In 4 months, blank private employment was reduced by 95,000 people

In the first 4 months of the Milei administration, registered private salaried employment fell by almost 95,000 people – from 6,373,313 to 6,278,350 – and public employment in 22,000 jobs (from 3,483,628 to 3,461,971).

In turn, formal employment in Private Houses shrunk by about 10,000 people and the number of Monotributistas increased by 40,000 people (from 2,032,628 to 2,072,150)

In total, registered workers went from 13,349,788 to 13,271,455 in 4 months, according to the Secretary of Labor, Employment and Social Security. It is estimated that the fall in informal, unregistered employment, it would have been in a greater proportion.

In March 2024, registered salaried employment in the private sector contracted by 0.4%, which means 23,000 workers lost formal salaried employment in private companies, according to Social Security records.

According to the Labor Indicators Survey (EIL), the contraction of registered private salaried employment continued in April. “In this case, the level of private employment registered in companies (with more than 10 employed people) of the total urban agglomerations surveyed presented a contraction of 0.4% in relation to the month of March.”

And he adds: “With the March retraction, they accumulate seven months of consecutive decline in private registered salaried employment. In total, throughout the contractionary phase (between September 2023 and March 2024), around 127 thousand workers were separated from formal private employment,” says the Report. And he adds that this reduction in formal employment is strongly concentrated in Construction.

The EIL shows that in April 2024, all sectors experienced a contraction in registered employment, except for Community, Social and Personal Services, where staffing remained constant. “The Construction sector continues to present the largest monthly contraction (-1.1%), although a deceleration of the fall in relation to previous months.

On the other hand, in Industry, Transportation (along with Storage and Communications) and Financial Services, the monthly contraction in employment was ““intensified compared to previous months.”

Meanwhile, in December 2023 the average salary of private registered workers will be reduced 11 percentage points compared to November of that year. In January 2024, the average salary recovered around 3 percentage points of purchasing power to register a slight decline in February and March, when it contracted 0.4% in each month. In April 2024, the projected real salary data shows a sensitive monthly recovery of close to 4 percentage points.

The average gross nominal remuneration for March 2024 was $947,874, and grew by 242.5% compared to March 2023, versus an inflation of 287.9%. For their part, half of the registered workers they received less than $682,163, an increase of 244.2% in the interannual comparison.