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Argentina News Roundup: 6th May 2014

Argentina’s Supreme Court (photo: Gustavo Amarelle/ archivoTélam/lz)

Supreme Court Moves to Ease Backlog of Pension Adjustment Cases: The Supreme Court today ruled to ease congestion in the judiciary caused by an abundance of lawsuits over pension back payments. The high court declared unconstitutional article 18 of the 1995 pension reform law, which established the all appeals over pensions rulings would be referred to the Federal Chamber of Social Security in Buenos Aires, no matter in which part of the country the initial ruling was made. According to the Supreme Court resolution, this article has led to the “collapse” of the courts, which “directly impacts pensioners, one of the vulnerable groups defined in the Constitution.” From now, appeals will be dealt with by a federal court in the province in which the first instance ruling was made. The Supreme Court also urged Congress to create new tribunals with jurisdiction in social security matters, and the government to take the necessary measures to ensure its agencies comply with court rulings.

Peugeot Suspends Workers as Auto Sector Stalls: French carmaker Peugeot-Citroën has reduced shifts and suspended 1,000 workers at its factory in Villa Bosch for an indefinite period. The suspended workers will continue to receive 65% of their regular salary. The decision follows similar moves by Renault and truck manufacturer Iveco, who together suspended 1,100 employees in their respective plants in Córdoba. The suspensions with limited pay were negotiated with trade unions as an alternative to job dismissals in the near future. The automobile sector, one of the key drivers of industrial growth in Argentina in recent years, is under pressure as demand slows and import costs increased following January’s currency devaluation. According to the Argentine Association of Car Dealerships (ACARA), the number of new car registrations in April fell by 35% compared to the same month of the previous year. Meanwhile, the Association of Car Manufacturers (ADEFA) said that production of automobiles in the first quarter of 2014 was down by 16% compared to 2013. Last week, Economy Minister Axel Kicillof and Minister of Industry Débora Giorgi agreed with their Brazilian counterparts to negotiate new trade terms for the auto sector, which accounts for almost half of trade flows between the two countries.

 

 

The post Argentina News Roundup: 6th May 2014 appeared first on The Argentina Independent.


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