The income base has been AR$156,000 since December, and the inflation rate in that month alone, when the minimum wage was last increased by 8.5%, was 25.5 percent. The most critical economic variable calculated on the minimum wage figure is social aid programs for more than 1.2 million beneficiaries, which is automatically adjusted and affects retirement benefits and unemployment insurance. This last figure became increasingly meager as formal salaries grew above the minimum, and the minimum wage’s greater incidence became the value of social aid plans. Currently, the beneficiaries of the Potenciar Trabajo plan earn AR$78,000 pesos, half of minimum wage. It’s only the state, which usually acts as an arbitrator, that actually pays the minimum wage.

Source: Bueno Aires Herald January 17, 2024 12:10 UTC