Uruguay’s unions call for wealth tax as child poverty deepens: Video
Uruguay's largest labour federation, PIT-CNT, has ignited a national debate after proposing an additional tax on the country's wealthiest 1 per cent to confront rising child poverty.
Speaking on Friday, PIT-CNT President Marcelo Abdala argued that those with greater financial resources should contribute more, noting that the richest 1 per cent currently captures a share of national income equivalent to that of the poorest 50 per cent.
Abdala emphasised that Uruguay's concentration of wealth provides what he called a clear “capacity for contribution”, warning that without urgent action, the impact of child poverty will become “structural” and be passed down through generations.
According to PIT-CNT, child poverty has reached 32.2 per cent among children under six and continues to rise. The proposal for a targeted wealth tax was formally presented in late November at the University of the Republic's ParaInfo auditorium, where union leaders, members of the Broad Front and government representatives gathered to discuss the growing crisis.
The government, however, has dismissed the initiative, stating that discussions on new taxes are “over” since the fiscal framework has already been defined in the national budget. Despite this stance, the proposal has triggered significant public and political debate, placing renewed attention on inequality and the social responsibilities of Uruguay's highest earners.
This story is written and edited by the Global South World team, you can contact us here.