Italy: Employment law newsletter | 1 August 2022

1. New laws and regulations

1.1 Social security contributions discounts: Green light from the European Commission

The European Commission authorized an extension until 31 December 2022 for some exemptions from social security payments that had been introduced during the COVID-19 pandemic and applied to new hires in areas of Central and Southern Italy. Employers will be able to access the exemption only if they are in possession of a valid social security certification, known as DURC.

1.2 Smart working for vulnerable employees: Extension until December 2022 proposed

On 30 June 2022, a new COVID-19 protocol went into force (you can read more about this in our newsletter here). As part of current Covid-relateded regulations, an extension until 31 December 2022, of the right to work from home for vulnerable employees has been asked for and is currently pending. Such right expired on 31 July 2022 and we are expecting developments on this topic shortly. We will keep you updated.

2. Case law developments

2.1 Works council members cannot be transferred without the approval of their union, even in the case of a conflict of interest

Even when the presence of a works council member in the workplace creates a conflict of interest, they cannot be transferred to another location without the prior authorization of the union to which they belong. This principle of law has been recently stated by the Italian Supreme Court, which ruled that a works council member, who had worked closely with the financial police during a tax inspection, could not be transferred unilaterally without the approval of their union.

2.2 Harassment in the workplace: Multiple abuses are not enough to prove it

Demoting alone is not enough to prove work-related harassment. In fact, according to the Italian Supreme Court, in addition to multiple episodes of bullying at work, an employee is entitled to compensation for damages if they are able to prove the employer's intention to cause harm.

2.3 An employee's prolonged absence results in the termination of the employment relationship

Under Italian statutory law, an employee's resignation is valid only if it is made via an online platform available on the Ministry of Labor's website; the same law states that the employee has seven days to withdraw the resignation. Nevertheless, a territorial Labor Court recently ruled that, even if an employee does not formally resign following the online procedure, resignation is still valid when the employee's will to terminate the employment relationship results from their behavior, including an unjustified absence. A judge must always check for multiple, actual elements that can show the employee's clear intention to resign.


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