The acronym DNU hides an ongoing revolution in Argentina. Eight days after the publication, on Wednesday, of the Decree of Necessity and Urgency (DNU), the South American country is in a public emergency until December in economic, financial, fiscal, tariff, administrative, social, health and social healthcare. Therefore, President Javier Milei plans to continue making laws by decree since he does not have a majority in both houses of Congress. But it is a step with great risks, because it is precisely the representatives and senators in the majority that can block the government’s legislative production.
For Milei, who promised shock measures to reverse decades of stagnation and crisis, the state of the economy justifies the urgency and the formula used. “Among the laws, regulations and other regulations that hinder the functioning of the economy and a free society, we have discovered 380,000 rules. We want to dismantle this machine of obstruction,” he told Rivadavia microphones after announcing to Argentines on Wednesday the first 366 measures, 30 of which were highlighted.
“We are doing everything we can to mitigate the tragic consequences of what could be the worst crisis in our history.” Javier Milei
Deregulate and liberalize are the key words and the ultra-liberal economist’s main measures include the repeal of the law that prevented the privatization of public companies, paving the way for the reprivatization of the oil company YPF; the ability to do business in dollars; the end of controlled increases in leases; the end of fixed prices for private health insurance and more flexible insurance rules for union members; and giving sports clubs the opportunity to transform into sports companies (SAD).
“Six in ten children between the ages of zero and fourteen are poor. This is the tragedy we are experiencing, the product of a political and economic model that attacks freedom.” Javier Milei
But there is more: despite recognizing in his address to the nation that unemployment is low thanks to the percentage of informal work and low wages, Milei also decided to intervene in the labor law, stripping away workers’ rights purchase. 12-hour work days are now allowed; the trial period is extended to eight months; the calculation of severance pay is being redone to the relief of employers, and from now on the right to strike is limited. Services deemed essential are needed to guarantee 50% of regular work during a strike, and services deemed of transcendental importance must maintain 75% of the workforce.
As soon as Milei announced the DNU – flanked by ministers and his advisor Federico Sturzenneger, author of the decree – thousands of Bonaérenses took to the streets in protest, repeating the tradition of cacerolazo, the noisy protest with pans and other metal kitchen utensils. Alberto Fernández, president who left office less than two weeks ago, protested his successor’s “clear abuse of power”.
“Our country is witnessing an act of extreme institutional severity never seen before.” Alberto Fernandez
Lawyers from various quarters joined in their outrage. Acknowledging that some measures are “unfriendly” but that the middle class will benefit from them, Milei responded ironically to the protests: “It is possible that some people are suffering from Stockholm syndrome. They embrace and are in love with the model that impoverishes them. are people who look at communism with nostalgia, love and affection.” Moreover, he promised more DNU and a “bill to change the state” soon.
“Our country is witnessing an act of extreme institutional severity never seen before.” Axel Kicillof, Governor of Buenos Aires
It is now up to the representatives and senators to ratify or invalidate the DNU. For the decree to be null and void, both chambers must reject it, which would not be surprising given the balance of power. It is in this, which Milei calls “caste” and blames for the country’s ills, where the pressure lies: “Those who are against progress and who have a caste will serve as proof for the Argentines.” ‘
Source: DN
