# Argentine economic contraction under Milei administration

> Live situation record from CLSTR: https://clstr.news/situations/argentine-economic-contraction-under-milei-administration
> Updated: 2026-10-11T20:38:00.000Z. Sources: 18. Developments: 2.

Under the administration of Javier Milei, Argentina has experienced significant contractions in both the public sector and formal business registrations.

Data from the National Institute of Statistics and Censuses (INDEC) shows that public sector employment decreased by over 72,000 positions between December 2023 and August, falling from 341,465 to 269,025. The most notable reduction occurred within ‘other entities.’

Simultaneously, the number of registered employers has declined by 32,290 since November 2023, marking 18 consecutive months of decreases. According to the Superintendencia de Riesgos del Trabajo (SRT), this represents a 6.3% decline from the 512,357 employers recorded in November 2023 to 480,067 in July 2026. While the SRT clarifies that a decrease in the registry does not exclusively signify business closures—noting it can reflect corporate reorganizations or changes in tax identification—the decline in formal employment is significant, with the private sector losing approximately 121,000 formal jobs over a twelve-month period.

Economic groups, including the Unión Industrial Argentina (UIA) and analysts from the Centro de Economia Política Argentina (CEPA), attribute the trend to high operational expenses, rising utility costs, high interest rates, and weak consumer demand. Additionally, the industrial sector saw a 12% decline during the first half of 2026. Analysts suggest the country may be entering a technical recession, with GDP growth expected to remain slow as the economy approaches the 2027 election cycle.

## Timeline

### 2026-10-11: Argentina loses 32,000 registered employers under Milei administration

Argentina has lost over 32,000 registered employers since Javier Milei took office, marking 18 consecutive months of decline amid economic contraction and falling formal employment.

12 sources. https://clstr.news/cluster/argentina-employer-registrations-decline-by-32290-under-milei

### 2026-09-30: Argentina public sector jobs decrease by over 72,000 under Milei

Argentina's public sector has lost over 72,000 jobs since December 2023 as the Milei administration implements significant state spending cuts.

6 sources. https://clstr.news/cluster/argentina-public-sector-jobs-decrease-by-over-72000-under-milei

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Cite as: Argentine economic contraction under Milei administration. CLSTR, https://clstr.news/situations/argentine-economic-contraction-under-milei-administration