UOM’s collective bargaining agreement has closed: what is the increase that metalworkers will receive in August 2024?

The decline in activity recorded in June adds to the negative trend observed throughout the first half of the year (Photo: Shutterstock)

After receiving approval of the previous agreement from the Ministry of Labor, the Metalworkers Union (UOM) agreed yesterday to a new collective bargaining agreement for the coming months. The salary increase will be 12.55% to be paid in four installments. The union, led by Abel Furlán, announced the salary increase reached with various chambers of the sector, including ADIMRA, AFARTE, AFAC, FEDEHOGAR, CAMIMA and CAIAMA.

The July salary increase will thus be 3.5%, 3.5% in August, 2.5% in September and 2.5% in October. The increases are cumulative and will be applied to the basic salaries of the previous month, according to sources from the union and businesswomen who confirmed them to Infobae.

The global minimum reference income for the coming months will be as follows:

• Julio: $669.326
• August: $692,753
• September: $710,072
• October: $727,823

Prior to this announcement, and after a month of waiting, the Ministry of Labor had signed the approval of the collective bargaining agreement between the UOM and the business sector, which consists of a quarterly salary increase of 18.13% for branch 17 of the union.

The increase is cumulative and implies a retroactive rise of 7.5% for April, 3.6% for May, and 3.6% for June. In this way, metalworkers will receive the increases with their salaries in the first half of August.

For the Metalworkers Union (UOM), Abel Furlán was the one who led the collective bargaining negotiations

Branch 17 of the union includes workers in the Mechanics, Electromechanics and Manufacturing of the Metallurgical Industry and its Complementary Activities. Also those in Weapons and Armaments, Chrome Sheet Metal Mechanics, Manufacturing of Containers and Lithographic Printing on Metals, Employees of the Metallurgical Industry, Construction, Assembly and Repair of Road and Pneumatic Machines, Manufacturing and Repair of Railway Material, Industrial Assembly.

Group “A” – Administrative Personnel

• How. adm. of 1st: $520,036.04
• How. adm. 2nd: $577,141.45
• How. adm. 3rd: $666,395.29
• How. adm. 4th: $727,807.29

Group “B” – Technical Staff

• 1st Technician Category: $520,036.04
• Technical Cat. 2nd: $577,230.59
• Cat. 3rd Technician: $616,965.73
• Cat. 4th Technician: $699,862.37
• Cat. 5th Technician: $727,835.69
• Cat. 6th Technician: $796,901.49

Group “C” – Auxiliary Personnel

• 1st Auxiliary Category: $500,264.40
• 2nd Auxiliary Cat.: $544,439.58
• 3rd Auxiliary Category: $619,578.26

Additional

• Additional Art. 53 – Technical Title: $14,251.99
• Additional Art. 54 – Secondary Title: $14,251.99
• Additional Art. 55 – Languages: $8,057.03
• Additional Art.57 – Subsidy for disabled parents: $35,629.70
• Additional Art. 58 – Death of a Family Member: $89,073.75
• Additional Art. 59 – Military Service: $39,141.66
• Additional Art. 60 – For Collection: $3,126.89
• Additional Art. 61

a) By Envelope: $868.63

b) By envelope and payment. Monthly payment: $1,718.64

• Additional Art. 62 – For Tasks of another Group or Superior. P/Monthly: $5,380.65
• Additional Art. 63 – For calls outside of business hours. For each call: $2,089.67
• Additional Art. 64 – Due to lack of vacancy. Per hour: $42.95
• Additional Art. 91

a) Traveler in the Interior of the Country: $23,491.89

b) Monthly Urban and Suburban Traveler: $78,319.43

• 3rd Category Drivers: $3,718.91

The agreement includes a clause entitled “companies in crisis,” which states: “The Parties agree that those companies represented by the signatory entities that are included in Productive Recovery Programs, or have initiated Preventive Crisis Procedures or are included in Occupational Emergency Programs, or are applying suspension programs due to lack or decrease of work not attributable to or force majeure resulting from agreements entered into, may adjust the implementation of the provisions of this agreement in terms of payment terms, amounts and absorption regime, only through express agreements of the signatory parties hereto and after consultation with the union representation at the level of the respective Branches.”

“The above will also apply in those cases where, for reasons of health emergency, the total or partial closure of the establishment’s production operations is ordered,” it added.

During the first half of 2024, metallurgical production decreased by 16.7% compared to the same period in 2023

The metallurgical sector continues to show no signs of recovery. According to the latest report from the Economic Studies Department of the Association of Metallurgical Industrialists of the Argentine Republic (ADIMRA), metallurgical production in June fell by 17.3% compared to the same month of the previous year. This figure represents the largest drop recorded in June since the COVID-19 pandemic.

Compared to May this year, the decline was 1.9%, which deepens the negative trend in the sector. During the first half of 2024, metallurgical production decreased by 16.7% compared to the same period in 2023. If December 2023 is taken as a reference, the cumulative decline is 11.2%.