INDUSTRIAL EMERGENCY DUE TO CORONAVIRUS. Support from the Argentine government to sustain the sector

Given the serious situation for productive and commercial sectors of the country are going through, as a consequence of the obligatory isolation ordered by the government, which privileges health over the economic aspect, many representative entities of these activities have demanded the gradual factories and shops reopening, plus financial assistance and postponement of tax and services payments.

It is noteworthy at the beginning of the health crisis, the Argentine government, by decree, prohibited the dismissal and suspension of workers in all activities for 60 days.

Many of the requests from the business-industrial sector are included in the new Emergency Assistance Program for Work and Production, and are being analyzed by the government in order of priority, while others are already validity. Here the summary of the main ones:

• Creation of a Guarantee Fund -FoGar- to facilitate loans access for working capital and payment of salaries to micro, small and medium-sized enterprises.
  
  
• The Central Bank ordered that private banks must grant special lines of credit to micro, small and medium-sized companies at a rate of 24% per year to face the financial problems caused by the coronavirus crisis.
  
  
• Postponement and reduction of tax and social security obligations.
  
  
• Assistance for companies that have had a substantial reduction in their sales from March 20, 2020.
  
  
• The AFIP -Federal Administration of Public Incomes- extended for 2 months the payment of employer contributions expired in April.
  
  
• Reduction until 95% of contributions to the Retirement System, according to the number of workers in the companies.
  
  
• Through the Compensatory Allowance, the ANSES -National Social Security Administration- will pay a percentage of the salary, depending on the number of workers in the companies.
  
  
• For unemployed workers, a subsidy is established by the State, between $6.000 to $10.000 (Argentinean pesos) per month per beneficiary.
  
  
• Help for informal workers, who have lost their only income due to the health crisis. They receive a payment of $10,000 for one time.
  
  
• Extra payment of $3.000 per month for a child under 18 years old to parents included in the Universal Child Allowance -AUH-.
  
  
• Extra payment of $3.000 in April for retirees and pensioners who charge the minimum amount.