Guaymallén municipal workers threaten strike over salary cuts

Municipal employees in Guaymallén, Argentina, are threatening a strike following the administration's decision to eliminate the ‘Compensación y Estímulo’ bonus. The cut, valued at approximately $325,000 per worker, affects roughly 3,000 employees, as the municipality agreed to maintain the benefit for only 500 workers earning less than $1,200,000.

In response to the labor dispute and falling tax revenue, the municipal executive, led by Marcos Calvente, announced a 10% salary reduction for officials and hierarchical staff as an austerity measure. The Sindicato de Obreros y Empleados Municipales (SOEM) has warned that a strike could begin this Wednesday, potentially impacting public services, customer service, and the issuance of driver's licenses.

To assist with the municipality's financial difficulties, the provincial government has authorized a subsidy of $1,703 million. While this provides financial relief to Guaymallén, the funds are part of a long-standing coparticipation law and are not specifically earmarked for resolving the current wage conflict.