Workers Reject the Privatization of Aerolineas Argentinas
November 26, 2024 Hour: 11:04 am
President Milei seeks to sell this airline as part of a process of hyper-liberalization of the national economy.
Aviation and transportation workers gathered in front of the National Congress in Buenos Aires to voice their opposition to the privatization of Aerolineas Argentinas. Far-right President Javier Milei is seeking to sell this airline as part of a process of hyper-liberalization of the Argentine economy.
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“We are deeply concerned about the country’s connectivity. Entire cities will be left disconnected,” said one Aerolineas Argentinas pilot, warning that the current administration’s proposals mirror those that led to the dismantling of Argentina’s railways in the past.
Currently, Aerolineas Argentinas serves 21 destinations exclusively. As a public company, its mission extends beyond commercial objectives, aiming to promote tourism, trade, and connectivity across this South American nation. However, under neoliberal policies, any public enterprise without a positive financial balance is deemed unviable.
Mariano Recalde, former president of the airline and now a national senator, recalled that a similar privatization push occurred in the 1990s, resulting in the company’s bankruptcy and massive debt. The airline later returned to state ownership during the presidency of Cristina Fernandez de Kirchner in 2008, amid an operational crisis attributed to mismanagement by private owners.
“Private administrations destroyed Aerolineas Argentinas, leaving it with poor services and mistreated workers. Since Javier Milei took office, issues such as underinvestment, labor disputes, and operational failures have resurfaced, aiming to justify its privatization once again,” Recalde said.
The Milei administration argues that Aerolineas Argentinas imposes an unsustainable fiscal burden, despite the airline being a symbol of economic recovery in recent years. Using official figures, aviation unions and opposition political forces have refuted the government’s claims. Supported by far-right figures such as former President Mauricio Macri, Milei and his officials have intensified efforts to label Aerolineas Argentinas as “highly unprofitable” to justify its sale.
Decree 873/24 included Aerolineas Argentinas in a list of companies “subject to privatization.” Presidential spokesperson Manuel Adorni confirmed that negotiations have already begun with “private Latin American companies,” while Macri described the airline as “a hopeless ruin.”
Claims regarding Aerolineas Argentinas’ alleged deficit, however, have been questioned. A document prepared by the outgoing administration of Pablo Ceriani highlighted that in 2023, the airline operated without requiring funding from the National Treasury, projecting profits of US$32 million.
“The Argentine government is manipulating data to justify privatization,” said union leader Hugo Yasky, who noted that the unions maintain that the airline has modernized its fleet and expanded its network of destinations.
“What the Milei administration is truly hiding behind all of this is a massive business deal: dismantling Aerolineas Argentinas and distributing its profitable units to foreing and national allies. The aviation sector includes highly lucrative business units,” said Rodrigo Borras, deputy secretary of aviation policy for the Aeronautical Personnel Association (APA).
In response to the libertarian government’s privatization plans, Argentine unions have organized assemblies and demonstrations to defend the company. “Defending Aerolineas Argentinas is not just a labor issue. It means defending the heritage of the Argentine people,” said Pablo Biro, leader of the Airline Pilots Association (APLA).
The conflict over Aerolineas Argentinas’ privatization has united various transportation organizations under the newly formed National Transportation Council, a space where historically rival unions are collaborating on joint measures to block privatization. Planned actions include nationwide strikes and legal protections to ensure the right to protest.
Critics of libertarianism argue that Milei’s goal is not economic efficiency but the dismantling of the State. “I’ve lived through all of this. I saw how private owners bankrupted Aerolineas Argentinas, and the State had to step in to save it,” said a flight attendant protesting outside the National Congress.
teleSUR/ JF Sources: teleSUR
