Milei applies “the chainsaw” to pensioners and vetoes a law that increases pensions: “This violates the legal framework”

Thus, Spanish retirees are 588 percent ahead of their Argentine peers in terms of income, despite the fact that food and clothing prices are similar in Spain and Argentina. In comparison, Argentine pensions are miserableIt is estimated that more than five million Argentine retirees live in poverty, as their income does not reach the basic basket: 717,020 pesos (equivalent to 478 euros).

In summary, the CPI increase has reached 134.62 percent since last December, when Argentine President, Javier Mileilanded at the Casa Rosada, until July, pulverizing almost 40 percent of the purchasing power of pensions.

Faced with this panorama of accelerated impoverishment of adults, the opposition blocs in Parliament debated and approved a few days ago by a large majority a law aimed at improving pensions.

The main progress has been increase 20,000 pesos per month to each retireeor 8 percent of the minimum pension, and establish a quarterly updated index that includes salary increases and inflation.

But the anarcho-capitalist president, who implemented a shock adjustment of public spending, also called the “chainsaw plan”, reacted by calling “tax degenerations” to the parliamentarians who approved the said law. Because, according to him, the new rule in favor of retirees would throw overboard the achievements in terms of budget surplus and disrupt the public accounts. “He has as sole objective of destroying the government’s economic program” he concluded.

Therefore, Milei vetoed the new law. “Is clearly violates the legal framework into force because it does not consider the fiscal impact of the measure or determine the source of its financing,” he said in the veto.

According to the explanations of the Casa Rosada, “the General Budget of the National Administration in force for the year 2024 in execution does not include an element to meet the expense“. And he specified that these are new disbursements from the State which “are equivalent to 1.02% of the Gross Domestic Product (GDP) calculated for the current year; and 1.64% of this amount, estimated for next year.”

In addition to the monetary reduction, Milei also applied “the chainsaw” to drug deliveryfree or at a lower price, which social security granted to retirees and pensioners. In total, about 60 remedies less than the vademecum.

Paradoxically, while cutting pensions, the anarcho-capitalist president, who promised to do away with the State, increased the budget of the Intelligence Secretariat, dedicated to the sewers of the administration, by 67 million euros.

Although in Argentina there are no pensioners’ movements like those in Bilbao, Madrid or Valencia, hundreds of people took to the streets to protest against Milei’s “chainsaw”. On Wednesday 28th, they marched to Parliament and did not have a good time.

Police riot police and water cannon trucks attacked them with shovels and pepper spray, many of whom ended up with cuts to the head. Next Wednesday, the 4th, a new demonstration is planned.

Eugenio Semino, defender of the Third Age, warned that “the presidential veto is a monarchical relic.” And he considered that “the (fiscal) adjustment is paid by the retirees who give their lives, and not by the (political) caste.”

Some retirees, with the support of left-wing parties, have launched a campaign to collect signatures in favor of the new law. They aim to get 1 million subscriptions and deliver the petition to lawmakers.

Milei’s veto of the new pension law forces it to return to the Congress of Deputies and the Senate for a new treatment. If both chambers approve it again by more than two-thirds of the votes, The rule would remain firm and the President would have to comply with it..