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Argentina launches plan to eliminate 20,000 public-sector jobs

Starting November 1, 2026, the Argentine government will implement a new voluntary resignation plan aimed at cutting 20,000 public-administration jobs, according to the newspaper Estadão.

By Redacción SurEconomics ·

Argentina launches plan to eliminate 20,000 public-sector jobs

Starting November 1, 2026, the Argentine government will implement a new voluntary resignation plan aimed at cutting 20,000 public-administration jobs, according to the newspaper Estadão. The measure will run for one month and seeks an appropriate and efficient allocation of public resources, according to the decree published in the Diário Oficial cited by the Brazilian outlet.

The program offers several payment plans and amounts calculated according to the age and seniority of the affected workers, and includes a restrictive clause that bars rehiring by the state for a period of eight years. Federico Sturzenegger, minister of Deregulation and State Transformation, defended the initiative, saying that the government is still looking for ways to cut public spending in order to keep reducing taxes.

In response to the announcement, the State Workers' Association (ATE) called a protest march and rejected the government's measure. The union's secretary general, Rodolfo Aguiar, described the measure as an extortionate resignation and said opposition to the decree is total, according to Estadão's coverage.

State employment has been among the sectors hardest hit by the fiscal adjustment strategy implemented by the administration of Javier Milei. Data released in September by Sturzenegger and reported by the same outlet show that 21% of national government jobs have been lost since December 2023, a reduction of 77,500 positions.