After building managers agreed to a 29% pay increase, to be paid in three tranches, it is estimated that the expenses in buenos Aires will rise again. At a minimum, the increase for landlords and tenants would be 14.5%.
The new wage agreement, approved by the Ministry of Labour of the Nation on August 19, was signed by representatives of the Argentine Federation of Workers of Income and Horizontal Buildings (FATERYH), led by Víctor Santa María (also president of the porteño PJ), the Union of Property Managers (UADI), the Real Estate Association of Rental and Horizontal Buildings (AIERH) and the Argentine Chamber of Horizontal Property (CAPHAI). Landlords and tenants, who pay, still have no weight share in the discussion. This month comes the first tranche of increase for managers, with 15% up of salaries retroactive to July. In December, common expenses add another 8%, and those in March add the remaining 6%. At the end of these three tranches, the expenses will be at least 14.5% more expensive, as salaries account for at least half of the common expenditure on port buildings, and in some they can reach 70%.
This occurs while in recent months the level of delinquency in Buenos Aires buildings has been growing on the payment of expenses, as well as rents, given the crisis situation that the country is going through through the coronavirus pandemic. Delinquency in the case of expenses ranges from 20 to 30%. Meanwhile, 37.8% of tenants across the country will not be able to pay the Rent for September in whole or in part, according to a survey by the Federation of National Tenants.
