In the recently approved Aiuti ter decree, there is a squeeze on provisions applicable to employers with more than 250 employees who intend to lay off at least 50 employees, due to branches or plant closure as part of a definitive business termination.
De Luca & Partners managing partner lawyer Vittorio De Luca, said: “The government’s decision was likely to be dictated by the clouds looming internationally and within the Italian production system, due to the energy crisis and the increase in raw material costs.”
The period in which the employer must discuss the plan to limit the employment and economic fallout from the closure with trade union representatives and in the presence of the Ministry of Labour was extended to 90 days.
De Luca said: “If production or a significant part of it is definitively terminated, companies will have to return any subsidies, grants or financial aid received ten years before starting the procedure.” When a possible recession is announced, it becomes necessary to reform social safety nets and active labour policies organically to limit an explosion of redundancies.”