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Milei Administration Trims Over 52,000 State Jobs, Saving $2.06 Billion

This move supports the government’s Proyecto Digesto regulatory overhaul to streamline hundreds of agencies by year-end.

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Federico Sturzenegger. “Sigue la motosierra: a junio nos permite ahorrar 2100 millones de dólares en impuestos."

Overview

  • Official figures show public administration headcount fell from 205,550 in December 2023 to 175,146 in June 2025, while state company staffing dropped from 91,166 to 74,933.
  • The Ministry of Economy led cuts with 11,197 job losses, followed by Capital Humano and the Jefatura de Gabinete reducing their workforces by over 6,000 and 5,200 respectively.
  • Major state firms such as Correo Argentino, Aerolíneas Argentinas and AySA collectively eliminated thousands of positions during the 19-month period.
  • Nonpermanent roles bore the largest impact, with regular contracts down 21.5% and special LOYS contracts plunging 52.7% since December 2023.
  • The ATE union rejected a 7.5% wage increase proposal, extending stalled parity talks as more than 1,000 suspended workers await reassignment.