1704309626 The Argentine justice system is suspending the labor reform that

The Argentine justice system is suspending the labor reform that Milei wants to implement by decree

Argentine President Javier Milei on December 30, 2023 in Mar del Plata.Argentine President Javier Milei in Mar del Plata on December 30, 2023.STRINGER (Portal)

The major decree dissolving the state issued by Argentine President Javier Milei received a first blow from the judiciary this Wednesday. The Chamber of Labor has canceled part of the Decree on Necessity and Urgency (DNU) that the right-wing extremists signed on December 20th. The precautionary measure was issued after the General Workers' Union (CGT), the country's largest union, filed an injunction. The appeal made by the predominantly Peronist unions joins others from various sectors of society who consider the DNU to be “unconstitutional”, a criticism that constitutional lawyers see as justified.

The court document to which EL PAÍS has had access presents, as a central argument for the suspension of part of the Grand Decree, that neither the necessity nor the urgency of the executive bypassing Parliament has been proven. The DNU is a constitutional exception mechanism, regulated since 1994, that allows the government, in the event of a natural or social disaster, to dictate or amend laws to address an urgent matter that cannot wait for debate in Congress. However, there is a consensus among constitutional lawyers that this is not the case with the decree signed by Milei, and this is the majority opinion expressed in the court document that bears the signatures of judges José Alejandro Sudera, Andrea García Vior and Dora González . The decision was accepted by the first two, while the third considered that the case should be referred to the disputed administrative court.

“It does not explain how the proposed reforms, if implemented immediately and outside the normal process of passing legislation, could provide relief in terms of formal job creation,” the document said. The Chamber of Labor has therefore suspended Title IV of the mega-decree. In this section, the measure proposes the deregulation of the Argentine labor market, which has very favorable rules for employees. The decree restricts the right to strike, eliminates sanctions for irregular contracts, allows working hours of up to 12 hours a day, extends the probationary period and allows changes in remuneration, among other things.

General strike on January 24th

The CGT welcomed the court's decision. In a statement, he said: “They will not defeat us as long as we remain united.” The unions rejected the mega-decree on December 28 at a rally that organizers estimated was attended by more than 20,000 people. While this was happening, the Milei government announced the submission to Congress of a law containing more than 600 articles on subjects that could not be included in the DNU, fundamentally altering much of the political, social and economic structure of Argentina. The omnibus law, so called because of its scope and variety of issues, was seen by the union leadership as “exponentially worse” than the mega-decree and forced the CGT to announce a general strike for next January 24th.

The reform of the Argentine state that the right-wing extremists want to put into effect last Friday. On that day, the mega-decree came into force eight days after its publication in the Official Gazette. The measure abolishes standards without parliamentary discussion, eliminates government regulations, allows the privatization of public companies, opens the door to dollar transactions and introduces a more flexible health system, among a hundred other measures. Not everyone is against the proposed changes, but many believe the forms conflict with the Constitution. The first blow came this Thursday from the judiciary, where about thirty protections are still accumulating that question the constitutionality of the law. Hours earlier, presidential spokesman Manuel Adorni had expected that the grand decree would face a “long trial” in court.

Another obstacle the DNU must overcome is in Congress, where it must be approved. A bicameral commission made up of eight senators and eight representatives in parliament will examine whether the “necessity” and “urgency” of the measure are justified. The commission continues to operate during the summer recess of Congress. If the decree is approved by the bicameral commission, it is submitted to the plenary session of each chamber, which must accept or reject the regulation in its entirety by an absolute majority of members. If only one of the chambers approves – or if there is no discussion about it – the decree is considered valid. A negative vote by both would mean a rejection.

Milei's party, La Libertad Avanza, has no majorities in Congress – it has only 38 of 257 deputies and seven of 72 senators – but enjoys the support of some lawmakers, such as those answering to former conservative President Mauricio Macri. Other sectors show more ambiguity, such as the Radical Civic Union, which assures that the country “needs a change” but that it must occur “respecting established forms”. On the other hand, Peronism, now in opposition, expressed a total rejection of the text, as did the Left. However, debate in plenary sessions will have to wait until March 1, when regular sessions begin.