Structural reforms and labor markets in Argentina

Argentina is considered to be one of the most successful cases of structural reforms in Latin America, because of the extent and rapid pace of the reforms after the hyperinflationary process of 1989–1990. At the beginning of 1991, the convertible plan was launched and inflation fell sharply. However, even when the economy is growing fast, the problems in the labor market seem to worsen. Unemployment and underemployment have risen, and an increasing number of people have fallen out of normal work. The article analyzes how changes in labor markets are closely related to the transformation process in the economic system. After a summary of the situation before the crisis of the 1980s, the article analyzes the stabilization plans applied and then discusses the current dynamics of labor markets and the policies implemented to change labor regulations. Finally, some hypotheses about future scenarios are presented.