Elimination of the AFIP and Dismissal of State Employees

The Argentine government announces the elimination of the AFIP and the dismissal of more than 3000 employees in an effort to reduce fiscal pressure and the size of the State. Manuel Adorni emphasizes the aim for a country free of agencies that limit citizens' freedom.


Elimination of the AFIP and Dismissal of State Employees

The Argentine government, under the leadership of Manuel Adorni, announced last Monday the elimination of the Federal Administration of Public Revenues (AFIP) as part of its plan to reduce the size of the state and relieve fiscal pressure. This measure involves the dismissal of more than 3,000 employees. 'The Argentina of fiscal voracity is over,' emphasized Adorni, spokesperson for the presidency, adding that they seek a country free from organizations that restrict citizens' freedom.

According to the government, the elimination of the AFIP is based on the idea of preventing each change of administration from leading to a purge of state employees to replace them with supporters of the new regime. However, to ensure this transition, workers who meet the retirement requirements were urged to start the procedures within 30 days. This measure is part of the stage called 'Deep Chainsaw,' announced by Minister Federico Sturzenegger.

Resolution 3/2024 of the Ministry of Deregulation and State Transformation warns that the suppression of jobs will also affect decentralized entities and companies with state participation. According to a report from the National Institute of Statistics and Censuses, between March and August 2024, 20,277 jobs were eliminated in the public administration and state-owned companies.

Sturzenegger, at an event organized by the Liberty and Progress Foundation alongside the CATO Institute, mentioned that Argentina is in a 'contradiction' regarding the stability of public employees established by the Constitution. In this context, the government seeks to transform the state into a smaller and more efficient model, eliminating organizations they consider unnecessary and modernizing public administration to achieve greater freedom for citizens.