Argentine Industrial Union (UIA in Spanish) Vice President, Juan Carlos Sacco, assured today that the entity has long asked for a change of the subsidy policies, but warned that “it shouldn’t be an abrupt change but rather progressive.”
During the opening day of the UIA’s annual Industrial Conference, Sacco considered that “subsidies must exist as far as they are granted to small or medium companies as well to poor families, but it’s not fair when they are granted to residents of wealthy areas.”
Furthermore, Sacco remarked that “It is absurd to have subsidies granted to City wealthy areas such as Barrio Parque and Puesto Madero, or private residential neighborhoods in Greater Buenos Aires and the rest of the country.”
Anyway, not everything was praising to the government’s late decision of cutting subsidies as Sacco emphasized that “the cuts must be done progressively, they can’t be put in effect from one day to another. Otherwise, the measure would be totally absurd as it would bring inflation, hence workers will automatically claim for salary raise.”
Before taking any action, there must be an economical and social pact as well a thoroughly discussion of prices and salaries.”
Source: Buenos Aires Herald