Argentina Cuts 695 Positions in Tax Agency

The Argentine government under Javier Milei announces the elimination of 695 positions in the tax agency, claiming efficiency while revealing excess resources used by executives.


Argentina Cuts 695 Positions in Tax Agency

The presidential spokesperson, Manuel Adorni, revealed that Javier Milei's government found an exclusive gym for the executive board within the Revenue and Customs Control Agency (ARCA), formerly AFIP. Coincidentally, these offices were located in municipalities aligned with the previous government, such as Hurlingham, Merlo, La Matanza, José C. Paz, Quilmes, Florencio Varela, and Berazategui.

Adorni reported that some employees at these offices handled only two inquiries per day, while the average in other offices was eight daily inquiries. The spokesperson confirmed that 695 positions will be eliminated in the General Tax Directorate (DGI), which accounts for 27% of the agency's structure. By March 31, 2815 separations will be carried out between voluntary retirements and dismissals.

The government also eliminated the "rank enhancement account," a mechanism that allowed certain employees to receive an extra salary equal to their regular pay. This led to the head of the former AFIP earning over $30 million and other employees over $17 million. Adorni highlighted that the gym found was equipped with treadmills, bicycles, machines, and dumbbells, but was only used by the executives.

Additionally, 38 reception offices and service centers were closed that, according to Adorni, "could resolve 90% of their procedures online." The gym space will be repurposed into an area of greater utility for the agency, while it was confirmed that the government will continue with the cuts in the sector. Juan Pazo, director of ARCA, and Andrés Vázquez, head of the DGI, took measures to eliminate these positions and adjust the agency's structure. "The chainsaw is infinite and does not stop," Adorni concluded.