Right-Wing Parliament Blocks Bill Aimed at Protecting CAE Debtors’ Salaries from Seizures

Original article: Derecha bloquea proyecto que buscaba proteger sueldos de deudores del CAE frente a embargos

Right-wing lawmakers blocked the bill that sought to protect the salaries of debtors of the State-Backed Credit (CAE) from seizures.

The Education Commission of the Chamber of Deputies declared the «Protected Salaries» initiative inadmissible, which was presented two months ago proposing an amendment to Article 52 of the Labor Code to ensure the inalienability of up to 56 UF of Chileans’ salaries against collection actions and debt execution, including those related to the CAE.

The decision was made with 8 votes in favor of inadmissibility and 5 against, reversing a previous decision by the chamber that had approved its progression.

The motion for inadmissibility was led by Deputy Paz Charpentier (REP), who argued that the project violated Article 65 of the Constitution by interfering with State financial administration. According to the legislator, the initiative fell exclusively under the President of the Republic’s jurisdiction due to its potential «fiscal impact on reduced revenue».

With the ruling majority in the commission, the request was passed with votes from Charpentier and other right-wing and far-right deputies including Sergio Bobadilla (UDI), Ricardo Neumann (UDI), Paz Charpentier (REP), Diego Vergara (REP), Valentina Becerra (REP), Luis Pardo (RN), Sara Concha (PSC), and Germán Verdugo (PNL).

Deputy Daniela Serrano (PC), author of the project, described the decision as an abuse of temporary majority.

«This initiative was introduced two months ago to the National Congress with no willingness to put it on the agenda, and the moment it is placed on the agenda, the right declares it inadmissible,» Serrano stated.

The head of the Communist caucus emphasized that «they are politically vetoing a project to avoid discussion», warning that this sets a «serious precedent» by closing the debate on measures aimed at «safeguarding the livelihoods of working families».

On her part, Deputy Emilia Schneider (FA) harshly criticized the actions of the commission president, Sergio Bobadilla, and labeled the situation as «very serious» for democracy.

«It turns out that the ruling party is not even willing to discuss a project that would provide relief to CAE debtors who have suffered from these abusive collections,» she questioned, in remarks reported by G5 Noticias.

The Front Amplio legislator argued that the right is hesitant to vote against it because «they are against protecting the salaries of workers with educational debt», showing a fundamental opposition to job security.

Deputy Paula Olmos (PDG), another signer, highlighted the urgency that motivated the project and reminded that last June, the Treasury General of the Republic seized the earnings of individuals with CAE debts, necessitating the protection of income meant for basic needs.

Olmos expressed her dismay over the inadmissibility declaration and stated they will continue to seek opportunities so that «the salaries of workers remain protected», in defense of «the dignity of individuals and their families».