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ARGENTINA

Javier Milei's government anticipated a new reduction in public employment.

This measure represents a necessary step to reduce the size of the State and be able to lower more taxes

The Minister of Deregulation and State Transformation, Federico Sturzenegger, announced that a new reduction of personnel in public employment is coming, as part of a deep process of administrative reform driven by the Government of Javier Milei.

In an interview with La Nación+, the official explained that the measure will aim to "spend less" and "collect fewer taxes," two of the central objectives of the current libertarian administration.

According to Sturzenegger, in the coming days a series of decrees will be published that will aim to centralize decentralized agencies, eliminating duplicated administrative structures in the state apparatus. The formal announcement will be made by the presidential spokesperson, Manuel Adorni, at a press conference.

A man in a dark suit and polka dot tie in front of an Argentine flag.
Javier Milei, President of Argentina | La Derecha Diario

When asked by journalist Luis Majul if this reform would only cover the General Transport Commission, a version that had circulated in recent hours, Sturzenegger was categorical: "We are going to make a significant refunctionalization of the Government, much more than transportation." The minister detailed that it will involve "several decrees," some delegated and others autonomous, that will impact all areas and institutions of the State.

During the interview, Sturzenegger harshly criticized the current decentralization scheme, as it creates an inefficient state structure, with duplicated tasks and unnecessary expenses. "When you create decentralized agencies, that comes with its personnel structure; the people who process salaries, the accountants, the legal department. So when we have them centralized, you use the central structure," he explained.

The minister gave a concrete example: "we have agencies with 120 people, where 60 are doing the work that corresponds to that and another 60 are administrative support that if you centralized, you can free yourself from those people." With this measure, not only will it reduce public spending, but also lower taxes for decent Argentinians.

A smiling man with his fist raised at an event in New York.
Javier Milei, President of Argentina | La Derecha Diario

The decision is part of the adjustment and state efficiency plan that Milei's Government has been promoting since taking office last December. The libertarian administration had already advanced in several waves of layoffs, with the aim of combating the "ñoquis" left by Kirchnerism, in various ministries and public agencies, and now seeks to deepen the restructuring.

This represents a necessary step to organize public accounts, reduce the size of the State and be able to lower taxes. This way, Milei and Sturzenegger are advancing in one of the most ambitious structural reforms of their mandate, betting on a smaller, centralized, and less costly State for Argentinians.

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