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Supreme Court Forces Government to Fund Universities: Salaries and Scholarships Could Rise Up to 56%

26/06/2026 09:25 - Actualidad

A Landmark Ruling for Public Education

On June 25, 2026, the Supreme Court of Justice of Argentina (the country's highest judicial authority, equivalent to the US Supreme Court) unanimously dismissed the national Government's appeal and upheld a preliminary injunction enforcing two key articles of the University Financing Law, passed by Congress in October 2025.

This decision represents a significant setback for President Javier Milei's administration, which had attempted to suspend the law's implementation by arguing that Congress needed to specify funding sources first.

📝 Context for International Readers

Argentina's public universities are tuition-free and among the most prestigious in Latin America. The University of Buenos Aires (UBA) consistently ranks among the region's top institutions. Public university employees are state workers whose salaries are set through negotiations between the government and powerful faculty unions (gremios universitarios).

📚 Article 5: Faculty Salaries

  • Salary updates starting December 1, 2023 based on inflation (using the Consumer Price Index - IPC)
  • Collective bargaining every 3 months between the State and university unions
  • Raises must match or exceed inflation in each negotiation round

🎓 Article 6: Student Scholarships

  • Automatic updates of all student scholarships based on accumulated inflation
  • Includes Progresar, Manuel Belgrano, and Nursing scholarships
  • Retroactive payments from December 2023 through October 2025

💰 The Impact on Faculty Salaries

In early June 2026, the Government had reached an agreement with university unions for a 24.3% raise distributed in two installments: 21.3% in June and 3% in October. However, to comply with the University Financing Law, the increase should reach 56% based on May 2026 salary levels.

Concept Government Agreement According to Law
Raise in June 2026 21.3% 56%
Additional difference - 29% extra
Gross salary (auxiliary professor example) 409,000 ARS 525,000 ARS

📌 Understanding the Numbers

The example refers to an auxiliary professor of first category with simple dedication (9 weekly hours) with 10 years of seniority. Their gross salary would rise from 337,000 to 409,000 pesos under the government's offer, but should reach 525,000 pesos under the inflation-adjusted formula mandated by law. As of 2026, the exchange rate hovers around 1,500-2,000 ARS per US dollar, meaning these salaries range roughly from $200-350 USD monthly for entry-level faculty positions.

🎁 The Impact on Student Scholarships

The law requires scholarships to be updated based on cumulative inflation from December 2023 through October 2025, representing a staggering 241% increase during that period.

Progresar Scholarship Amount (ARS) Variation
Value in November 2023 20,000 -
Current Government value (Sept 2024) 35,000 +75%
Value according to Law (Oct 2025) 68,200 +95% vs. current
Inflation-adjusted value 84,000 +140% vs. current

🎓 What is Progresar?

Progresar is Argentina's flagship scholarship program for low-income students. It provides monthly stipends to young people aged 18-24 pursuing higher education. The Manuel Belgrano scholarships support students in strategic areas, while Nursing scholarships target healthcare workforce development. The current government payment of 35,000 pesos represents only 42% of the inflation-adjusted value (84,000 pesos).

📜 Legislative and Judicial Timeline

1

August 2025: The Senate passes the University Financing Law after approval by the Chamber of Deputies (Argentina's Congress is bicameral).

2

September 2025: President Milei vetoes the law (rejects it entirely).

3

October 2025: Congress overrides the veto with the required two-thirds majority. The Executive then issues a promulgation decree suspending implementation until funding sources are identified.

4

Judicial Response: The National Inter-University Council (CIN)—which represents all public universities—files suit in the Federal Administrative Litigation Court and requests a preliminary injunction.

5

First Instance & Appeals: The trial court grants the injunction; the Appeals Chamber confirms it.

6

June 25, 2026: The Supreme Court validates the preliminary injunction and dismisses the Government's appeal.

⚖️ What is a Preliminary Injunction (Medida Cautelar)?

A preliminary injunction (known in Spanish as medida cautelar) is a temporary court order issued while a case is still being decided on its merits. It preserves the status quo and prevents irreparable harm. In this case, the Supreme Court decided to keep the government's obligation to comply with Articles 5 and 6 of the law in effect until a final ruling is issued on the constitutionality of the promulgation decree.

🏆 Conclusion: A Win for Public Education

The Supreme Court's ruling represents a strong judicial endorsement of public university education in Argentina. The Government must now adjust faculty salaries and student scholarships according to the law, implying significant increases from current values. This decision marks a new chapter in the ongoing tension between the Executive Branch and Congress over university funding—and underscores the importance of an independent judiciary in Argentina's democratic system.

🌍 Why This Matters for Argentina

Argentina's public university system is a cornerstone of social mobility in a country with recurrent economic crises. Unlike many countries where public universities charge tuition, Argentina's 100+ public institutions are entirely free for all students—including international students. The University Financing Law was designed to protect this system from budget cuts during times of high inflation (Argentina experienced over 200% annual inflation in recent years). The Supreme Court's decision ensures that educators' salaries and student support mechanisms keep pace with the rapidly depreciating currency.

Sources: Chequeado | Supreme Court of Justice of Argentina.

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Alfredo S. Quiroga