Argentina's Milei government pushes labor union dismantling

The administration of President Javier Milei has issued Decree 407/2026 to review around 150 collective bargaining agreements that have expired, a move intended to deregulate labor relations and weaken the historic power of the General Confederation of Labor (CGT). The decree would eliminate the ultra‑activity principle that kept agreements in force until a new one is signed, lower the union‑recognition threshold from 20 % to 5 % of workers, and introduce measures such as a “dynamic salary” tied to employer assessments and flexible “banked hours”.

Union leaders and local guilds have condemned the plan as an assault on workers' rights. Alberto Botto of the Rosario Chamber of Industry said, “solo se busca destruir al movimiento obrero” (the goal is to destroy the labor movement). Other representatives warned that the reforms could depress wages, erode pensions, and lead to business closures, harming employees across the country.