Argentina - July 2024

On 8 July, President Javier Milei enacted his flagship legislation, 'Ley Bases.' This package, comprising over 200 laws, aims to lay the groundwork for economic liberal reform in the country by reducing the state's role in public matters and deregulating the economy. After months of parliamentary debate, the original package was significantly reduced, with the final version including only about half of the initial proposals. The approved law grants Milei special powers to legislate by decree for one year on economic, administrative, financial and energy matters, allowing him to bypass Congress. Further, it allows him to privatize some of Argentina’s state-owned enterprises. The law also introduces tax and labour reforms, including substantial tax incentives for companies making large investments, and relaxes labour regulations. Critics argue that the law disproportionately benefits multinational corporations over smaller local enterprises, which currently employ 70 per cent of the population. Experts warn that the introduced changes undermine workers' rights, representing a major shift towards deregulation and job insecurity.  

Sources:  Pagina 12(1), Buenos Aires Herald , BBC, Pagina 12(2)