Tuesday, September 24, 2024
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ARGENTINA | Yesterday 17:01

Argentina's government authorises foreign crew, companies to operate domestic flights

Reacting to clashes with unions over pay and strikes, President Javier Milei’s government authorises hiring of foreign crew-members and firms for domestic flights via decree.

Argentina’s government has authorised the hiring of foreign crewmembers and aircraft for domestic flights in response to an ongoing pay dispute with striking aviation workers.

The measure, introduced via decree published on Monday, is a reaction to wage conflicts with the aviation unions grouping staff at flagship carrier Aerolíneas Argentinas.

It comes after President Javier Milei’s government last week said it was inviting offers for the privatisation of the state airline, which unions strongly oppose.

Due to come into force 60 days after the decree was issued, the move also allows foreign companies to cover flights within national territory without licensing their aircraft in Argentina.

“This measure, in addition to the deregulation package implemented, will enable other airlines to cover local air routes if [aviation union leader Pablo] Biró and company continue to go on extortionate strikes,” stated Transport Secretary Franco Mogetta, alluding to the secretary-general of APLA airline pilots’ trade union, in a post on social media.

The government officalised the move by publishing decree 844/2024 in the Official Gazette, authorising the ANAC national civil aviation administration to approve operations with foreign crew and aircraft.

ANAC will be in charge of granting the authorisations for the foreign staff to perform aviation functions in commercial air services, as well as for the use of foreign aircraft to operate in this country, when an airline so requires.

The new measure provides that the national aviation authority must technically regulate Articles 106 and 107 of the Aviation Code, in order to establish the adequate procedures to grant authorisations related to foreign staff and aircraft operating in national territory.

They thus seek to further investment in Argentine, favouring federal connectivity.

So far, only the Executive Branch could authorise a percentage of foreign staff in commercial aviation services and the use of foreign aircraft but with this amendment the ANAC may grant said authorisations.

The decree comes after a conflict starting in late August when the unions dismissed a government wage increase proposal as insufficient, launching an assembly and strike plan which disrupted hundreds of flights.

This is also in line with the Milei’s government’s intention to privatise Aerolíneas Argentinas, a plan already rejected by Congress which must approve a measure of this type.

Last week, the government declared air transport to be “essential,” obliging unions to ensure at least 50 percent of services in the event of a strike.

Unions accuse the government of “seeking the self-inflicted closure of Aerolíneas Argentinas".

The flagship carrier, created in 1950 by then-president Juan Perón, was privatised in 1989 during the term of Peronist Carlos Menem (1989-1999) and went back into state hands in 2008 after going bankrupt when it was owned by a Spanish investment group.

 

– TIMES/AFP

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