There was no agreement and the Government will define the new minimum wage by decree.

The Minimum Wage Council failed to reach an agreement this Tuesday during the regular plenary session to discuss the minimum wage and unemployment benefits. Given this scenario, the government will establish the new values ​​by decree , as has happened previously since Javier Milei took office.

The meeting, held virtually starting at 12:30 p.m., had the main objective of setting the base salary and determining the minimum and maximum unemployment benefit amounts. The positions among the represented sectors proved irreconcilable, leading to a recess and, subsequently, the government's decision to intervene.

The labor unions proposed a minimum wage of $644,165 for April and $657,703 for May, representing an increase of nearly 120% . In contrast, the business sector offered $301,500 for April, $306,500 for May, and $311,500 for June, representing a mere 1.3% increase. The gap between the proposals demonstrated a lack of consensus , and the parties were unable to continue discussing the situation in the face of such disparity.

The call for this session was formalized through Resolution 1/2025, issued by the Secretariat of Labor, Employment, and Social Security and the National Council for Employment, Productivity, and the Minimum Living Wage. The document, signed by the Minister of Human Capital, Sandra Pettovello, was published in the Official Gazette.

The debate over the minimum wage is taking place in a context of rising inflation, with estimates from private consulting firms placing price fluctuations at around 4%, significantly higher than the 2.9% initially projected. This scenario further complicates negotiations, given that prices in Argentina remain inflexible.

The last update to the SMVM was in December 2024, when, following another disagreement between employers and unions, the government set the minimum wage by decree. At that time, a floor of $279,718 was established for full-time monthly workers, with staggered increases bringing the amount to $296,832 in March 2025.

For daily wage earners, the hourly rate was set at $1,399 in December and reached $1,484 in March. Now, the lack of consensus has once again put the definition of the new amounts in the hands of the Executive Branch, while expectations grow about how this decision will impact an increasingly challenging economic climate.