BUENOS AIRES: Argentine unions launched a huge general strike on Thursday against painful austerity measures and planned reforms by new libertarian President Javier Milei, whose cost-cutting drive has stabilised local markets but hammered the real economy.

The South American country saw public transport, the important grains crushing sector, supermarkets, airports and banks grind to a halt for 24 hours as most of the major unions joined the protest action against the government.

Milei, an economist and former media pundit, won a shock election last year pledging to fix with a “chainsaw” an economic crisis that snowballed under previous governments, leading to depleted reserves and triple-digit inflation.

Many in Argentina still back his plans after so many years of turmoil. However, his pro-market stance and tough austerity medicine have hurt people’s real salaries, pushed up already high poverty levels and seen economic activity tank at the start of the year.

Hugo Yasky, secretary general of the major CTA union, posted on X that the strike was against “a government that only benefits the rich at the expense of the people, gives away natural resources and seeks to eliminate workers’ rights.” The action is a test for Milei’s government. It is looking to push a broad reform package, including divisive labor reforms, through the Senate after getting approval in the lower house despite only having a small minority in Congress.

Published in Dawn, May 10th, 2024