Released between the first and second week of the month, the Report reviews the latest labour market trends in Argentina. As other developing countries in the world, Argentina is suffering an unprecedented economic and social crisis due to the Covid-19 pandemic, which is heavily impacting the labour market. Employment and hours worked have fallen sharply and the quality of work has deteriorated. Taken together, these dynamics have resulted in a decline in labour and household income. Lower-income workers are suffering the most, which will result in an increase in income inequality and poverty, reverting progress made in previous years.
In this context, the Report reviews recent dynamics in wages and employment, including a breakdown per branch, sector and geographical region and it also assesses labour market prospects. Importantly, it reviews the measures that have been agreed among major stakeholders (government, labour unions and employers) and are being implemented to prevent further job losses. Given the larger share of middle-income segments in total income in the country compared with other Latin American countries, following employment dynamics in Argentina is important to assess the evolution of people’s consumption power during the Covid-19 crisis and beyond.