Argentina negotiates oil worker contracts in effort to woo investment

Source: Reuters
By: Juliana Castilla
10.31.2016

Argentina's government is negotiating more flexible oil workers' contracts to woo investors to the Vaca Muerta shale fields and overcome an energy deficit, the head of one of the sector's most powerful unions told Reuters on Monday.

High labour costs are thought to be the primary obstacle to investment in the country's oil and gas sector, and negotiations are politically sensitive in a country with an influential labour movement, meaning some changes are off the table.

"Negotiations are advanced, I'd say 80 percent, but the union will not budge on job security for workers," Guillermo Pereyra, General Secretary of the private oil and gas union in Rio Negro, Neuquen and La Pampa, and Senator for the province of Neuquen, said in an interview.

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