DLP Insights

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.

When the new contract becomes effective with protection measures increasing with seniority, currently being discussed by parliamentary Commissions, there will be a dual system for labour litigation regarding dismissals.

Almost all of the Jobs Act implementation decrees should be ready by the end of February, regarding: (i) revision of contract types; (ii) reorganisation of social shock absorbers; (iii) active labour market policies; (iv) creation of a national Employment agency; (v) establishment of an Inspection agency; and (vi) reconciliation of free time and work.