The end of the year is coming and the country’s economy is still stagnant. That’s why in an attempt to boost consumerism and try to give it a jump-start, the government will pour AR $10.2 billions into people’s pockets.
The sum will be distributed as year-end bonuses for those who perceive money from the state — retirees, Universal Child Allowance (AUH) recipients and state workers.
Here’s the lowdown on how much everyone is getting and how they got to that sum:
Universal Child Allowance Recipients
Each one of the 2.7 million families who perceive the universal child allowance will get a year-end bonus of AR $1,000. Moreover, after further negotiations with different social movements — who voice the needs of the most vulnerable sectors of society — Social Development Minister Carolina Stanley announced other benefits: an extra AR $250 for every child and a raise in unemployment plans — called Argentina Trabaja (Argentina works) — from AR $3,200 to little over AR $4,000, which represents half the minimum salary.
However, the announcement might not prove to be it for negotiations, since the leaders of social movements anticipated a much higher final figure: AR $1,000 per child for AUH recipients, for unemployment plans to equal the minimum salary and for the government to double the food it provides soup kitchens with in order to face this year’s increase in demand. The social emergency law that was the cause for last Friday’s massive march will also surely be brought up in further meetings.
The almost 3 million retirees who receive the minimum pension of AR $5,661 will get a year-end bonus of AR $1,000, something that will represent a AR $3,087 million to the Argentine state. They will also receive the typical Aguinaldo — a half salary that Argentine workers get in June and December, in accordance with Argentine labor law — and, those who are receiving their overdue pension payments following the government’s approval of the bill that does exactly that will also have that extra income.
As announced last week, the government finally decided to grant a year-end bonus to the 130,000 national state workers after refusing to do so for months. Depending on their earnings, they will get AR $2,000 and AR $3,500.
Government workers with the lowest salaries, will receive AR $3,500. The second and third categories, on their end, will get AR$ 3,300 and AR $3,000, respectively, while the high-ranking employees reached by the bonus will receive the lowest sum.
The bonus won’t reach the managing positions at the different state offices. Ministers and members of other public sector offices that have already reached their own settlements — such as university employees, armed forces, teachers — will not receive this extra either.
This one is a bit more complicated. The most important unions had announced that the key to avoid a general strike and bring the country to a halt before the end of the year was a “fair” year-end bonus. It seemed like their demands would be met when the government backed their request in October and unions, businesses and government agreed on negotiating a bonus of a minimum of AR $2,000.
However key voices from certain business sectors said shortly after the initiative was virtually impossible and negotiations have been paralyzed ever since. The three parties will meet again this week according to Infobae. The amounts, and who will receive the payments, will vary depending on the particular agreement between specific businesses and unions.
People who earn up to AR $55,000 will be exempt from paying the income tax over a part of their income. According to the AFIP tax collecting agency, this will put an average of AR $5,000 in people’s pockets.