DLP Insights

On June 27, 2014, the Ministry of Labour asked Regions and Autonomous Provinces in 2014 not to reach agreements in 2014 for Exceptional Redundancy Fund (so called “CIG in deroga”) with a duration higher than eight months.

Fixed term contracts entered into with Executives do not account as regards the 20% threshold, introduced by the so-called "Jobs Act".

Collective dismissals are governed by Law 223/91, which excludes from its application Executives (“Dirigenti” in the Italian parlance), according to art. 4 par. 9. Not only the legislator, but case-law and legal doctrine as well considered that collective dismissals discipline is not applicable to Executives, due to the peculiarity of the employment relationship, based on a strong trustworthy bond between them and the employer and the not applicability of the restrictive dismissals rules provided for by Law 604/66.

Constitutional Court, judgment no. 155 of May 21, 2014, stated the constitutional lawfulness of art. 32, par. 4, letter b), of Law 183/2010, considering fully reasonable the choices taken by the legislator with reference to the Article 3 of the Constitution.

The fixed term contracts, entered into in order to replace an absent employee, benefit of better treatments. In case of replacement of an employee absent for maternity leave, the employer, who has no more than 19 employees, is entitled to a 50% reduction of the relevant social security contributions.