The Job Acts, implemented in Italy on March 21, 2015, introduce some relevant changes in the Italian labor legislations. Below the most relevant news:  

1) Section 18 of Law n. 300/70 (the so called “Workers’statute”).

For new hires it will be excluded the right to reinstatement for economic dismissal, while it remains for those discriminatory and  for some types of disciplinary ones. In case of dismissal for economic reasons, the government would ensure compensation more advantageos for the employer (at this specific regard please see point 2 below). Please also note that in order to avoid dispute with the employee, the employer may use the so called "conciliazione facoltativa incentivata" by which the employer may offer a sum free from taxation and social security contributions equal to 1 month for every year of service, the sum of at least 2 and up to a maximum of 18 months. The proposal of the employer must be made within the 60-day time limit for dismissal’s challenge by the employee.

2) The so called “Contratto a tutele crescenti”.

The Job Acts provides for the so called “contratto a tutele crescenti”: an open end contract for all new hires with increasing protections for employees in relation to length of service (i. g. indemnity to leave paid on the basis of the seniority accrued). The rule for new dismissals, collective too, for cases in which they are considered unlawful, is that the compensation, (not subject to social security contributions), will be in an amount equal to 2 months for each year of service, to an extent not less than 4 and to a maximum of 24 months.

3) Stop to consultancy contracts on a project basis.

The Job Acts aims to create an organic text regulating various types of contracts and the "overcoming" of coordinated collaboration and continuative. Please note that the discipline will be specified by the so called “decreti attuativi” to be issued.

4) Flexibility.

It reviews the discipline of duties in case of reorganization, restructuring or company conversion with the interest of the employee  to the protection of the workplace, professionalism and living conditions, placing limits on the change of classification. The transition from one task to another becomes easier (also with the possibility of demotion). Please note that the discipline will be specified by the so called “decreti attuativi” to be issued.

5) Remote controls.

It is provided a change in the regulation of remote controls with the possibility for the employer to control working systems and tools. Please note that the discipline will be specified by the so called “decreti attuativi” to be issued.

6) Redundancy fund (the so called Cassa Integrazione Guadagni).

It will be impossible to authorize the Cassa Integrazione Guadagni in the event of termination 'final' of business. The aim is to ensure a system of universal guarantee for all employees with uniform protection and related to the history of the employee contribution. It will be reviewed the time limit of the subsidy (now the roof is 2 years for the case of “Cassa Integrazione Guadagni Ordinaria” and 4 years for “Cassa Integrazione Guadagni Straordinaria”) and it will be expected greater participation by companies that use it.

For more information please contact dcotroneo@cocuzzaeassociati.it