Argentina launches voluntary retirement scheme for public employees

By Maryam Ashalem de Andres

ISTANBUL (AA) - Argentina’s government on Monday introduced a new voluntary retirement scheme for public sector employees, with positions vacated under the program set to be eliminated as President Javier Milei’s administration continues efforts to reduce the size of the state.

The decree was signed by President Javier Milei, Cabinet Chief Diego Santilli and Deregulation and State Transformation Minister Federico Sturzenegger before being published in Argentina’s Official Gazette.

Eligible workers include permanent employees and those with indefinite-term contracts within the centralized National Public Administration, according to the decree.

Applications will be accepted from Nov. 1 to Nov. 30, with the possibility of a one-time extension of up to 30 additional days.

Under the new rules, government departments must eliminate the corresponding budgeted positions when employees leave their jobs through the program, preventing the vacancies from being filled by replacement workers.

The measure entered into force upon publication in the Official Gazette, according to the text.

According to the decree, the scheme forms part of the government’s policy to transform and reorganize the state, optimize administrative structures and staffing levels, and improve the allocation of public resources.

Implementation will be overseen by the Secretariat for State Transformation and Public Function, which operates under the Ministry of Deregulation and State Transformation.

The authority may also issue supplementary rules and clarify procedures required to implement the program across the relevant public administration bodies.

Milei’s administration has pursued a broader restructuring of Argentina’s federal public administration as part of its efforts to reduce government spending.

By linking voluntary departures to the elimination of vacant positions, the new scheme establishes a mechanism for reducing authorized staffing levels within the national administration.

Mariam Ashalem De Andres