ASSESSMENTS

In Brazil and Argentina, Politics Picks Up Where the Left Left Off

MIN READOct 5, 2017 | 19:48 GMT

Argentine President Mauricio Macri lacks the legislative support he needs to pass controversial labor reforms. But bypassing Congress comes with its own risks.

(JUAN MABROMATA/AFP/Getty Images)

Time is running out for Argentina's current administration to revise the country's business regulations. President Mauricio Macri so far has avoided taking labor reforms to the legislature because his coalition lacks the support it would need to pass the measures. Changing Argentina's labor laws through legislation would be a contentious proposition that would invite protest from the country's powerful unions. So soon before the next federal elections in 2019, moreover, leftist lawmakers likely would be unwilling to compromise on the proposed reforms. To avoid the complications and controversy of the legislative process, Macri's administration is taking his reforms straight to the labor unions. The president used the same strategy to negotiate changes to the oil and natural gas sector, working with unions in Neuquen province to address specific portions of their contracts and reduce labor costs for energy firms. Now, he's hoping for a repeat of that success elsewhere in...

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