The governor of Chubut, Ignacio “Nacho” Torresannounced on Tuesday a series of measures aimed at reorganizing the provincial public administration within the framework of the Integrated State Reorganization Plan. Among the main measures is the elimination of 168 political positions and the dismissal of paid employees without carrying out duties, the so-called “gnocchi”.
After an exhaustive census of public employees, the government significant irregularities were detected in the functioning of the state. According to the results, of the 46,000 public employees, 0.3% will be fired because they are systematically absent, while 13% will face administrative sanctions for not having participated in the census and another 1.3% will have their pay suspended for irregular work situations.
“There will be no exceptions,” Torres said, stressing that these actions aim to put an end to what he described as “taxpayer scams.” The eliminated positions include 40 directors, 21 general directorates, 8 undersecretaries and other hierarchical positions deemed inefficient.
Adjustments and regulations
The president also promoted the implementation of the 3×1 law, which establishes that to incorporate a new worker in the public sector, three exits must first be made, for retirement, withdrawal or disengagement. Likewise, Torres confirmed that admissions, reclassifications and relocations in the three branches of government will have to take place exclusively through competitions, leaving behind decades of discretion in appointments. “We want to guarantee a fair and transparent procedure that respects administrative rules. “No one else is going to come into the state to be someone’s friend,” he said.
Another relevant census data revealed that 6,080 civil servants did not complete primary or secondary education. In response, the government announced an educational support program to facilitate obtaining diplomas, with the aim of improving the professionalization of state employees.
Additionally, it has been reported that approximately 6,500 officers are close to retirement. The Provincial Government will examine the situation of these employees to speed up retirement procedures and free up spaces in the public administration.
Torres stressed that these measures do not only aim to organize the state, but also promote profound cultural change. “It’s time for the representatives of state workers to really work. This restructuring is a commitment to efficiency and justice for all residents of Chubut,” he concluded. The reforms, which promise to generate a strong impact on the public sphere of the province, mark a before and after in the state management of Chubut.
Adaptation to the provinces
In 2024, the national government has just turned around $40.8 billion in contributions to the National Treasury (ATN) to the provinces so far in 2024, a figure that represents a drastic reduction compared to the $128,525 million distributed in 2023 by the Alberto Fernández administration. This cut shows part of the fiscal adjustment that President Javier Milei promotes in his administration.
According to the Congressional Budget Office (CPO), the adjustment is reflected in a 77% real decline in non-automatic transfers. Furthermore, provinces face lower revenue collection from tax sharing such as profits and VAT, which aggravates their fiscal situation.
ATNs are discretionary funds intended for provincial emergencies, but their allocation this year has not been uniform. Only nine provinces, all politically aligned with the ruling Libertarian Party, had access to these resources. Misiones leads the ranking, with 13,000 million dollarsmore than double what it received in 2023. Catamarca and Tucumán were also among the main beneficiaries after supporting key Executive initiatives in Congress, such as stopping the advance of an anti-DNU project.
According to the Chief of Staff, the 2024 ATNs responded to specific emergencies, such as floods, fires or financial crises. Misiones, which declared a water emergency, has received record disbursements, including one of $7.5 billion in June. Catamarca got $3,000 million after declaring an economic and educational emergency, while Tucumán, in a water and social emergency, received $4,500 million in November. On the opposite front, Formosa (-93%), La Pampa (-91%) and La Rioja (-90%) lead the provinces most affected by the reduction of funds. On the contrary, the city of Buenos Aires, benefiting from judicial agreements, managed to avoid the impact.
Governors try to recover resources in the discussion of the 2025 budget, urgently to include pension fund financing and transfers of underutilized funds. However, central government resists these calls, which could lead to the extension of Budget 2023 and the continuation of discretionary allocations.
Meanwhile, provincial governments are trying to mitigate the impact with local measures, such as the advance payment of gross income in Buenos Aires. However, the pressure of the libertarian “chainsaw” threatens to worsen the crisis of regional economies, forcing them to seek new sources of financing or to further cut their spending.
by the CEDOC
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What are the expected outcomes of the Integrated State Reorganization Plan in Chubut’s public administration?
Time.news Interview: The Future of Public Administration in Chubut
Editor: Good morning, and welcome to Time.news. Today we have a very special guest, Ignacio “Nacho” Torres, the governor of Chubut, who recently announced significant reforms aimed at overhauling the provincial public administration. Governor Torres, thank you for joining us.
Governor Torres: Thank you for having me. It’s a pleasure to discuss these important changes.
Editor: You recently unveiled the Integrated State Reorganization Plan, which involves eliminating 168 political positions and dismissing paid employees who are not performing their duties. Can you explain the rationale behind these measures?
Governor Torres: Absolutely. We conducted a thorough census of public employees and discovered that a small but concerning percentage were not fulfilling their responsibilities—0.3% were systematically absent, while 13% did not participate in the census at all. Our goal is to eliminate inefficiencies and restore accountability in our public administration. This move is about ensuring that taxpayer money is spent wisely and that we only have positions filled by individuals who are actively contributing to the state’s work.
Editor: You mentioned the term “gnocchi” for those employees who were dismissed. Can you elaborate on what that term signifies?
Governor Torres: Certainly. The term “gnocchi” refers to paid positions where individuals are essentially absent or do not carry out their duties—similar to being a “no-show.” It’s a practice that has persisted and ultimately leads to wasteful spending. By eliminating these positions, we aim to send a clear message that such inefficiencies will no longer be tolerated.
Editor: Alongside these layoffs, you’ve introduced the 3×1 law. How does this policy work, and what impact do you expect it to have on public sector employment?
Governor Torres: The 3×1 law establishes that for every new hire in the public sector, three positions must be vacated, whether through retirement, resignation, or otherwise. This is crucial for maintaining a balance in our workforce and ensuring that we’re optimizing our resources. It also marks a departure from past practices of appointing individuals based on personal connections rather than merit. We want to foster a capable workforce built on competition and qualifications.
Editor: Another concern highlighted by the census was the education level of some public servants. What steps are being taken to address this issue?
Governor Torres: Yes, it was alarming to find that around 6,080 civil servants lacked primary or secondary education. To address this, we have introduced an educational support program designed to help these employees obtain their diplomas. This initiative aims not only to professionalize our state employees but to ensure that they are equipped with the necessary skills to perform their duties effectively.
Editor: You also referenced a notable reduction in the national government’s contributions to provinces this year. How is Chubut adapting to this fiscal environment?
Governor Torres: The reduction in funding from the national government is undoubtedly challenging, especially since we saw a drastic cut in discretionary funds for provincial emergencies. However, we are committed to fiscal responsibility and managing our resources wisely during this time. We are also actively exploring ways to collaborate with other provinces to better navigate these fiscal constraints.
Editor: Your reforms appear to be quite comprehensive. How do you envision the cultural shift within the public administration as a result of these changes?
Governor Torres: This restructuring is not just about efficiency; it is about embedding a new culture of accountability and performance. By insisting that state workers truly earn their positions and contribute meaningfully, we’re fostering an environment that values transparency and justice. It’s vital that our representatives understand their responsibility to the residents of Chubut, and these measures aim to facilitate that cultural evolution.
Editor: Thank you, Governor Torres, for sharing your insights on these significant changes within Chubut’s public administration. The impact of these measures will surely be closely monitored by residents and political analysts alike.
Governor Torres: Thank you for the opportunity to discuss these important issues. I’m confident that the steps we’re taking will lead to a more efficient and just public administration for all citizens of Chubut.
Editor: And thank you to our audience for tuning in. We’ll continue to cover this story as it develops. Until next time!