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Argentine Government Offers Workers Incentives to Join Formal Labor Market

By: Raquel García - @venturaG79 - Jan 9, 2017, 6:27 pm
Argentina's government is seeking to reduce its widespread informal labor market (
Argentina’s government is seeking to reduce its widespread informal labor market (Infobae).

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With the aim of reducing informal employment, the Argentine government is studying the possibility of financing for three years the contributions of new employees that are integrated into the official labor market.

“We realize that the formalization process could involve a shock, and we are willing to make a financial investment to incentivize participation in the formal labor market,” Labor Minister Jorge Triaca told the newspaper La Nación.

The initiative, which is being spearheaded by the finance ministry under Nicolás Dujovne, seeks to formalize 300,000 workers per year until 2019, reduce the precariousness of the pension system and prevent an increase in unemployment from Argentina‘s current rate of 10%.

The government is currently undertaking a full analysis of how best to finance the initiative; options considered have included financial support from the Treasury, as well as tax exemptions.

According to the initial policy drafts, the limit for such incentivization would be for gross salaries of up to AR $12,000 (USD $755.16). Minister Triaca hopes that the construction industry, textiles, and rural employment will be the first activities to experience improvement in the area of “labor laundering”.

Speaking to the news site Ámbito Financiero, Minister Triaca said that the intention is not only to attack informality so that more workers can enjoy benefits such as social security and pensions, but also to add volume to the mass of contributors paying into the system.

In tandem, the government is working on a comprehensive review of the pension system, which would include, among other things, raising the retirement age, which is now 60 for women and 65 for men.

According to La Nación, the Ministry of Labor has encountered questionable financial accounts linked to professional colleges and unions where millions of pesos are awaiting an uncertain fate.

The government also hopes that the beneficiaries of its social safety net, will thus begin to contribute to the system. The government would obligate the beneficiaries of social programs to join the tax base, turning that aid into a balance in favor of entering the formal labor market.

In February, the government will convene the Bureau of Production and Labor, which is comprised of the State, businessmen, and the General Confederation of Labor (CGT) to seek the endorsement of these sectors with regard to the labor informality initiative.

Source: La Nacion, Ambito

Raquel García Raquel García

Raquel García is a Venezuelan journalist with over 16 years of experience in digital outlets and radios. She currently lives in Buenos Aires, Argentina. Follow her @venturaG79.

ELN Guerrillas Kill Colombian Soldier in Cold Blood

By: Julián Villabona Galarza - Jan 9, 2017, 5:51 pm
The ELN are the chief suspects in today's deadly attack on Colombian police (

Español A Colombian Army soldier was killed on Monday, January 9 in the municipality of Puerto Jordán in the eastern department of Arauca, by two men traveling on a motorcycle, who murdered the soldier in a drive-by style shooting. The attack was carried out by suspected members of the Martha Helena Baron commission, which belongs to the Domingo Laín Sáenz front of the National Liberation Army (ELN) guerrilla group, according to a statement released by Quirón Task Force  of the Colombian Army. Read More: The ELN's Shameless Demands for Peace Talks with Santos Read More: ELN Guerrilla Kills Two Police Officers in Colombia The attack occurred while soldiers were carrying out security work in Porto Jordán. According to the statement, two men opened fire on the members of the Army and fled using the civilian population as a shield so as not to be fired upon by the other soldiers who were there. If it is indeed confirmed that the attack was carried out by the ELN, it could present another major impediment to the peace process that the ELN is seeking to initiate with the government. Despite their assertions that they are seeking peace, they have continued to launch deadly attacks on both the military and police throughout Colombia, a fact that has been criticized by the head of the government's negotiating team, Juan Camilo Restrepo. The ELN, while much smaller than its better known counterpart the FARC, has a reputation for even greater radicalism. They are largely concentrated in the country's northeastern region along the Venezuelan border; especially in the departments of Arauca and Norte de Santander. googletag.cmd.push(function() { googletag.display('div-gpt-ad-1459522593195-0'); }); If the attack was actually carried out by the ELN, it would represent the second deadly attack in two weeks; since two weeks ago they attacked an electrical substation where a policeman was killed and injured seven others with an explosive device, who were attending to their fallen comrade. The Santos administration has expressed a willingness to meet with the ELN at the negotiating table. Source: Blu Radio

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