Insights

The draft of the Legislative Decree overhauling contracts examined last 20 February by the Council of Ministers would result in some significant changes in policies for reconciling free time and work.

When the decree becomes effective the rules for long-term hiring and dismissal will change substantially.

Last 20 February the draft of the legislative decree was examined concerning an overhaul of contracts which, among other things, entails the gradual elimination of project-based contracts, that, with certain exceptions, will no longer be stipulated and will be converted into normal employment contracts starting 1 January 2016.

The new Collective Economic Agreement between agents and principals in the industrial sector, effective as of 1 September 2014, contains many changes, particularly concerning variations in territory and/or products and/or customers and/or amount of commissions, for which the rules have been changed to the benefit of agents.

With its ruling no. 7567/2014, the Cassation Court, labour section, returned to examine the issue of unilateral changes in the agency contract, granting the appeal of an agent who claimed contractual clauses to be null which gave the principal the power to unilaterally make changes, with the sole obligation of notification, involving the territory and commissions, customer portfolio and product list.