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Milei is already proving the Left-wing economic establishment wrong
(www.telegraph.co.uk)
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this post was submitted on 08 May 2024
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With 10% annually, it just affects your long term plans. Both prices and sallaries are kind of adjusted in the way, but you still manage to think about making a small vacation or something. Here most people is not "financially formed" and would "invest" in things that just hold their value. Think of buying gold per Kg with any remaining dollars you have.
With 10% monthly you are pretty much fried cause you truly dont know what is going to happen in the next month. Prices kind of lose meaning and you start to be more attentive on basic needs. The milk is 2k AR$. Is it much? Idk, but I need it, so i buy it.
I never experienced 10% daily (my parents did), but i feel that it is still somehow better. With that rate the economy just crashes, debts are pardon, schools make exceptions, healthcare just works. Its a terrible mess, but it has an end... or so they say.
Is it common for wages and contracts get pinned to inflation rates, so, e.g., union workers get automatic raises each paycheck to keep pace?
Its common between "legal workers". I, for instance usually get a rise per year, but if inflation rate surpases certain level, the rise is either renegotiated or just adjusted by inflation. It helps but it always falls behind inflation. 2 years ago i was earning like 200k AR$ monthly (roughly 600 US$ in black market currency), now im doing 850k AR$ (roughly 850 US$ BM, it was 600US$ pre milei) + 115k AR$ with a second job.
Im not unionized.
A big chunk of Argentina's workers are non legal ones (usually the worker gets either a bigger pay or gets to keep universal income for non-employment and the employer avoids some taxes). I dont know what they do on those cases.
Edit: inb4, unions are great. People should be unionized. Im against unions in Argentina though, most of them have become a mafia in every sense of the word.