On 21 December 2018, the National Association for Labour Agencies (Assolavoro) and the industry unions (Felsa, CISL, Nidil, CIGL, UIL Temp) signed a draft for the renewal of the national collective bargaining agreement for the Staff Leasing Agencies Sector (the “Draft”)

Let’s review some of the main new developments.

Provisions to favour the occupational continuity of employees (art. 1)

Among the most important provisions there are those that address some of the risks deriving from the Circular 7/2018 issued by the Ministry of Labour related to the Dignity Decree.

More specifically, in order to ensure maximum employment continuity for staff leased, all the fixed-term agreements established between the parties (Agency and employee) are calculated only for the purpose of determining employment seniority prior to 1 January 2019 (that is from 1 January 2014 to 31 December 2018), for a maximum of 12 months within a period of 5 years (Temporary Regime).

Also in this context, the Draft adds two provisions to favour employment continuity related to extensions, up to 24 months and after fixed-term agreements between the Agency and the employee.

In particular:

–          In the case of staff leasing by the same user, the maximum identified term is established by the collective negotiation applied by the latter. In the absence of this, the maximum extension term is 24 months;

–          In the case of staff leasing by different users, the extension cannot exceed, under any circumstance, the maximum term of 48 months.

Within the legal term of 24 months, there cannot be more than 6 extensions. Whenever the collective bargaining agreement of the user were to call for a different term limit, regarding the extension of the agreements, the maximum number of extensions for each contract is brought to 8.

The maximum term does not apply to fixed-term staff leasing contracts with employees hired by the Agency with open-term contracts.

Fixed-term staff leasing with guaranteed paid amount of hours (MOG, art. 4)

The Draft governs and structures the MOG.

Among the various provisions on the matter, it is highlighted that it is possible to enter into fixed-term staff leasing contracts with a term of 1 month, by guaranteeing to the employee a minimum compensation equal to 30% of the standard (full time) employment applied by the user’s company.

Furthermore, the Agency must notify in advance to the OOSS entering into such agreement, the implementation and any extensions/renewals of agreements. In the case of extension of the originally signed MOG, or its second renewal, the OOSS may request, within the following five business days from receipt of the notification, a meeting to finalise an agreement to make it operative. Lacking the meeting request, the principle of consent by silence applies.

In addition, it is possible to enter into fixed-term staff leasing contracts with a term of 3 months, by guaranteeing to the employee a minimum compensation equal to 25% of the standard (full time) employment applied by the user company.

This provision applies to all contracts entered into effective from 1 January 2019.

The performance of service may be requested to the employee based on the organisational needs of the user: the time and/or day of service must be notified to the employee 24 hours in advance prior to the start of the activity.

The employee, within the brackets established and up to the limit of hours set by the contract, must make himself available to be on call: in the case of justified refusal, the obligation for minimum compensation does not apply. Instead, any unjustified refusal is an absence and as such subjected to disciplinary provisions.

At the end of the employment relationship under the MOG, it is necessary to check the average number of hours worked and, if less than the minimum hours established by the National Collective Bargaining Agreement of the user, the employee must be paid the difference as a balance with respect to the lower number of hours worked.

Open-term contracts (art. 5)

The indemnity for availability is increased to 800 euro.

In the case of employees with a part-time staff leasing agreement, the amount to be paid will be recalculated based on the hours worked and, however, will not be less than 400 euro per month at gross of withholdings by law and including severance indemnity.

The employee must respond to the call/summons of the branch within 24 hours after receiving it and if the response is positive must be present at the branch and/or at the selection interview and/or training course offered by the Agency within the times specified and not before 24 hours from making himself available.

Lack of availability for or absence on occasion of the activities offered by the Agency whenever unjustified shall be deemed a contractual breach.

Apprenticeship (art. 13)

Among the various provisions on the matter, there is the hiring of an apprentice by the Agency under a professional career-building apprenticeship contract, carried out according to a training path implemented at the user’s location.

The compensation, categorisation and hours of work of the apprentice are regulated by the National Collective Bargaining Agreement applied by the user company to apprentices of equal level under its direct employment.

The training program is setup by the Agency for the work in cooperation with the user and the employee must be subjected to the opinion of compliance of Temporary Form within 20 days from the start of the program.

During the apprenticeship period, the employee must report to the tutor, appointed by the Agency, and to one appointed by the user company.

The Agency may withdraw from the relationship at the end of the apprenticeship period, notifying its withdrawal with an advance notice of 30 days effective from that term pursuant to article 2118 of the Civil Code. Failing to do that, the relationship continues under the Agency’s employment as a standard open-term employment relationship.

Effectiveness and application methods (art. 23)

The Understanding enters into force effective from 1 January 2019 until 31 December 2021.

The provisions as per article 1 become effective from 21 December 2018 (date of signature of the Understanding) without prejudice to the provisions regarding the temporary regime, any regulatory interventions and/or ministerial interpretations that may establish not to consider, for the purpose of exceeding the term limits, specific periods of the relationships undertaken with the Agency.

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The Understanding, among others, (i) strengthens welfare; (ii) introduces a right focused on professional qualification and re-qualification; (iii) intervenes on the procedure when employment opportunities lack.

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Conclusions

The Draft must now be ratified by the Directors’ Committee of Assolavoro and by the workers’ meetings. Subsequently, the Parties will initiate a review and harmonisation of the contractual text dated 27 February 2014. Everything that is not directly or indirectly amended is deemed in force.