Italy
Fixed-term contracts may be issued without stating a reason for up to 12 months. If the contract (including renewals/extensions) exceeds 12 months, a valid justification (such as replacement, seasonal, or technical/organizational reasons as defined by law or collective bargaining) must be provided in writing. A contract may be renewed a maximum of 4 times up to a total duration of 24 months. Should the contract surpass those limits or lack required justification, it automatically converts into an indefinite contract.
In Italy, Workers are subject to 12 public nationally recognized holidays. Workers are paid for the day off if it falls on a workday (Monday through Saturday). Workers required to work on a public holiday are entitled to extra compensation. The holidays are as follows: New Year's Day Epiphany Easter Sunday Easter Monday Liberation Day International Workers' Day Republic Day Assumption Day All Saints' Day Immaculate Conception Christmas Day St Stephen's Day
Workers are entitled to 26 working days of vacation days off per year, which must be used within 18 months, or it is forfeited. Those working in quadro and dirigenti positions may be entitled to a longer holiday entitlement.
There are three classifications of Workers in the trade sector subject to the CCNL Commercio based on the levels of the nature of the work. Those classifications are as follows: Ipiegato: Standard white collar office Workers Quadro: Middle management-level Workers Dirigenti: Workers in executive and senior leadership positions
Probationary periods for indefinite contracts are allowed, subject to varying maximum lengths between 45 to 90 calendar days depending on the level of the nature of the work as defined above.
Employers are required to pay the first three days of a Workers absence due to illness. After that, the Worker is paid by the Italian Social Security Agency.
Overtime is generally considered all hours work over 40 in a week. Under no circumstance may a Worker be required to work more than 48 hours in a 7-day week, or over 250 hours of overtime in a single year. A premium for overtime is usually 15% to 30% a Worker’s normal rate of pay depending on the time and day overtime work is performed.
Workers receive a 13th and 14th month salary, one in July and one in December.
Dismissals are strictly regulated in Italy. Early termination of a fixed-term contract is only allowed for just cause, otherwise, the Worker may be due full wages through the contract’s end date. Termination is only lawful for just cause such as in the event of a restructuring or worker misconduct. Poor performance may qualify as worker misconduct if there is evidence that the performance was the result of the Worker’s negligent behavior. Notice must be provided in accordance with the employment contract or collective bargaining agreement. There is no statutory severance payment due, but Trattamento di Fine Rapporto (TFR) must be paid.
A Worker can resign by providing appropriate notice in accordance with the employment contract or collective bargaining agreement through the online INPS system. TFR remains due to the Worker upon resignation.
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