lower among self-employed workers in the formal private sector, 4.9%,” he noted.

"On the contrary, it increases markedly as the quality and productivity of the establishment in which they work decreases, 37.5% of employees in the micro-informal sector, 44.2% of self-employed workers in the micro-informal sector and 78 % of the recipients of the employment programs were in poverty,” he clarified. The micro-informal private sector is one that has work activities characterized by low productivity, high worker turnover and little participation in the formal or structured market; In operational terms, they are occupations in small establishments, domestic service or independent non-professionals.

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Poor workers UCA
Regarding this point, he indicated that "in 2023, 33.1% of employed women and 31.9% of employed men resided in households in poverty."

“Specified by sector and employment condition, it is observed that in the public sector, in the formal salaried sector and in the formal non-salaried sector, women suffer a lower level of incidence of poverty than men,” he noted.

“This relationship is reversed in the salaried micro-informal sector and the difference in those employed in the non-salaried micro-informal sector and in the recipients of employment programs almost disappears,” he clarified.

"With respect to age, in the same year, 33.7% of employed young people, 33.8% of employed adults and 21.5% of employed older adults were affected by poverty," he detailed. .



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Poor workers UCA
“The incidence of poverty according to age is relatively similar when specifying those employed according to sector and employment status, except among older adults who are recipients of employment programs in whom a tendency is observed to be entirely in a situation of poverty.” poverty,” he indicated.

Educational gap and poverty​

Furthermore, “in 2023 the gaps continued to be verified according to the educational level achieved: only 21.3% of employed people who completed secondary education lived in households in poverty while this value reached 53.5% of those who had incomplete secondary school.

“The difference in the incidence of poverty according to the level of education tends to be replicated when workers are grouped according to sector and employment status,” he stressed.

The exception occurs in “the possible nonexistence of self-employed workers in the formal private sector who have not completed secondary school and among the recipients of social programs, a group in which the level of poverty is almost equal, regardless of the level of education,” concluded the UCA in this report. Thus, as the data for the majority of the population show, the higher the level of educational instruction, the lower the level of poverty.
 
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