Government defines the third phase of the payment of complementary wages ATP


There is already a definition: there will be a reduction in the program, which in a few days must be credited to the workers’ accounts

One of the topics on the agenda of this week’s economic team meeting at the Casa Rosada will be the definition of the continuity of the ATP system, the payment of wages by the State.

There is already a definition: there will be a shrinking in the program, which in a few days must be credited to the workers’ accounts.

That descent already had a first scale going from “phase one” to “phase two”. In the first month, 2.3 million wages had been paid against 2.04 million corresponding to last month’s wages, which were paid in early June.

In the next few hours, among the ministers Matías Kulfas and Martín Guzmán they will define the payroll to be paid at the beginning of July. In terms of economic policy, there is a difference between the head of the Economy and the head of Productive Development. Guzmán appears as the guardian of the resentful public accounts. Kulfas appears as bolder. He believes that, in this anemic context of activity, the State has no other option than massive aid.

Matías Kulfas and Martín Guzmán will define the payroll to be paid at the beginning of July

How would you follow the plan? The ministers will look in detail at the evolution of the quarantine. But, it is true, that this reality looks dynamic and the governments of the City of Buenos Aires and the Province are currently negotiating a tightening restrictive measures.

How is the current functioning of the economy

The last report of the consultant PxQ, from the economist Emmanuel Álvarez Agis, is revealing of the current functioning of the economy. This is key data that will be taken by the government to make decisions about the continuation of state aid.

  • As of the latest data available (June 12), circulation to workplaces in the interior of the country was barely 7% below compared to the period before the pandemic.
  • On the contrary, in the province of Buenos Aires, the decrease was located in the 33 percent.
  • In the City of Buenos Aires, reality looks worse: circulation to workplaces shows a drop of no less than 53 percent.

In other words, if the Government should answer for this labor mobility index, aid should be concentrated in the city of Buenos Aires and the Buenos Aires suburbs. The so-called metropolitan area.

There is already a definition: there will be a reduction in the program, which in a few days must be credited to the workers' accounts

There is already a definition: there will be a reduction in the program, which in a few days must be credited to the workers’ accounts

Now, is that enough? Alvarez Agis adds regarding what can continue.

“What is observed regarding the movement to jobs is not reflected in the data of mobility to non-essential and entertainment businesses (proxy of aggregate demand for “nonessentials”). In this type of commercial premises, circulation recovers much slower even in the provinces where it went from ASPO (Isolation) to DISPO (Social Distance). The variation in mobility in non-essential and entertainment businesses with respect to normal fell to -90% across the country. The last available data was located at -72% in CABA; -65% in the province of Buenos Aires; and -50% in the rest of the country. “

“In Argentina, therefore, the pattern observed in other countries is repeated: supply recovers once quarantine is relaxednot the demand for non-essential goods and services, “concludes the economist.

At this point it coincides with what is expressed, for example, by the owner of the Industrial Union (UIA), Miguel Acevedo, who also warned about the same reaction: that demand does not appear when restrictions tend to moderate.

The way out of the crisis, of course, will not be easy. For this reason, the decisions made by officials regarding the attitude of the State in this complex and unprecedented setting.

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